Central Oregon Market Report

St. Patrick's Day Market Report

As we near the end of the first quarter of 2021, the robust real estate market is starting to encounter some headwinds. Except for Sisters and La Pine, every zip code in Central Oregon saw a decrease in the median list price last week. Combined, La Pine and Sisters have 52 properties for sale, which is keeping prices firm. For now. Deschutes County has 275 active listings, compared with ~200 over the previous several weeks, and the first increase in available inventory since 2018. Here is a year over year breakdown:

With rising mortgage interest rates, inflation, and now a proposed federal income tax increase, I expect our inventory to grow and our prices to moderate. How much remains to be seen, but the roaring real estate market's financial obstacles are building. Many "experts" predict solid economic recovery and a robust real estate market through 2021. Have you noticed how quickly the experts change their tune when the economy changes? Call me a pessimist, but I do not believe now is the time to over-extend into a home. That doesn't mean I am bearish on housing, and Central Oregon will continue to be a great place to call home! Keep in mind that markets are cyclical, and the shorter your ownership timeline, the more critical it is to not overpay.