There were more houses for sale in the Bend, Oregon, real estate market in March than in February, but it seems all the additional homes weren’t long for the market.
A total of 267 homes were new to the market in March. That’s the most additions to the market in seven months. But the speed at which homes sold was such that the inventory – the measure of how long it would take for all homes on the market to sell, given the pace of sales – actually dropped from February to March.
And a month after the median price set a record (by more than 12 percent, exactly one month after the previous record high), that data point retreated. Barely. The median price went from $773,000 in February to $770,000 in March. That’s a drop of 0.4 percent.
Year over year, March’s median sales price was 28.9 percent more than in March 2021 ($597,500).
As shown by the second successive month with median prices at $770,000 or more, the Bend market welcomed the increased number of homes for sale. Even with more selection, the average days on market dripped to 20 days. That’s the lowest for any March in our data set (dating to the start of 2007); the only lower average DOM figures in any month since 2007 all came last year.
A total of 209 homes sold in March. That’s the most in any March for which we have data. It’s safe to assume, also, that it’s the most for any March (including those before 2007), given the size of the market compared with the size now, influenced as it is by the significant growth Bend has seen in that last 15 years.
Data also shows that buyers remained willing to pay for what they want. The average sales price to list price in March was 103 percent. Before the COVID-19 pandemic, a ratio of 98 percent or 99 percent in a given month was the norm. Now? The average sales price to list price has been at least 101 percent in 10 of the last 15 months.
Looking at the tiers of prices for homes in the Bend, Oregon, real estate market, we see that the tier with the most expensive homes – $925,100 or more – had more activity than any other. The month ended with 68 homes in that tier pending; only one time at the end of the previous 12 months was there that many pending sales in that price tier (79 in June 2021). March’s figure would seem to foreshadow another high median sales price in April.
A new variable has been inserted to the real estate market of Bend, Oregon, and elsewhere in the form of rising mortgage rates. According to Bankrate.com, the average rate for a 30-year fixed loan on April 11 was 5.06 percent. That’s up 0.73 percentage points from the 4.33 percent rate on March 11. (Of course, the 0.73 percentage point increase is also a 16.9 percent increase from 4.33 percent). Many industry observers have wondered what an increase in borrowing rates might mean for the market.
Regardless of the effect – if any – rising rates might have, I believe I can help you in your real estate experience. If you’re considering selling your home or in the market for a new home, I am confident I can bring my experience and ethics to bear on your behalf. I encourage you to contact me at (541) 362-1031 or to visit Bend Property Search to connect with me through my website.