There were more new homes sold in NorthWest Crossing in the last year than any other west side neighborhood in Bend. There were 59 new homes sold and currently 10 new home sales pending! There are also 11 new homes currently for sale. Several of these homes are under construction.
The average square footage of the homes sold was 1,817 and the average price per square foot including the lot was $218.60. It seems that NorthWest Crossing is one of the most sought after neighborhoods in Bend.
New homes in NorthWest Crossing must adhere to Earth Advantage guidelines for many different environmental factors including but not limited to insulation, southern exposure, passive and active solar systems, earth friendly finishing and much more. You can go to their web site to all of their requirements.
To see all homes currently for sale in NorthWest Crossing click on this link: NorthWest Crossing Homes.
To see a YouTube Video on Northwest Crossing click on the link.
One of the most sought after builders in Bend and NorthWest Crossing is Tracy Thompson owner of Tyee Development. You can view his website at Tyee Development. At Bend Oregon Real Estate Expert we highly recommend Tracy to build your new home.
If you would like to see any homes in NorthWest Crossing or discuss the construction of your new home feel free to contact us.
Sunday, November 25, 2012
Thursday, October 25, 2012
New Home Sales Up 5.7%
The Commerce Department reported new home sales rose 5.7% in September from the previous month to the highest rate in more than two years as the housing market continued to surge.
The nation's home builders sold houses at an annual rate of 389,000 in September. That was an increase of 5.7% from August and 27% more than last September. It was the highest level since April 2010 when a federal home buyer tax credit boosted sales
Job gains, low mortgage rates and pent-up demand are driving sales, now that the economy is healing after the recession. New home sale in Bend Oregon are also up. To see new homes currently for sale in Bend see our web site LINK to New Homes for sale in Bend Oregon. Please call Bend Oregon Real Estate Expert today for help in finding your new home.
The nation's home builders sold houses at an annual rate of 389,000 in September. That was an increase of 5.7% from August and 27% more than last September. It was the highest level since April 2010 when a federal home buyer tax credit boosted sales
Job gains, low mortgage rates and pent-up demand are driving sales, now that the economy is healing after the recession. New home sale in Bend Oregon are also up. To see new homes currently for sale in Bend see our web site LINK to New Homes for sale in Bend Oregon. Please call Bend Oregon Real Estate Expert today for help in finding your new home.
Tuesday, October 9, 2012
Bend Oregon Weather
Bend, Oregon has great all around weather and it looks like our Indian summer is coming to an end. If the weather man is right we should get some much need precipitation this weekend.7-Day Forecast for Latitude 44.06°N and Longitude 121.3°W (Elev. 3598 ft)
Bend's four seasons are one of the many reasons people are moving to Bend and buying Bend Oregon real estate. Spring, Summer, Winter and fall there's a festival in downtown Bend to celebrate the season. Since we don't do much skiing in the winter we choose to head south in our motor home for a few weeks.
Of course our summers are beautiful. This past summer while most of our out of state relatives were in the high 90s and/or over 100 degrees we were have days in the 80s with cool evenings to cool the house down.
If you are thinking of moving to Bend check out our web site for more information and to search the multiple listing service for the home of your dreams.
Bend's four seasons are one of the many reasons people are moving to Bend and buying Bend Oregon real estate. Spring, Summer, Winter and fall there's a festival in downtown Bend to celebrate the season. Since we don't do much skiing in the winter we choose to head south in our motor home for a few weeks.
Of course our summers are beautiful. This past summer while most of our out of state relatives were in the high 90s and/or over 100 degrees we were have days in the 80s with cool evenings to cool the house down.
If you are thinking of moving to Bend check out our web site for more information and to search the multiple listing service for the home of your dreams.
Wednesday, September 26, 2012
NAR Claims Ecomony Would Improve If Lending Requirements Were Relaxed
The following article was recently published by the National Association of Realtors. It states that requirements are now too tight to get a loan. I'm not so sure about that. It's been my experience in the Bend Oregon real estate market that the lending practices are similar to the period before the requirements to get a loan were pretty much thrown out the window.
The lowering of the requirements and the packaging of these "toxic" loans has been one of the major contributing factors to the "Great Recession." In my opinion the requirements today are not to stringent.
WASHINGTON (September 17, 2012) – New survey findings, combined with an analysis of historic credit scores and loan performance, show home sales could be notably higher by returning to reasonably safe and sound lending standards, which also would create new jobs, according to the National Association of Realtors®.
Lawrence Yun, NAR chief economist, said there would be enormous benefits to the U.S. economy if mortgage lending conditions return to normal. “Sensible lending standards would permit 500,000 to 700,000 additional home sales in the coming year,” he said. “The economic activity created through these additional home sales would add 250,000 to 350,000 jobs in related trades and services almost immediately, and without a cost impact.”
