Bank Owned Foreclosure Listing in South Lake Tahoe

With the latest addition of 1865 Arrowhead to the South Lake Tahoe mls, there are now 30 bank owned foreclosures for sale in South Lake Tahoe. Of the 30 foreclosure listings on the South Lake Tahoe mls, 11 are currently in escrow.

1865 Arrowhead Ave. is a 3 bedroom, 2 bath, single story home in the Meyers area of South Lake Tahoe. This bank owned foreclosure is in good condition and would make a great primary residence or a vacation home. Built in 1975, this rancher sits on a 5992 square foot sunny level lot.

Additional Features Include

• Double Pane Vinyl Frame Windows
• Landscaped With Lawn
• Patio
• Storage Shed
• Tile and Laminate Flooring

Priced at less than $175 per square foot, this bank owned foreclosure listing is less per square foot than most other foreclosures on the South Lake Tahoe mls. The average list price per square foot of the active foreclosure listings in South Lake Tahoe is currently $213. The average price per square foot for the foreclosures in South lake Tahoe that have sold this year is $191.

So far this year there have been 55 sales of single family foreclosure listings in South Lake Tahoe. There have been 154 homes sold in South Lake Tahoe, so 55 out of 154 ( 36%) of the home sales in South Lake Tahoe have been bank owned foreclosures.

For more information about bank owned properties in South Lake Tahoe or any questions regarding South Lake Tahoe real estate, please call Brent and Jill Johnson at (530) 416-2625.

Foreclosures in South Lake Tahoe Year to Date

Foreclosures in South Lake Tahoe have been changing the South Lake Tahoe real estate market for the last year. Most of the buyers that are investing in real estate in South Lake Tahoe are looking to take advantage of low prices and searching for deals. Bank owned properties seem to be topping the list for the buyers seeking good deals on homes. Are buyers really getting that good of a deal? Lets start off with the statistics.

So far this year there have been 77 single family houses in South Lake Tahoe that have closed escrow according to our mls. Out of the 77 sold homes, 27 were bank owned foreclosures. The reason that I say that the foreclosures are changing the South Lake Tahoe real estate market is because they change the statistics so dramatically.

Foreclosures in South Lake Tahoe vs non-foreclosures/ Price per square foot

Lets look at the average price per square foot. The average price per square foot of the 77 houses in South Lake Tahoe that have sold this year was $231 per square foot. That is 20% less than the same time last year in which the average price per square foot of the sold homes was $287.

Lets look further into price per square foot. The average price per square foot for the 27 foreclosures in South Lake Tahoe that have sold this year is only $196 per square foot. If I take out the foreclosures and re-run the statistics the average price per square foot jumps up to $252. With out the sold foreclosures in the comps the average price per square foot is only down 12%.

Foreclosures in South Lake Tahoe/ average sales price

The foreclosure listings also brought down the average sales price substantially. The average sales price for the 77 houses in South Lake Tahoe that have sold year-to-date was $408,874. The average sales price for the foreclosures in South Lake Tahoe was $309,185. Again, if I re-run the statistics with out the foreclosure listings, the average sales price jumps up to $458,508.

South Lake Tahoe Foreclosures/ Days on the market

There is one statistic that foreclosures are bringing down that is not necessarily a bad thing, days on the market. The average days on the market for the houses in South Lake Tahoe that have sold year-to-date is 170. The average days on the market for the sold foreclosures is only 97 (including the escrow period which is an average of 45 days). If I take out the foreclosures, the days on the market goes up to 190 days.

Not all foreclosures in South Lake Tahoe are “Great Deals”!

Now that you know that foreclosures in South Lake Tahoe are selling for less per square foot and have an average sales price that is less than non-foreclosures, you may be thinking that foreclosures are the way to go. Not all foreclosures are created equal! There is a reason that foreclosures in South Lake Tahoe are selling for under $200 per square foot. Yes, banks price foreclosures to sell quickly, but be aware of the repair and upgrading costs.

Lets say that you have narrowed down your possible home purchase to two homes, a foreclosure that needs some work for $300,000, and a non-foreclosure that is in move in condition for $350,000. Currently 90% of the buyers will go for the foreclosure. This means that you may be competing against other buyers, and may need to pay close to full price, if not over full price to get the foreclosure. The non-foreclosure on the other hand may have been on the market for 120+ days and has motivated sellers waiting to see their first offer! Now lets look at the condition of the homes. If the foreclosure needs paint, carpet, appliances, and minor repairs you may end up paying even more than you would have paid for the non-foreclosure.

Some foreclosure listings in South Lake Tahoe are very good deals, but many buyers are overlooking the non-foreclosure listings that may also have great potential.

Give Brent and Jill Johnson a call today to set up an appointment to view the non-foreclosure and foreclosure listings on the South Lake Tahoe mls. Feel free to contact us today with any of your South Lake Tahoe real estate questions!