The phrase "the elephant in the room" implies a big issue beinbg ignored; when it comes to the economy and tariffs, it seems to be on everyone's mind, particularly stock traders. In the luxury housing markets, it stands to reason that economic volatility would slow activity, which is what this week's numbers show. Last week, the 30-year Jumbo mortgage national average dipped to 6.8%, but as the 10-year Treasury yields spiked to 4.526%, the Jumbo national average shot up to 7.2%. While many luxury buyers engage in cash deals, a 40 basis point swing in mortgage rates is bound to get some attention.
There are 295 single-family listings between the active $1M and $1,999,999 range in Deschutes County, up nineteen from last week. Ten pending listings are the lowest of the previous six weeks, but the median days listed for the pending sales was only eight. Single-digit days on the market are a significant metric and a sign that buyers are wasting no time scooping up desirable properties. Fourteen transactions closed this week at a median marketing time of only twelve days. Less than two weeks of marketing time is notable for both closed and pending sales.
Eighty-five listings are in Deschutes County between $2M and $2,999,999, an increase of four from last week. After just two days listed, one pending sale at $2,050,000 is in the MLS. No transactions were recorded this week.
Inventory in Deschutes County above $3M is unchanged at thirty-one. One pending sale at $3,550,000 is in the MLS with a marketing time of 292 days. For unique properties on acreage in the higher price points, longer marketing times are not uncommon before finding the right buyer. Three transactions closed at $3,100,000 (list price $3,149,900), full price at $3,150,000, and $3,600,000. The last closing at $3.6M was listed for $3.1M but came to market on December 12, 2022, for $4.5M. There is always more to the story if you dig a little!
This morning, 52 single-family homes are listed in Crook County above $1M, an increase of four from last week. Two pending sales occurred over the previous week: one for $1,250,000 in Brasada Ranch and another for $1,799,000 in Powell Butte. There was one closed transaction in Brasada Ranch at $1,625,000.
In my weekly market report, which I send on Wednesdays, I track all price points for single-family homes in Deschutes County, which is a great way to track trends in the overall market. However, the smaller data pool for luxury listings in Central Oregon makes identifying trends less apparent. The analysis is more straightforward for established subdivisions and communities like Brasada Ranch or Tetherow. However, with large acreage properties in unique locations, the analysis requires local knowledge and a different approach
