Activity across Central Oregon remains steady, but differences between Deschutes County, the region's largest population center, and smaller Crook and Jefferson counties are beginning to emerge. Inventory remains elevated compared with recent years, but the seasonal slowdown into winter, combined with steady sales, has reduced the number of homes actively listed. However, with the national average for a 30-year fixed-rate mortgage at 6.31%, conditions have brought some much-needed relief for buyers.
Inventory of single-family homes in Deschutes County dropped 40 this week to 1,282, a level not seen since early May. Sixty-seven pending sales this week at an average of $905,972 is just shy of the pending sales average of the past two months of seventy. There were forty-eight closed transactions this week, averaging $889,926.
Crook County inventory dropped by six to 222 single-family listings, a volume last seen in late May. Seven pending sales are on par with the past several weeks, with an average list price of $476,114. There were seven closed transactions this week, averaging $758,214, with one in Powell Butte and another in Brasada Ranch. The Powell Butte properties, including Brasada Ranch, generally sell at prices well above the average Prineville sale price, and just two of seven Powell Butte sales this week raised the average sale price. The overwhelming majority of sales over $1 million in Crook County take place around Powell Butte.
The inventory in Jefferson County dropped by one this week to 128 single-family listings. On July 30 this year, the inventory was at 120, before spiking to 131 the following week. I assume that sellers recognized the steady activity and flooded the market later in the year, since an increase in inventory this late in the year is not typical. Four pending sales this week averaged $388,225, with two closed transactions at $265,000 in Madras and $465,000 in Metolius.
Conditions continue to favor buyers this fall in Central Oregon, but as winter looms, inventory decline will steepen. After some early snow in the mountains and brisk morning temperatures as of late, expect mild temperatures for the next several days. Cold temperatures and significant snowfall significantly slow the housing market. Keeping an eye on inventory will be one of the strongest early indications of what the 2026 housing market holds, along with mortgage interest rates over the winter and into spring. If the Fed narrative holds and rates drop another ~50 basis points between now and the end of the year, it is unlikely to affect the remainder of 2025 but will be a strong early indication of spring market conditions.
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