Monday, December 8, 2008

Bend real estate continues freefall

I finally have some Central Oregon numbers to share with everybody.

The Central Oregon Realtors Association (CORA) released their third quarter data this month and the downward trend is intensifying.
Bend’s average sale price for the third quarter 2008 was $350,200; down 22% from the same quarter the year prior. The Bend market peaked in the third quarter 2007.

Sales continue to fall but at a decreasing rate. 326 homes sold during the quarter; down 13% from the same quarter the year prior.

The final graph shows how affordable the median priced home is for a family of four. Affordability was an issue in Bend before the housing bubble but it is finally improving. History indicates the ratio is usually between 2.5 and 3.0. Prices would have to fall 41% from the current median for the index to reach a ratio of 3.0.