February Bend Real Estate Market Update – Inventories remain near record lows
Spring is in the air in Bend, Oregon….at least it felt like it last week, with temps in the 50’s, and multiple offers in the real estate world abound. In fact, in the first 7 weeks of this year I’ve had 8 homes close, or go into escrow, and 5 of those were the subject of multiple offer negotiations. Even though the median sales price came in at only $450K for January, I expect we will see that rise as the current median list price for homes pending as of today (2/17/2020) is near $500K!
For those out there shopping around, the inventory position leading into the end of the first quarter is still incredibly tight. New listings in the month of January were down 15% compared to the last 6 year average while homes that went into contract were up 6%, leaving “months of supply” based off of “pending” units at 1.8 months, exactly HALF of what we saw during this time last year. Buyer’s, don’t be fooled by Bend’s relatively flat median sales price this month. You will need to be aggressive with offers to win on your dream home.
Bend’s Median came in nearly flat to last year at $450K, keep in mind last January was a bit of an anomaly, with the median quickly retreating to $430K in February. Current pending homes indicate that February 2020 will result in a median sales price above $450K.
Inventory velocities showed a rebound in January, up above the 2-month level, but still down 35% to the 6 year trend for January.
The number of homes that went under contract in January was up significantly over 2019. Another sign our market is not cooling off at all.
New listings for January came in soft, down about 15% from the last 6 year trend. We need listings badly.
How are things shaping up for spring?
Well, if you know anyone looking to list their home I’d be happy to help them out because this is the time! We have incredibly low inventory, with no signs of relief on the way. This is especially true for West Bend where Northwest Crossing ,and most current Shevlin area neighborhoods are completely built out, and up and coming projects (Discovery West, Day Property, & proposed Pahlisch development between Shevlin and Mt Thielsen) will not see their first complete homes until late summer/early August. This area of town typically saw well over 60+ new construction homes each summer, and without this inventory for 2020, the market is going to be outrageously competitive.
SE and NE Bend have more to offer with larger projects in the works with Pahlisch, Hayden, D.R. Horton, and others waiting to fill the current void of resale homes available on the market.