“March Madness” in Bend
“March Madness” . . . perhaps the only way to describe the action in the Bend real estate market this last month. We saw the sale of 162 homes in Bend (not bad, up 50% from February’s 108); but there were other indicators that were even more revealing.
Median Price Soars in Bend
Though still nowhere near the halcyon days of July 2005, when Bend’s median price crested at an absurd $396,000, nevertheless we saw things jump to $284,000 . . . a shocking 20% over the previous month. This bump is a function of the dearth of low end inventory . . . in essence, our entire price structure has moved up one notch. With the exception of the high end, we’re in the midst of a full on sellers’ market. Check out this market snapshot.
Note–the National Association of Realtors (NAR–not to be confused with the NRA!) considers 6 months of inventory to be a “balanced market.”
Pending Sales/Distressed Properties/For Sale Inventory
“Pended” sales were off the chart in March . . . 206 to be exact. That’s the highest number in years, and bodes well as we move into the summer. Distressed properties accounted for not quite 19% of sales in March . . . that’s a good thing. Just a year ago, that number was running at 57%. Our inventory levels remain exceedingly low; there are going to be some hungry realtors with nothing to sell.
Range of Home Sales in Bend
The low end leader for the month of March was an “adorable 1940’s cottage in south midtown” (I think that’s a euphemism for something); the short sale went for $72,860 or $63 per square foot.
The home offered 2 bedrooms and a bathroom, 1160 square feet. I love this marketing photo from MLS
. . . let’s see, what did they have for lunch? Looks like popcorn and red wine; they appear to be 49’er fans as well! An interesting caveat on this sale–the new owner is to install sidewalks within a year of the sale.
The big winner for the month was a beautiful Jim Norman design in the “heart of Broken Top” (see all Broken Top homes for sale).
The 3 bedroom, 3.5 bath, 3057 square foot home sold for an even one million ($327/ sq. ft.). Interestingly, it was only on the market for 32 days . . . I guess that shows that if a home is priced “right,” it will sell quickly, even at the high end. The home featured a wonderful stone fireplace.
It sold previously for $1 M in 2004, and for $900,000 in 2009. I don’t know what this means.
What Lies Ahead ?
We’re still plagued by a lack of for sale inventory (376 homes on the market . . . up slightly from previous posts), causing unsustainable price increases. On the positive side, this same lack of inventory has buoyed the new construction side of things and created new jobs. Building permits continue to be issued at a 5 year high. I don’t think anyone can yet explain the impact of judicial foreclosures or the effect they will have on our market. Stay tuned!
If prices are so high, why aren’t more folks selling? We’re still nowhere near the heights of the boom market, but I guess the real answer is that they are afraid they’ll be unable to find suitable replacement properties as prices continue to rise.
Check out our Bend Map and Lifestyle Search . . . a great way to waste a lot of time!
If you’re one of those considering selling, give us a call. We’d be happy to do a no obligation market valuation for you.
