Activity slows in snow-filled January
The snow we experienced in January didn’t match the depths of what we saw in January 2017, but the Bend, Oregon, real estate market showed strong similarities to that of three years ago.
- There were 280 active listings in January 2020. The only January on record with fewer listings was 2017, when there were 275.
- At the end of January 2020, 186 sales were pending. That is one more pending sale than there was at the end of January 2017.
- During January 2020, 142 new homes came to the market. That’s the fewest for any January since … you guessed it … 2017.
Given the relative scarcity of homes on the market, the volume of sales in January 2020 – 135 homes closed – shows the strength of the demand on the part of buyers. That demand contributed to an increase in the month’s median sales price from December 2019 of $439,995 to $447,000 – a 1.6 percent rise.
When trying to identify reliable trends in the market, comparing the same month across years can be more useful than looking at month-over-month differences. January 2020’s median price represented a 0.3 percent decrease from January 2019’s $448,500.
Dating to the start of 2012, the year-over-year median sales price for a given month in the Bend, Oregon, real estate market has declined six times – but three of those six instances have come in the last eight months. How to read that? Well, it’s worth emphasizing that in all three of these most recent year-over-year declines, the amount of the dip has been less than 1 percent. And, as is well known, the overall trend line for Bend’s median sales price is going up.
Two other data points seem to show that sellers are generally in a firm position.
One is the average sales price to list price. That figure was 99 percent in January, whereas a 98 percent number isn’t uncommon for that month.
The other is the ratio of homes with reduced prices to total listings. Of January’s 280 active listings, 41 (14.6 percent) had a reduced price. That’s the lowest reduced-to-active percentage for a January since 2017 (of course!) and the third-lowest for any January in our 13-year data set.
Our monthly check-in on the inventory of homes for sale in the Bend, Oregon, real estate market confirms that demand remains strong. The inventory of 3.4 months matches the lowest January on record (2016). As usual, the overall inventory is accentuated by the abundant homes for sale at the highest end of the price spectrum. For price tiers at $625,000 and below, the largest inventory was 1.9 months.
Despite some anomalies in the data from January 2020 – relatively few listings, a year-over-year decrease in the sales price – the Bend market remains a vibrant, dynamic environment. The desire of people to live in Bend appears to be unrelenting, making it a great time to be in the real estate market. If you’re looking to buy or considering selling your home, I’m confident I can be of assistance. My experience, my knowledge of the Bend market and my ethical commitment to my clients and my profession make a winning combination. I encourage you to contact me at (541) 362-1031 or to visit Bend Property Search to connect with me through my website.