According to the latest Beacon Report (which you may read HERE if you have trouble sleeping) the median home price for beautiful Bend was around $210 per-square-foot in February of 2014. This same number computed for February 2018 is $410 per-square-foot. That, in a nutshell, pretty much sums-up what is going on in our fair town. And the theme plays-out in other towns around Bend as well. For instance;
Sisters median price in February 2018 was $435,000. Sunriver ended February 2018 at $535,000! LaPine: $293,000. Jefferson County: $179,000. And…Crook County: $242,000.
Now…to put that into perspective a bit – if you moved here recently from California after selling your humble abode for $600-$1,000 PER-SQUARE-FOOT, then you might be pardoned for thinking Central Oregon prices are true bargain.
So what does all this mean to those of us who live here and own homes? Well…whether it be stocks/bonds or real estate – there is a time to buy and a time to sell. If you have somewhere to go, then this is the time to sell. We are back to the 2006 pricing model but this time it isn’t caused by big banks doing crazy things. What we are looking at now is simply an issue of supply and demand. And we currently have only 2 months worth of supply in Bend. And it’s not much better than that in other Central Oregon towns. It’s a complete sellers market. Period.
What about buyers? Well…one could make a case for buying now before interest rates go up more – along with home prices. But it’s also a great time for home buyers to be careful and get some good advice. Some homes are being offered at prices that have nothing to do with the reality of the market. Their pricing is based upon wishful thinking of the seller. Sometimes that works – most times it doesn’t. So if you are buying ask for a Comparative Market Analysis (CMA) and see what the comps say is going on before you jump into the fray. I’m always happy to have this discussion with buyers. It’s just plain smart to be as informed as you can possibly be.
Here’s an example: A home listed this morning at 19492 Bainbridge Court in the Tetherow neighborhood. The home is only 2,675 square-feet; built in 2015 with 4BR 4BA. The home went on the market at $1,295,000. That works out to $484 per-square-foot. YIKES! But again – that same home selling in San Diego might list for $3,000,000. You could BUILD a pretty amazing home for $484 per-square-foot. Just sayin…
The moral to this story: If you are thinking of selling – get it done! If you are a buyer – get good advice and proceed with knowledge. I’m always happy to help either way. Back soon…