February 2, 2010

Lake Tahoe real estate: How to sell a $12.5 million home in Incline Village

RENO, Nev. — Every multi-million dollar house on the market, Megan Warren says, needs a story.

Maybe it’s a story about the role of the home in history. Or the part it played in a famous life.

So when the Donovan Group of Chase International sat down to begin developing the marketing plan for a 7,130-square-foot home in Incline Village that just hit the market with a $12.5 million price tag, one of the first jobs undertaken by Warren and Kerry Donovan, the co-listing agents, was development of the home’s story.

Built in 1999, the house at Lakeshore Boulevard and Highway 28 hasn’t been around long enough to carry tales of history or celebrity.

Instead, the Donovan Group built the story of the house around its builder — longtime Incline Village contractor Ira Rodman. The story of the house focuses on its design that takes advantage of an unusually shaped parcel along a private cove on Lake Tahoe. The story pays substantial attention, too, to Rodman’s craftsmanship in details ranging from hickory flooring to massive ceiling beams.

Equally important, Warren says, is the creation of a name for luxury properties on the market — “Secret Cove” in this case.

Preparation for the marketing of the home also includes creation of a portfolio of professional photography as well as the registration of a domain name, www.1169lakeshore.com, as a home for the photographs and marketing materials.

Getting that message into the right hands, however, can present a challenge.

“Our buyer could be 20 years old. Or 50. Or 70,” Warren says.

That dictates a strategy that includes everything from social messaging and text messages to traditional advertising in glossy magazines such as Premiere Homes.

The marketing plan also includes Realtor.com, the Web site that’s used by shoppers for $12.5 million luxury properties just as it’s used by shoppers for $150,000 starter homes.

“It generates tremendous traffic for us,” Warren says.

Public relations efforts by Truckee-based Switchback Communications also help carry the word. Last fall, press releases about another of Donovan’s listings at Lake Tahoe —the $34 million property known as Osprey Point — landed on the pages of both the Wall Street Journal and Architectural Digest.

Even with all the marketing efforts, Donovan says the process of selling a home priced above $10 million takes time to find a buyer whose heart and pocketbook match the property.

In fact, Warren says, Chase International tells sellers of properties priced at $10 million or more that they typically can wait two to four years to find a buyer.

What “Was” in Incline Village ,Nevada real estate in 2009

December 31, 2009

After today we are moving forward into a New Year,yeah.For all of us it’s time to refocus and recharge whether it’s business or pleasure.
Let’s look at the brass tacks in the Incline Village real estate market in 2009:

89 homes sold in 2009 vs 85 in 2008 (per our mls)There might be secret listings which sold and are not disclosed .
Of those 89::
5 above $4 million vs 2 in 2008
20 $2million-$4m vs 9 in 2008
21 $1m-$2m vs 34 in 2008
14 $999k-$700k vs.27 in 2008
15 $500-$699k vs.9 in 2008
10 under $500k and 0 in 2008

What about condo’s and townhomes?

69 condo’s sold in 2009 vs 64 in 2008
The most significant change in 2009,was 50 condo’s sold for under $500kand 11 condos for under or at $200k.Some severe pricing roll backs and opportunities!
24 townhomes(freestanding condos)vs.49 in 2008,20 below $1m,Some excellent locations and pricing for quality living with out the maintenance.

Make your own conclusions,but there was a definite shift in who spent money in 2009.Loans were tough to get and jumbo’s near impossible.Appraisals,good luck.There is no more of getting the number you need.The comps including bank owned properties and short sale are included in comps. 

Short sales were a reality along with bank owned properties at almost all price points.There are some great opportuniies here,even in the luxury segment,check out: www.996wedge.com New construction,fine finishes including 22′ ceilings in the great room,perfectly designed with a picturesque  views from every window.

The Seller and  bank are ready to move this property,call us for details.

 Our forecast for 2010 is that inventory will remain conisistant with 2009,and buyer’s that are tired of waiting for the bottom,will realize that life is short,and if you want the lifestyle,and pristine beauty of Lake Tahoe in your life’s plan,,why wait?
Interest rates are still low, combined with a healthy real estate inventory at all price points.
What are you waiting for? Review year-end  Lake Tahoe statistics below.

2009-end-year-stats_lt_fp