A monthly survey* of Realtors® shows widespread concern over unreasonably tight credit conditions for residential mortgages. Respondents indicate that tight conditions are continuing, lenders are taking too long in approving applications, and that the information lenders require from borrowers is excessive. Some respondents expressed frustration that lenders appear to be focusing only on loans to individuals with the highest credit scores.
Even though profits in the financial industry have climbed back strongly to pre-recession levels, lending standards still remain unreasonably tight.
Yun said all it takes is a willingness to recognize that market conditions have turned in the wake of an over-correction in home prices, with all of the price measures now showing sustained gains. “There is an unnecessarily high level of risk aversion among mortgage lenders and regulators, although many are sitting on large volumes of cash which could go a long way toward speeding our economic recovery. A loosening of the overly restrictive lending standards is very much in order,” he said.
Respondents to the NAR survey report that 53 percent of loans in August went to borrowers with credit scores above 740. In comparison, only 41 percent of loans backed by Fannie Mae had FICO scores above 740 during the 2001 to 2004 time period, while 43 percent of Freddie Mac-backed loans were above 740.
In 2011, about 75 percent of total loans purchased by Fannie Mae and Freddie Mac, which are now a smaller market share, had credit scores of 740 or above.
There is a similar pattern for FHA loans. The Office of the Comptroller of the Currency has defined a prime loan as having a FICO score of 660 and above. However, the average FICO score for denied applications on FHA loans was 669 in May of this year, well above the 656 average for loans actually originated in 2001.
Loan performance over the past decade shows the 12-month default rate averaged just under 0.4 percent of mortgages in 2002 and 2003, which is considered normal. Twelve-month default rates peaked in 2007 at 3.0 percent for Fannie Mae loans and 2.5 percent for Freddie Mac loans, clearly showing the devastating impact of risky mortgages.
Yun said home buyers in recent years have been highly successful. Since 2009, the 12-month default rates have been abnormally low. Fannie Mae default rates have averaged 0.2 percent while Freddie Mac’s averaged 0.1 percent, which are notable given higher unemployment in the time frame.
Under normal conditions, existing-home sales should be in the range of 5.0 to 5.5 million. “Sales this year are projected to rise 8 to 10 percent. Although welcoming, this still represents a sub-par performance of about 4.6 million sales,” Yun said. “These findings show we need to return to the sound underwriting standards that existed before the aberrations of the housing boom and bust cycle, and thoroughly re-examine current and impending regulatory rules that may cause excessively tight standards.”
If you can afford to refinance or buy a home in Bend Oregon now is the time. Interest rates are at historic lows and homes in Bend are priced about 1/2 of what they were in 2006. It looks like prices are bottoming out in Bend. The last research I did showed a 15% increase in the average price per square foot in Bend.
Bank Foreclosures are becoming few and far between. Now's the time to buy real estate in Bend Oregon.
The lowering of the requirements and the packaging of these "toxic" loans has been one of the major contributing factors to the "Great Recession." In my opinion the requirements today are not to stringent.
WASHINGTON (September 17, 2012) – New survey findings, combined with an analysis of historic credit scores and loan performance, show home sales could be notably higher by returning to reasonably safe and sound lending standards, which also would create new jobs, according to the National Association of Realtors®.
Lawrence Yun, NAR chief economist, said there would be enormous benefits to the U.S. economy if mortgage lending conditions return to normal. “Sensible lending standards would permit 500,000 to 700,000 additional home sales in the coming year,” he said. “The economic activity created through these additional home sales would add 250,000 to 350,000 jobs in related trades and services almost immediately, and without a cost impact.”
A monthly survey* of Realtors® shows widespread concern over unreasonably tight credit conditions for residential mortgages. Respondents indicate that tight conditions are continuing, lenders are taking too long in approving applications, and that the information lenders require from borrowers is excessive. Some respondents expressed frustration that lenders appear to be focusing only on loans to individuals with the highest credit scores.
Even though profits in the financial industry have climbed back strongly to pre-recession levels, lending standards still remain unreasonably tight.
Yun said all it takes is a willingness to recognize that market conditions have turned in the wake of an over-correction in home prices, with all of the price measures now showing sustained gains. “There is an unnecessarily high level of risk aversion among mortgage lenders and regulators, although many are sitting on large volumes of cash which could go a long way toward speeding our economic recovery. A loosening of the overly restrictive lending standards is very much in order,” he said.
Respondents to the NAR survey report that 53 percent of loans in August went to borrowers with credit scores above 740. In comparison, only 41 percent of loans backed by Fannie Mae had FICO scores above 740 during the 2001 to 2004 time period, while 43 percent of Freddie Mac-backed loans were above 740.
