The Reno-Sparks Association of Realtors released the market stats for October and I couldn’t believe my eyes. Housing inventory was down to a number so low that it is driving prices up at an incredible rate.
Take a look at that graph. The 0.6 months supply of inventory means that if no homes came on the market we would exhaust our supply of single family home inventory in the Reno Sparks area in 18 days.
With 568 New Homes, 616 Sold, 656 New Contracts and 394 Active Homes on the market at the end of October there is now a supply and demand problem that is pushing the median homes sales price to $455,000. There is no relief in sight. The new home builders are 15 months out if you order now. So folks coming to Reno for jobs are outbidding up the homes trying to be a winner! Appraised value is being thrown out the window by buyers who have the cash to close the gap when getting a loan or they just pay all cash and there is no appraisal. This is happening at all market levels, from homes that are a few hundred thousand to homes in the millions.
The secret about Northern Nevada is out – not only is it one of eight states with no income tax, but it’s the ultimate place for work and play. Many people are falling in love with Reno for its tight community and plethora of activities to satiate any interest.
Nevada has been consistently ranked by Money and Forbes as one of the best overall business climates in the nation coupled with one of the lowest tax burdens in the country. Businesses will also benefit from competitive utility rates for commercial buildings and low start-up costs. There are reasonable regulatory, licensing, and annual fees to make doing business more lucrative.
Northern Nevada is sunny and beautiful around 300 days out of the year, every year. Maybe that’s why the region is home to world-class ski resorts, championship golf, and Lake Tahoe’s haven of recreation. Any and every activity exists here, from dog parks to hiking and mountain biking trails, to boating on the crystal-clear Lake Tahoe. You can find yourself in the beautiful tall pine trees happening upon alpine lakes and scenic vistas, or you can find yourself in the rolling hills where the wild horses like to roam. Either way, there are a myriad of activities to explore in every season.
In summary, life in Reno is great and everyone else is finally realizing just that.
Realtor® Sierra Nevada Properties