This morning in all Bend zip codes, there are 112 single-family homes for sale with a median list price of $1,137,000 and 23 days on the market. Last week there were 53 homes sold with a median list price of $599,900 and a median sale price of $670,000, illustrating the multiple offer scenario many sellers experience. The average days on the market for sold homes last week was four. The median home in Bend that sold last week was three bedrooms, three bathrooms, and 2,095 square feet. With mortgage interest rates falling below 3% this week, expect this housing madness to continue.
Despite the low rates, many buyers are having difficulty finding an appropriate home in their price range. Under normal circumstances, low interest rates would be creating more home sales, but increasing prices, and more precisely, lack of inventory, has dampened sales activity. For example, this week in 2018 saw mortgage interest rates of 4.58%, with 62 homes sold in Bend, compared with 53 last week. The median sale price for homes sold this week in 2018 was 435k, with three bedrooms, three bathrooms, and 2081 square feet. The median sale price in Bend has increased 54% in three years!
Typically, we would see a build-up of inventory at this time of year, with prices peaking in late summer. This year shows no signs of homes accumulating or any significant headwinds for home sellers. The FED doesn't see inflation in their charts (Jerome Powell must not have to buy gas or groceries!) and plans to continue the policies creating our housing boom. Most buyers pay less to own than rent, and locking in a rate below 3% is never a bad idea.