Lake Tahoe Real Estate Blog | Tahoe Homes, Real Estate & Properties.

Lake Tahoe Real Estate Blog

RSS

South Lake Tahoe, CA Market Statistics

Stateline, NV Market Statistics

Lake Tahoe Blog iPod

Shuffle Show
Our Bolero Button

Stat Counter

The Characteristics of the South Lake Tahoe Second Home Buyer

June 29th, 2010 categories: Buyers Report, For Buyers, For Sellers, Lake Tahoe Real Estate, South Lake Tahoe Statistics, South Lake Tahoe, CA, Stateline, NV

About 65% of South Lake Tahoe Homes are Second Home/Vacation Properties.

We often write about, or use the phrase second home buyer characteristics, which makes sense. South Lake Tahoe is very much a second home resort real estate market.

Some 65% of our area homeowners live elsewhere. This means that about a third of South Lake Tahoe homes are primary residences.

We last did a specific study on vacation-second home buyers here. Though these characteristics are essentially the same, we thought it would be of interest to look at the most recent surveys, and give you the opportunity to download the source material (see below).

Before we look at the particulars, there are a few key characteristics of the vacation-second home buyer that we always have in mind, and we think these are important, especially as it relates to our style and manner when representing a buyer:

The vacation-second home buyer lacks urgency.
The vacation-second home buyer is overqualified financially.
The vacation-second home buyer is looking for a family retreat.

Of these, we think lack of urgency is really important to understand to best represent a buyer. What we like to do is "mirror" a buyers pace if we can. If a buyer seems to want to move quickly, we quicken our pace. If the buyer moves slowly, we respond in kind.

Sometimes, though, a particular house or situation does require urgency. An underpriced house, or one that is right priced and exceptionally attractive can require immediate action to get it. In cases such as this, we do recommend that the vacation-second home buyer move as quickly as they possibly can.

If we ever quicken our pace, it is because we don't want a buyer to miss out on something they obviously really like. We are never in a hurry just to make a sale. Buyer comfort to us is king.

Now for the particulars…

2010 Vacation Home Buyers Survey (based on 2009 buying trends)

Sales and Prices:

Some 10% of U.S. home sales were vacation-second home properties.
1 % more vacation-second homes sold in 2009 compared to 2008.

Buyer Characteristics:

The median age of the vacation-second home buyer in 2009 was 46 years of age.
28% of vacation-second home buyers were over 55 years of age.
The median household income of 2009 vacation-second home buyers was $87,500.
39% of vacation-second home buyers had a household income that exceeded $100,000.
73% of 2009 vacation-second home buyers were married.
49% of 2009 vacation-second home buyer households had no children under age 18.
86% of 2009 vacation-second home buyers were Caucasian.

Property Characteristics:

55% of 2009 vacation-home sales were in a small town or rural area.
50% of 2009 vacation-home sales were in the South.
71% of 2009 vacation-second home sales were single-family homes.
74% of 2009 vacation-second home sales were existing properties (not new).
The median distance away from primary residence was 348 miles.

Method of Purchase and Financing:

54% of 2009 vacation-second home buyers used a real estate agent or broker.
10% of 2009 vacation-second home sales were a foreclosure or trustee sale.
27% of 2009 vacation-second home sales were directly from an owner (17% that buyer knew, 10% that buyer didn't know).
32% of 2009 vacation-second home buyers looked first on the internet to shop for a home.
12% of 2009 vacation-second home buyers contacted a real estate agent first to shop for a home.
26% of 2009 vacation-second home buyers found the home they purchased on the internet.
25% of 2009 vacation-second home buyers found the home they purchased with a real estate agent.
70% of 2009 vacation-second home sales used a mortgage.

Internet Use:

Nine out of ten home buyers use the Internet in their home search process.
Is our experience that buyers contact us… after internet searching first.
More often we find the home the buyer buys, rather than what they exactly saw on the internet.

Buyer Motivations and Expectations:

89% purchased their vacation-second home as a family retreat.
29% purchased their second home because it was a "good investment" opportunity.
25% purchased their second home to rent to others.
14% purchased their second home for tax benefits.
26% purchased their second home as a future primary residence.
80% purchased their second home because they believe now is a good time to purchase.

(download NAR 2010 Vacation Home Buyer survey here)

A few other relevant articles:
August 17, 2007: South Lake Tahoe Home Buyers, a Summary
June 2, 2009: The Top Ten States where Nevada Home Buyers Are

Why we publish this blog:
We support our families by helping folks buy and sell real estate. The goal here is twofold: to show you convincingly why you should consider asking us for help, and that you can trust the help you will find.

Email us directly here. Call us: 800-923-9022.
Search South Lake Tahoe, CA listings here. Search Stateline, NV listings here. Automatic Listing notification here.