The last few years have been tough for buyers, with so few homes listed for sale, but that trend is loosening up. In mid-April 2022, there were 333 single-family homes listed in Deschutes County. This week last year, 525 single-family homes were available, and this morning shows 719 listings, an increase year-over-year of 36.95%. However, pent-up demand has the market moving quickly, with seventeen days on the market for the sixty-eight pending sales this week and twenty days for the forty-five closed transactions. Several desirable properties were placed under contract this week in single-digit days on the market.
The median price reduction of -2.3% for closed sales in Deschutes County continues the trend of sellers getting very close to the asking price. The sale price to the original list price percentage was 98.29% for the week. While the median sale price reflects a reduction from the list price, scrolling through the sales shows seventeen of the forty-five closed sales going for more than the list price. Nineteen of the forty-five sales were on the market for a single-digit number of days.
This morning, the 30-year fixed-rate conventional mortgage national average is 7.06%, with the 10-year Treasury at 4.343%. With March CPI coming in at a hotter-than-expected +0.4% month-over-month and 3.5% year-over-year, a June rate pivot from the Fed is increasingly unlikely. Regular readers of my report will recall that I have cautioned against expecting any rate cuts in 2024, and many analysts have backed down from three projected cuts to two recently. At the beginning of the year, many analysts predicted seven rate cuts at 25 basis points each, or 1.75%. With the six-month Federal deficit at $1.1T, oil prices rising, and national and global supply chain disruptions, inflation is rising no matter how optimisticly Wall Street tries to paint the picture. JPMorgan Chase CEO Jamie Dimon wrote candidly this week about his optimism regarding the US economy while cautioning against the risks of the myriad geopolitical events. For housing, this means rates will remain higher, longer, but buyers seem to have adjusted to that reality and are undeterred.
Single-family homes for sale in Crook County increased to 112, down nine from last year's week. Eight pending single-family homes sold at thirty-nine days on the market. Six properties closed at twenty-nine days on the market and a median sale price of $454,945 to round out the week's activity. Pending and closed transactions in Brasada Ranch and Powell Butte pulled up the median sale price from the 427k sold price of the five Prineville properties closed this week.
Jefferson County inventory increased by five to seventy-nine single-family homes listed at a median of $445k and an average of $572,784. The six pending sales were on the market for forty days with a median price of $289,000—three homes sold at a median of $450k and an average of $489k.
With stable mortgage rates, rising inventory, and peak selling season just around the corner, I expect to see strong buyer demand continue. Buyers are stepping up to snag new listings without hesitation, and attractive properties are moving quickly. Today's firmly established trends have been taking shape for several weeks. Increased inventory in our current environment means increased sales. The market might not be moving as dizzyingly fast as the peak pandemic activity levels, but it isn't far off. Growth in Central Oregon continues, with a seemingly endless stream of buyers. When you see a home that fits your needs, waiting likely means missing out.
I create individual market analyses for my clients almost daily, so please don't hesitate to reach out if you need my expert opinion on any home you are considering. From La Pine to Madras, Bend to Prineville, and all points in between, I am intimately familiar with Central Oregon real estate and here to help you!
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