The small village of Incline, located on the Nevada side of Lake Tahoe, is seeing a surge of ultra-wealthy individuals from California, eager to escape the proposed millionaire tax in their home state.
Notable figures from Silicon Valley, including Google co-founder Sergey Brin, SpaceX investor Steve Jurvetson, and AI entrepreneur Naveen Rao, have recently relocated to this town, attracted by Nevada’s more favorable tax environment ahead of California’s planned “billionaire tax.”
According to Cole Misak, a luxury real estate broker in the area, the primary clientele consists of Californians seeking tax advantages and those interested in second homes. “Our main market is definitely these Californians,” he said.
In the decade that Misak has operated in real estate, he noticed that a majority of his clients are from the Bay Area and Washington state. “There’s been a noticeable trend, particularly in the $10 million to $20 million home category,” he mentioned, with several sales in that price range already this year.
This year alone, there have been six homes sold over the $10 million mark, with three more currently in escrow. “In that same period last year, we didn’t have nearly this much activity,” he added.
He also noted an interesting shift in the luxury market, explaining that previously there were no sales in the $20 million and above category at this time last year, but so far this year, four have already been sold.
Misak attributed some of this surge to both California’s proposed billionaire tax and a similar measure passed in Washington. Rao, who operates a business in Palo Alto, made headlines when he moved his family into a $20 million mansion nearby. Describing his new neighborhood as “the nicest neighborhood in San Francisco”, he praised the area’s natural beauty, noting, “Everything feels so clean and pure.”
Kristin Perry, another local real estate agent, confirmed this trend, observing that tech elites are showing increased interest in the region. “My clients are wealthy individuals looking to establish a presence here,” she shared. “It’s almost like a rush stemming from the recent wealth tax discussions.”
One client, Blinn, recently purchased a stunning $42 million estate in Crystal Bay. The sprawling property includes luxurious amenities like a theater, extensive wine cellar, and over 500 feet of lakefront.
The first few months of this year have already matched the overall sales figures of the previous year, with April alone accounting for nearly $70 million in sales in Incline Village and Crystal Bay.
There’s also speculation that the area is becoming a prime haven for both billionaires and aspiring billionaires, one of whom is Matthew Nordby, a venture capitalist. He labeled Incline as “the Hamptons of San Francisco,” suggesting that it serves as an attractive alternative for business activities instead of Silicon Valley’s traditional hubs.
As for tax implications, a ballot initiative, known as the “Billionaire Tax Act of 2026,” proposes a one-time tax of 5% on the net worth of billionaires in California, with a vote likely in November. Meanwhile, a historic resort nearby that was once frequented by celebrities like Frank Sinatra is being redeveloped, potentially adding another layer of luxury entertainment to the area.
According to executives behind the project, they believe the market for luxury accommodations is severely underserved, hinting at promising prospects for the future.
