Spring weather and lower mortgage rates are accelerating the housing market, with some notable pending sales this week. This morning, the national average for a 30-year fixed-rate conventional mortgage is 5.99%, the 30-year Jumbo rate is 6.26%, and the 15-year fixed-rate is 5.6%. Inventory growth slowed this week, but fits and starts are typical for this time of year. Abundant sunshine and warmer weather are sure to kick things into overdrive over the next several weeks.
This morning in Deschutes County, listings between $1 million and $1,999,999 increased by four to 215. Eight sales are pending, with just two of those properties reducing their asking price before securing a contract by an average of 2.71%. Seven transactions closed this week, with four of those sales reducing the asking price an average of 4.62% before securing a buyer. The sold-to-original-list-price ratio, which shows how much the seller negotiated down for buyers, was 94.9%.
Moderate activity in the $2 million to $2,999,999 tranche has decreased supply by 2 listings from last week, to 53. Four sales are pending, and none of those properties reduced the asking price before securing a contract. Two transactions closed this week, the first at $2,350,000 on Starview Drive on Awbrey Butte, and the other at $2,750,000 on Lower Village Road above the Big Deschutes River in Bend. The Starview Road property was on the market a cumulative 584 days, and closed at 85.45% of the original list price. The Lower Village Road property was marketed for 215 days and closed at 91.82% of the original list price.
Listings over $3 million in Deschutes County are up by 1, to 29. Two sales are pending: $3,635,000 in Caldera Springs and $17,495,000 for R&R Ranch (previously known as the R&B Ranch). Caldera Springs is building out phase two of the neighborhood, with consistent sales as new properties hit the market. For those keeping an eye on the high end of Central Oregon housing, the pending sale of R&R Ranch is notable. The last sale of the R&R Ranch was on August 15, 2023, for $15 million. However, the seller carried back another $1 million, bringing the total to $16 million. I will report on the final negotiated sale price when the transaction closes. No transactions closed this week.
Crook County inventory over $1 million increased by two to 36 this week. Two sales are pending, one at $1,125,000 on Mount Adams Loop in West Powell Butte Estates, and the other at $1,445,000 in Powell Butte. Neither of the pending sales reduced their asking price before securing a contract. No transactions closed this week.
Deschutes County farm listings over $1 million are finally showing signs of life, increasing by three to 14. No sales are pending, but one property closed for $1,375,000 on Deschutes Market Road. While this sale is categorized as a hobby farm, the property was marketed as a development parcel, with plans to subdivide into five parcels, with the sixth parcel designated for the existing home.
Crook County Farm listings are stable at 12 with no pending or closed transactions.
It is a busy time of year for the luxury market, with many sellers preparing to list for the peak season. With the most stable conditions in several years, I expect sales above $1 million to surpass last year's levels. The biggest factor will be how much buyer demand increases, something you will see reported here first. The majority of the truly unique luxury properties require longer marketing times, in some cases, a year or more. Of course, some properties will secure a buyer rapidly, and with enough buyer demand, that percentage will increase. However long it takes, positioning your property today ensures the most feedback and exposure during the busiest time of year. For buyers, now is the time to secure financing so they are ready when the perfect property comes along. I work with the best lenders in the business, so reach out if you need a contact to get ready for the busy season ahead.
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