Wow, this is what spring looks like in Central Oregon… the Rhododendrons are beginning to bloom, the trees and grass are green once again and the sun being out is a regular event, it is has been warm and wonderful outside. This may be the spring season we have been waiting for, one that sees warm days and sunshine instead of the endless winter of last two years. So far the spring skiing/biking/yard work has been fantastic with sun filled weekends for the last month and a half.
With the start of spring we have seen only a slight increase in available homes. According to our Duke Warner Market Trends Report at the end of April we had 405 homes on under one acre that were actively marketed in Bend. As of this writing we have jump slightly to 457 homes. On this beautiful Monday morning it is past noon and we have yet to see one new listing hit the Bend market for the day.
If you are a property owner that has been sitting on the sidelines waiting for the doom and gloom to end possibly this is your time to spring forward. Interest rates remain low at today’s rate of 3.85%. This is not likely to change this summer for a variety of reasons. Of course with the low inventory there is less competition from other properties. This too is unlikely to change over the summer as lenders have been slow to process distressed properties. Oregon’s SB1552 a bill designed to end dual tracking by the larger lenders and require the lenders to mediate with their borrowers is likely to slow the processing of distressed properties even further.
On the flip side there are still opportunities out there for buyers. While bank owned properties have decreased for the time being, the leading value category is in homes being short sold. It is true that short sales can be a pain and have a reputation for taking months to complete. For the buyer who can wait out the process they represent a segment of the market that has the greatest value. Today there are 49 short sale and 27 bank owned homes that are actively marketed in Bend. These numbers have decreased dramatically from years past adding to the decrease in our inventory.
Time will tell if the lenders ever get a handle on how to process the large number of homes that have been foreclosed (or are in the process of foreclosing). For now there are plenty of properties that are sitting out there waiting for someone to finish processing them so they can return to the market. Until then if you are going to buy it would be best to have a great lender on your side, come well armed with an approval letter from them and know your limits. If you like a property weigh the pros and cons carefully, if it is a sound and well priced property consider making your offer at the asking price or risk missing out to those who will. This seems strange considering how there are still so many property owners who cannot sell their homes but many of those are in their position due to price or location.
If you or someone you know needs assistance with properties in Bend and Central Oregon, give me a call or send me an email. I am glad to assist and referrals are always appreciated.
