The housing market in Central Oregon remains strong, bolstered by consistent growth, predicted to continue for several years. This year in particular, the luxury market is outperforming the overall market, but the market below $1 million is still doing well. In 2023, YTD home sales of single-family homes totalled 1,491, 1,506 in 2024, and 1,481 this year. The median sale price for sales below $1 million in 2023 was $590k, in 2024 it was $635k, and in 2025 $620k. The slight decrease YTD on the median sale price this year is primarily attributed to increased inventory, creating more competition between sellers not seen in several years.
Over $1 million, sales in 2023 totalled 360, with 441 in 2024, and 466 YTD in 2025. The median sale prices during these periods were $1,356,000 in 2023, $1,375,000, and 1,430,00 so far in 2025. Activity in the high-end of the market is on pace to exceed last year's total, with the median sale price increasing. None of these numbers represents a massive change, but the stability is notable in the face of higher interest rates.
This morning in Deschutes County, listings between $1 million and $1,999,999 total 423, up by two from last week. Nineteen pending sales with ten price changes match last week's volume, with the average price reduction for the ten sales at -10.29%. The average price deductions are increasing as we get closer to fall, with many sellers ready to negotiate to make a sale. Seventeen transactions closed this week, with five reducing the price by an average of -8.55%.
Inventory of single-family homes in Deschutes County between $2 million and $2,999,999 remains at 105 this week. There were two pending sales, one at $2,450,000 and the other at $2,445,000, with no price reduction before securing a contract. Four homes sold with one price reduction at -10.59%.
There are forty-six homes listed above $3 million, a decrease of three from last week. Two pending sales occurred at $3,595,000 and $4,099,000, with the average reduction before securing a contract at -7.98%. There were two closed transactions at $3,300,000 and $5,350,000 with no price reductions.
There wasn't any activity in the Deschutes or Crook County farm listings over $1 million.
Crook County listings over $1 million increased by one to 74, with one pending sale at $2,485,000 in Brasada Ranch. The Brasada Ranch pending sale reduced the asking price by 7.96% before securing a buyer. One transaction closed this week at $1,100,000, with the price reduced by 6.27%.
The trends of increased price reductions and steady activity will continue through Labor Day and beyond, before our seasonal slowdown heading into the holiday season. No matter whether you are buying or selling, the steady activity is making for the best conditions seen in several years, with the market slightly favoring buyers. Setting prices high is not an effective strategy for sellers, even with strong market conditions in the luxury market. That doesn't mean sellers need to price at deep discounts, and in most cases, sale prices are exceeding those of recent years. However, buyers today are sensitive to value, and are not jumping on over-priced listings. A great example of this was a recent auction sale on Dodds Road near Alfalfa. The Dodds Road property was initially listed nearly a year ago at $10.9 million, was reduced to $9.9 million, and just sold at auction for $5.38 million. I believed from the start that the property was grossly overpriced, and the auction results prove that. Pricing correctly in today's market is crucial!
