The Central Oregon real estate market was a bit of surprise in July.
Two surprises actually. The first surprise was the the increase in inventory. It wasn’t that the number of homes for sale actually increased in July because there are usually more homes for sale in Central Oregon during July than any other month of the year. The surprise was how much inventory rose.
Historically the difference between the number of homes for sale in June and July is relatively small. Over the last three years the increase in inventory has not exceeded 2.4 percent from June to July. In fact, last year it only improved nine tenths of a percent. The surprise increase this year of 8.3 percent could be a precursor to strong real estate sales activity into autumn.
Inventory isn’t the only indicator of strong activity heading into fall. Pended sales were even more of a surprise than the number of homes for sale in July. Home sales are considered pending when the buyer and seller of a home agree to terms of the sale. The number of pending sales jumped 18.6 percent from June to July. Compare that to the last two years when they have fallen about 6.5 percent in July. Even in 2010 when pending sales went up from June to July, they only went up 9.0 percent.
It is nice to see inventory continue its climb out of the hole that was February. The number of homes for sale will continue to drive our real estate market for the foreseeable future because it is more than apparent that demand for homes in Bend and Central Oregon isn’t going anywhere soon (except perhaps seasonally).
* Sales data courtesy of Central Oregon MLS