Bend OR Real Estate - 2022 Trends and 2023 Predictions

By
Real Estate Broker/Owner with Bend Premier Real Estate 200009031

Pending Bend Home Sales Significantly Down in 2022

When we study Bend real estate sales in 2022, we can state with confidence that the first six months were very different that the second half of the year. The first half of the year was a continuation of what was seen in 2021, with Bend single family home sales greatly impacted by lack of inventory and relatively low interest rates.  It was an extremely strong sellers' market with multiple offers and contingency waivers a normal occurrence. However, the second half of the year was highly influenced by rising mortgage interest rates with these more than doubling in just a few months - something that had never happened before in the country's history.  The high mortgage rates changed the buying power of potential Bend homebuyers, and the sales of Bend homes abruptly slowed. The rate of the increase in Bend home prices decelerated, but remained up over 2021 figures. Days on market for existing listings rose and new listings, pending sales and closed homes dropped. However, sellers who needed to sell became more willing to negotiate over price, repairs and concessions, which provided new opportunities for buyers.

When 2022 is compared with 2021 for Bend single family homes on less than an acre, the following changes can be noted:

  • Average sales price up 11.8% to $866,495*
  • Median sales price up 13.2% to $729,900
  • New listings down 8.7% to 2460
  • Homes for sale up 65.5% to 321
  • Pending sales down 21.2% to 1947
  • Sold homes down 18.3% to 2044
  • Average days on market up 50% to 24
  • Months of supply up 88.9% to 1.7
  • Average price per square foot up 11.1% to $421
  • Average percentage of of list price received down 2% to 100.5%
  • Dollar volume down 8.6% to $1,771,115,733

What Do We Predict For Bend Real Estate Sales in 2023?

We believe that Bend home prices will moderate in 2023 and potentially decrease.  We still have a sellers' market, but with inventory rising, buyers have far more opportunities and more negotiating power than they had just six months ago. We believe that mortgage interest rates will remain in the 6% range which will limit what first time homebuyers will be able to afford. However, sellers will be willing to offer buy downs and other concessions to assist buyers with their home purchase. The outlying towns and cities to Bend, with their lower home prices, will continue to be desirable for first time homebuyers. However, what makes Bend special remains - the beautiful scenery and fabulous outdoor lifestyle. If people can afford to live here, people will continue to come.  Low inventory will remain an issue and until this gets solved, we will not see a huge decrease in Bend home prices.

Bend Real Estate

Original blog can be read at Bend Premier Real Estate's blog page.
 

Comments (5)

Endre Barath, Jr.
Berkshire Hathaway HomeServices California Properties - Beverly Hills, CA
Realtor - Los Angeles Home Sales 310.486.1002

Yes it is not just in your market I have been saying this since six months ago, but Los Angeles is always six months ahead of the rest of the country when it comes to Real Estate activities, Endre

Jan 08, 2023 10:23 PM
Nina Hollander, Broker
Coldwell Banker Realty - Charlotte, NC
Your Greater Charlotte Realtor

Good morning, Lynnea... your market in Bend is very similar to mine in Charlotte... prices up but not as much as a year ago. New listings down. While our inventory is up, not quite a much as yours. 

Jan 09, 2023 04:18 AM
Lynnea Miller
Bend Premier Real Estate - Bend, OR
Premier Real Estate Service in Central Oregon

Hi Endre Barath, Jr.  Our market has been in transition for about six months - ever since mortgage rates started abruptly rising. Thanks for checking in!

Jan 09, 2023 07:49 AM
Lynnea Miller
Bend Premier Real Estate - Bend, OR
Premier Real Estate Service in Central Oregon

Hi Nina Hollander, Broker .  It sounds like our markets parallel each other - with just different figures. Our December figures were pretty bad with sales way, way down.

Jan 09, 2023 07:50 AM
Andree Oren
Walmart - Sitka, AK
I like this site

Hi subway surfers online,  This article is a testament to the author's passion for making the world a better place. Thank you for your tireless efforts.

Aug 30, 2023 01:36 AM