A survey of the first-quarter 2016 statistics for the Central Oregon real estate market showed a bit of a mixed bag. Folks expecting more of the same from the past several quarters — where almost every market saw healthy increases, both in the number of sales and in the average sales amount — might be in for a bit of a surprise.
According to statistics gathered by MLSCO (the Multiple Listing service for Central Oregon), numerous markets saw a sizable increase in the number of sales compared to 1st quarter 2015. Bend saw a 12 percent increase in the number of sales of homes on less than an acre (up from 421 to 476 sales), while Redmond saw a 17 percent increase in the number of sales of homes on less than an acre (from 147 to 177 sales) and a 15 percent increase in the number of sales of homes on an acre or more (from 22 to 26).
And sales were up 11 percent for homes in Sunriver on less than an acre (up from 34 to 38), while La Pine saw a 17 percent increase in sales of homes on an acre or more (up from 25 to 30) and a 10 percent increase in sales of homes on less than an acre (from 9 to 10).
However, the number of sales was down in numerous markets during the first quarter. For example, the number of sales of homes in Bend on more than an acre decreased 9 percent (down from 71 to 65 sales), while the number of sales of homes on less than an acre in Sisters decreased 18 percent (down from 20 sales to 17). Meanwhile, Three Rivers South saw a 107 percent decrease in the number of sales of homes on less than an acre (down from 29 to 14) and an 83 percent decrease in the number of sales of homes on an acre or more (down from 11 to six).
(See several numbers-at-a-glance charts below that detail aspects of the Bend, Sisters and Redmond markets.)
Two factors could contribute to the decline in sales: the ongoing low inventory in many markets, and the region’s steadily increasing average sales price. Some markets showed a profound increase in sales price: Sisters, for example, saw a 29 percent increase in the average sales price of homes on an acre or more –- its average sales price of $622,264 (up from $440,018), made it the highest-priced segment of the single-family home market in Central Oregon. The next most expensive market segment — Bend homes on an acre or more, priced at $596,496 – saw an increase of 13 percent since 1st quarter 2015 (up from $517,263).
Bend’s homes on an acre or less also experienced a notable increase in average sales price: It was up 16 percent since last year at the time (from $377,643 to $398,191). So did Sunriver homes, up 12 percent (from $394,827 to $449,126), and Three Rivers South homes on less than an acre, up 16 percent (from $354,184 to $420,450). La Pine saw an even more significant increase in average sales price: Homes there on an acre or less increased 28 percent (up from $146,067 to $202,810), while homes on an acre or more increased 22 percent (up from $177,955 to $228,715).
Only two market segments saw a decrease in average sales price: Redmond’s homes on an acre or more declined 7 percent (from $376,274 in 2015 to $352,162 in 2016), while Three Rivers South homes on an acre or more were down 9 percent (from $330,036 to $303,633).
By the Numbers
For those who want to study the market by the numbers, the charts below detail the past five years’ activity of Bend, Sisters and Redmond (my primary coverage areas). I often represent buyers purchasing rural acreage — especially horse properties — so I regularly track both Single Family Residential (SFR) trends and Residential with Acreage (RW) trends.
In the charts, I focused on three of the main categories that reflect the state of the market: (1.) total number of homes sold; (2) Average sales amount; and (3.) Days on market. Checking out these charts will give you a quick overview of what’s been happening in the market.
*All listing information provided here is deemed reliable, but is not guaranteed and should be independently verified. The Multiple Listing Service of Central Oregon (MLSCO) does not verify the information provided and disclaims any responsibility or liability arising from any inaccuracy or inadequacy of said information or for typographical errors by MLSCO, or for any delay caused in dissemination of such information.
About the Author
Lisa Broadwater, GRI, CDPE, is a Central Oregon-based real estate professional who specializes in listing and selling homes, especially in Sisters, Tumalo, Bend and Redmond.