For the last few years the Central Oregon real estate market has been a buyer’s market. Buyers have had their pick of homes at prices not seen in these parts for years. The average price per square foot dropped as low as $102 but there were homes that sold as low as $50 per square foot and buyers had their pick of great deals. But those days appear to be over.
Over the last year the tides have turned against buyers and the market has become more favorable to sellers. The average price per square foot rose to $123 in January of this year. The number of bank owned homes for sale has been steadily declining to the point that today they account for less than one percent* of all single family, stick built homes for sale in Bend. Bank owned homes are no longer dragging prices down with them. While they used to sell at a steep discount compared to traditional sales, today any discount is marginal.
One thing that may surprise some is despite the fact that prices are rising and competition amongst buyers for the few houses that are for sale is strong, buyers are staying in the game. The number of buyers from month to month has stayed pretty steady and that tells us that there are even more out there waiting for the right house to hit MLS. If you look at the second graph in this post from last week you can see that there were actually more homes sold in 2012 (4244) than 2011 (3763) even though prices were higher and there were fewer homes to choose from.
Those who should consider selling now are people who are not under water with their mortgage and have been wanting to buy a bigger home or more land or those who bought in the last three years and are looking to lock in profits made through rising prices. We are once again seeing homeowners with equity and if you are unsure of your situation please give us a call at (541) 508-2930 for a FREE market analysis of your home. Find out what your home is worth, today.