Lending Update: Loan Limits Increased for 2018

Lending Update: Loan Limits Increased for 2018

In response to rising home prices across the nation, the Federal Housing Finance Agency has increased Fannie Mae and Freddie Mac‘s conforming loan limits for the second year in a row. In most communities in the U.S., the new loan limit for one-unit properties will be $453,100, up from $424,100, (an almost 7 percent increase over 2017). The increase will be effective for loans sold to these agencies after January 1, 2018. The change comes after market shifts which have caused median home values to “generally increase,” according to the FHFA. Additional adjustments have been made to high-cost areas, putting the new conforming limit for these locations at...
3rd Quarter Market Statistics for Central Oregon

3rd Quarter Market Statistics for Central Oregon

During the third quarter of 2017, real estate prices in Central Oregon continued to rise. While a few markets saw a decrease from the second quarter to the third (the median sales price for Single Family Homes on less than an acre in Sunriver, for example, was down from $484,000 to $410,000 last quarter, a 15.3 percent decrease), every market tracked in the chart below saw a sizable increase over this time last year. Many of those increases were in the double digits. In Bend, for example, the median sales price for Single Family Homes on less than an acre was $413,983, compared to $368,500 during third quarter 2016 (a 12.3 percent increase) and $399,000 for second quarter 2017 (a 3.8 percent increase). Meanwhile, the median sales price for Single Family Homes on less than an acre in Redmond was $292,500, compared to $267,186 during third quarter 2016 (a 9.5 percent increase) and $288,000 during second quarter 2017 (a 1.6 percent increase). With prices on the rise (and Bend surpassing the $400,000 median price threshold), it’s no surprise that, in most markets,  the number of sales was down compared to this time last year. A few notable exceptions: Sisters (which saw an increase in sales of 12.5 percent since third quarter 2016, up from 48 to 54), and La Pine (which saw an increase of 6.7 percent (up from 30 to 32). By the Numbers For those who want to study the market by the numbers, the charts below detail the past four years’ activity in Bend, Sisters, Redmond, Sunriver, Three Rivers South, La Pine, Jefferson County and Crook County.  ...
Vacation Rentals Under Review in Sisters

Vacation Rentals Under Review in Sisters

  Folks who are considering investing in a vacation-rental property in Sisters, take note: At the request of the Sisters City Council, the Sisters Planning Commission is reviewing code affecting vacation rentals. There are currently 39 permitted vacation rentals in the City of Sisters, which accounts for 3 percent of its 1,300 residential dwelling units. The City Council has requested recommendations regarding the regulation of vacation rentals to help maintain the livability of the community and to avoid or mitigate negative impacts. The Planning Commission is planning a workshop devoted to the topic on Nov. 16 at 4 p.m., Sisters City...
Central Oregon Stats-at-a-Glance for April 2017

Central Oregon Stats-at-a-Glance for April 2017

In April, the winter-weather slowdown in Central Oregon made way for spring selling activity. According to the May Beacon Report, Bend had 220 Single-Family Residential (SFR) sales last month compared to 170 sales in March, an increase of almost 30 percent. Redmond recorded 67 sales, up from 63 sales the prior month. Sisters had 12 sales, compared to seven sales in March. Meanwhile, the days on market decreased significantly in all three markets: Properties that sold in Bend during April were on the market an average of just 63 days, compared to 106 days in April. Similarly, properties that sold in Sisters were on the market just 42 days, compared to 98 days in April. And properties that sold in Redmond during April were on the market 94 days, compared to 126 days in April. When it came to sales price, Sisters saw quite a jump last month: The median price of SFR sales in Sisters during April was $445,000, compared to $336,000 in March. (Keep in mind that in a smaller market like Sisters, which saw just a dozen sales in April, it’s more likely to see dramatic price fluctuations, because of the impact of a single high-end sale. Or, in this case, a number of higher-end sales, including a sale at $900,000 and a handful of $500,000 sales). Bend and Redmond, on the other hand, saw little change in price: The median price of SFR sales in Bend was $394,000, compared to $396,000 in March. That’s a sizable jump, however, since a year ago at this time, when the median sales price in Bend was $374,000. Likewise,...
1st Quarter Market Statistics for Central Oregon

1st Quarter Market Statistics for Central Oregon

During the first quarter of 2017, it was more of the same, when it came to real estate sales activity in Central Oregon. And by “more,” of course, I mean less. Well, fewer, actually — as in listings and in sales. By now, it’s no surprise to anyone that we’re short on inventory and have been for some time. (And we aren’t alone: Nationally, the supply of homes that are for sale is at a nearly 20-year low, according to Realtor.com.) So with prices, for the most part, still on the rise, that translates into fewer sales. (There are a few notable exceptions, of course. More on that later…) According to statistics gathered by MLSCO (the Multiple Listing Service for Central Oregon), much of Central Oregon – including Bend and Redmond’s Single Family Residential (SFR) and Residential With Acreage (RW) listings — saw sizable decreases in the number of sales for the first quarter of 2017. (See several numbers-at-a-glance charts below that detail various aspects of the Bend, Sisters and Redmond markets.) The most notable decrease in sales (a 37 percent decline) was among La Pine’s RW listing (down from 30 sales in first quarter 2016 to 19 sales in first quarter 2017) and Redmond’s RW listings (a 35 percent decline, from 26 to 17). Meanwhile, Bend saw a 26 percent decrease in the number of sales of homes on more than an acre (down from 65 to 48 sales), while Redmond saw a 15 percent decrease in the number of sales of homes on less than an acre (from 177 to 151 sales). As for the exceptions: The number of...
Great Solar Eclipse 2017: Central Oregon at Center Stage

