MFH in Tahoe area - any expertise please

[Diane G.]

I am currently on vacation in Northstar, Truckee, CA.... And looking at multifamily in the general area, and saw a couple of properties in Incline Village & Carson City.... Any one has any expertise with the area?  Thanks for sharing....

[Wes Blackwell]

@Diane G. -- In the past 3 years, only three 2-4 unit multifamily properties have sold in the Tahoe area. And that's because for the most part those properties simply don't exist. And those that sold previously during the recession (8 more if you go all the way back to 2010) were picked up at such amazing prices they probably cash flow like crazy thanks to AirBnB and so the sellers have no intention of selling them anytime soon.

Lake Tahoe, just like Auburn and other more rural area, is full of SFR and properties on large acreage, and simply doesn't have the population density to demand 2-4 multifamily housing. For that you need to look to major metro areas like Sacramento, Modesto, Fresno, etc. Here's the map of all 2-4 unit properties sold in the past three years:

So short of looking up the mailing addresses and tax records of the building owners in Tahoe and contacting them directly to inquire about selling, I'm afraid you'll be waiting a real long time for one to come on the market.

But, you can make a ton of money with 2-4 unit properties in Sacramento area, and with the 10% increases in rents and 7.2% projected appreciation this year I can't think of a better possible market to invest in locally.

Hope this helps! Best of luck!