Central Oregon Real Estate Update
Those who follow the Central Oregon real estate market regularly review the monthly Beacon Report. I noticed several interesting facts in the June report, which details activities through May.
Bend, Oregon Market Update
The median list price jumped 11% from the prior month to $745,000. This price point is basically the same as the average over the course of last summer. The median sales price per square foot is just 2% lower than the average from last summer. It will be interesting to see how this plays out for the rest of this summer.
Inventory levels last month increased moderately to 1.7 months but are still considered to be very tight. The pace of sales continues to be incredibly brisk, with the average days on the market to be just 7 days.
The number of sales are down 28% from the same month last year.
Redmond, Oregon Market Update
The median list price is $472,000, which is about 10% lower than the average from last summer. The median price per square foot is down about 4% from the average from last summer.
Last month, Inventory levels increased to 2 months and days, with average days on the market increased slightly to 20 days. So the sales pace in Redmond is brisk but less so than in Bend.
The sales are down 34% from the same month last year.
Normally, you would expect that higher mortgage rates would cause home prices to pull back as people simply cannot afford as much and demand softens. But the higher mortgage rates also discourage homeowners from selling their homes, which keeps inventory levels low and home prices high. Demand for homes in Central Oregon remains high, and with low inventories, it sure seems to this observer that we will see more home price appreciation this summer. You can read more about how homeowners feel stuck in their current homes by checking out last month’s blog here.
Here is a link to the Beacon Report if you want more details: https://beaconappraisal.net/market-overviews/
As always, I can answer any questions seven days a week, including weekends. Give me a call at 541-420-2625 or email me at andy@a2zhomeloans.net. I look forward to speaking with you soon.