Great Solar Eclipse 2017: Central Oregon at Center Stage

Here in Central Oregon, we’re used to visitors, and lots of them — especially during the prime vacationing months of May through September. Typically, we expect the largest crowds of the year (in the thousands) during Bend’s Summer Fest and Art in the High Desert, Sisters’ Quilt Show, Sisters Rodeo or the Deschutes County Fair in Redmond. This year, though, it’s the third week in August that has captured the attention of the world. That’s when a once-in-a-lifetime solar eclipse will pass directly over Central Oregon on its way across the country. So if you’re planning a house-hunting trip to Central Oregon this summer, Aug. 22 is a date you’ll want to be aware of. That’s when Crook and Jefferson counties are expecting throngs — anywhere from 50,000 to 100,000 visitors -– to venture here to witness the highly anticipated “Great American Eclipse of 2017.” No doubt, we’ll feel the repercussions of that event throughout Central Oregon. What makes this eclipse so noteworthy? Most solar eclipses are of the partial variety, in which the moon appears to take a bite out of the sun’s disk. But this will be a total solar eclipse (TSE), which occurs when the moon, sun and Earth are perfectly aligned to allow the moon to cast a shadow on the Earth’s surface. Usually, much of the eclipse takes place over ocean territories; having a TSE that occurs over populated areas is quite rare. In fact, this will be the first TSE in the continental U.S. since 1979. Another thing that sets this eclipse apart: It will be visible from only one country: the United States. The last time...
Central Oregon Stats-at-a-Glance for March 2017

Central Oregon Stats-at-a-Glance for March 2017

In February, Sisters saw a notable drop in home prices from the previous month, according to the March Beacon Report. The median price of a single-family home in Sisters decreased more than 19 percent in February – down from $381,000 in January to $308,000 (and down from $355,000 in February 2016). In smaller markets like Sisters, however, where there are only a handful of sales per month, large price swings from one month to the next aren’t necessarily indicative of a trend. To wit: In February, Sisters sales were up: 10 sales compared to seven the prior month and five in February 2016. Plus, Sisters now has just four months of inventory. Last year at this time, Sisters had more than triple that (13 months’ inventory). Bend also saw a bit of a dip in home prices in February: The median sales price for a single-family home was $354,000. That’s a decline of 4.6 percent ($371,000) compared to January –- but an increase of more than 6.6 percent since February 2016 ($332,000). Redmond home prices increased in February, up 3 percent — from $258,000 in January to $266,000. More notably, that’s an increase of 18 percent since a year ago at this time ($225,000). Bend had 132 single-family home sales last month, two fewer than in January but five more than in February 2016. Redmond recorded 34 sales, down from 50 the prior month and 53 in February 2016. Meanwhile, the inventory of homes for sale in both Bend and Redmond was equal to 1.5 months of buyer demand. According to Appraiser Donnie Montagner, who compiles the Beacon Report, the Single-Family Residential inventory levels haven’t been lower than two months since June 2005. About the Author Lisa Broadwater, GRI, CDPE, is a Central Oregon-based real...
4th Quarter Market Statistics for Central Oregon

4th Quarter Market Statistics for Central Oregon

As sales activity in Central Oregon during the fourth quarter of 2016 indicates, the area continues to feel the effects of still-increasing sales prices and extremely low inventory: Although much of Central Oregon saw a double-digit increase in the number of sales during the fourth quarter of 2015, the pace of sales for fourth-quarter 2016 slowed to single digits in many markets. In some segments, the numbers even decreased. (The region’s arctic snow blast, which lasted throughout December, didn’t help.) (See several numbers-at-a-glance charts below that detail aspects of the Bend, Sisters and Redmond markets.) Based on statistics recently released by the Multiple Listing Service for Central Oregon, Bend saw just a 3 percent increase in the number of sales of Single Family Residential (SFR) properties (up from 2,450 to 2,533 sales). Redmond saw a 7 percent increase (from 899 to 965 sales), and Sunriver saw an increase of just 4 percent (from 201 to 210 sales). Meanwhile, the number of Residential With Acreage (RW) sales in Bend decreased by 3 percent (from 328 to 320 sales), while sales of RW properties in Redmond were down 4 percent (from 112 to 108 sales), and RW sales in Sisters were down a noteworthy 14 percent (from 72 to 63 sales). The largest decrease, however, was seen among RW properties in Three Rivers South: Sales there were down 47 percent (from 49 to 26). A few markets bucked that trend: The number of SFR sales in Three Rivers South increased by an impressive 20 percent (up from 110 to 138 sales). Similarly, SFR sales in Sisters increased by 13 percent (up...