After a low several weeks ago of 5.99% for the national average on 30-year fixed-rate mortgages, rates have settled in near 6.5%. Barring anything significant, I expect rates to stay near this range for the bulk of the first half of summer. However, slightly higher-than-expected rates have not deterred buyers, and the steady market continues, with increased activity as the busier season draws near.
This morning in Deschutes County, inventory took another significant jump, adding 44 new listings for a total of 1,203 single-family homes. Ninety-six pending sales are down one from last week, with the last two weeks surpassing 90 for the first time this year. Sixty-one closed transactions are down two from last week, with the sold-to-orifinal-list-price ratio at 95.93%. The market is building towards peak season at a steady, predictable rate.
Crook County inventory increased by 8 to 226 single-family homes listed. Fifteen pending sales are down by 2 from last week. The last two weeks are the first of the year with pending sales at 15 or more. Eight transactions closed this week, double last week's number, with the sold-to-original-list-price ratio at 98.67%. Increased activity and firm prices in the county indicate strong buyer demand.
In Jefferson County, inventory increased by 3 this week to 137. Seven sales are pending, up by 4 from last week. Eight closed transactions are up by 2 from last week, with the sold-to-original-list-price ratio at 98.12%. Only two of the closed transactions reduced the asking price before securing a buyer, by an average of 0.048%, indicating the current strength of the market.
The first day of summer is still weeks away, and the Central Oregon housing market's busiest season generally begins after the Memorial Day weekend. Peak inventory typically occurs between late July and mid-August, with two slight lulls in the season occurring around the Fourth of July and Labor Day in early September. The time between Labor Day and just before Thanksgiving can be one of the busiest times of the year. The summer holidays create three significant blocks of time in our market, as Central Oregon housing is just starting to heat up!
I have written these weekly reports every Wednesday for seven years, but next week I will be taking a break with the next report due out later in May. See you when I return!
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