In 2011, about 75 percent of total loans purchased by Fannie Mae and Freddie Mac, which are now a smaller market share, had credit scores of 740 or above.
There is a similar pattern for FHA loans. The Office of the Comptroller of the Currency has defined a prime loan as having a FICO score of 660 and above. However, the average FICO score for denied applications on FHA loans was 669 in May of this year, well above the 656 average for loans actually originated in 2001.
Loan performance over the past decade shows the 12-month default rate averaged just under 0.4 percent of mortgages in 2002 and 2003, which is considered normal. Twelve-month default rates peaked in 2007 at 3.0 percent for Fannie Mae loans and 2.5 percent for Freddie Mac loans, clearly showing the devastating impact of risky mortgages.
Yun said home buyers in recent years have been highly successful. Since 2009, the 12-month default rates have been abnormally low. Fannie Mae default rates have averaged 0.2 percent while Freddie Mac’s averaged 0.1 percent, which are notable given higher unemployment in the time frame.
Under normal conditions, existing-home sales should be in the range of 5.0 to 5.5 million. “Sales this year are projected to rise 8 to 10 percent. Although welcoming, this still represents a sub-par performance of about 4.6 million sales,” Yun said. “These findings show we need to return to the sound underwriting standards that existed before the aberrations of the housing boom and bust cycle, and thoroughly re-examine current and impending regulatory rules that may cause excessively tight standards.”
If you can afford to refinance or buy a home in Bend Oregon now is the time. Interest rates are at historic lows and homes in Bend are priced about 1/2 of what they were in 2006. It looks like prices are bottoming out in Bend. The last research I did showed a 15% increase in the average price per square foot in Bend.
Bank Foreclosures are becoming few and far between. Now's the time to buy real estate in Bend Oregon.
Monday, August 27, 2012
Commericial Real Estate Market Sluggish
Positive underlying fundamentals continue to support all of the major commercial real estate sectors, but a slowdown in job creation and ongoing tight loan availability has tempered growth in some areas, according to the National Association of Realtors. The Bend Oregon commercial real estate market continues to be sluggish.
Lawrence Yun, NAR chief economist, said there are mixed results among the commercial sectors. “Job creation in the second quarter was about half of what we saw in the first quarter, which is moderating demand in the office sector,” he said. “Industrial and warehouse space is holding on better because imports and exports have advanced. While exports to Europe generally are down, trade has been robust with India, China and other Asian nations, along with Brazil, Mexico and our strongest trading partner – Canada.”
Although still positive, dampened demand is slightly moderating rent growth with the exception of the multifamily market. “Sharply higher demand for apartments is causing rents to rise at faster rates,” Yun said. “A return to normal household formation will mean even lower vacancy rates and higher rents in the future.”
The current commercial real estate cycle has been driven by shifts in demand without an oversupply of new construction. “The difficulty small businesses have in getting commercial real estate loans for leasing or purchase is keeping a lid on demand,” Yun explained. “Multifamily is the only commercial sector with a notable growth in new space, with some lending provided through government loans.”
With the exception of multifamily, vacancy rates remain above historic averages seen since 1999. Over that time frame the typical vacancy rate has been 14.4 percent for the office market, 10.1 percent in industrial, 8.1 percent for retail and 5.8 percent in multifamily.
Vacancy rates are marginally declining and rents are modestly rising in all of the sectors, but significant changes in the outlook are unlikely before the end of the year. Many corporate decisions on spending and job hiring are on hold given uncertainty over the upcoming elections, whether Congress will effectively avoid a “fiscal cliff,” and unsettled issues such as health care and banking/financial regulations.
"Overall companies hold plentiful cash reserves, but they are hesitant to hire without clarity over how these outstanding issues will impact the bottom line,” Yun said.
"Commercial real estate gains could be thwarted if lending from small and community banks dry up from excessive regulatory compliance costs, and if international big-bank capital rules are applied to smaller lending institutions,” Yun added.
NAR’s latest Commercial Real Estate Outlook offers projections for four major commercial sectors and analyzes quarterly data in the office, industrial, retail and multifamily markets. Historic data for metro areas were provided by REIS, Inc., a source of commercial real estate performance information.
Office Markets
Vacancy rates in the office sector are expected to fall from an estimated 16.1 percent in the third quarter to 15.6 percent in the third quarter of 2013.
The markets with the lowest office vacancy rates presently are Washington, D.C., with a vacancy rate of 9.4 percent; New York City, at 10.0 percent; and New Orleans, 12.8 percent.
Office rent is projected to increase 2.0 percent this year and 2.6 percent in 2013. Net absorption of office space in the U.S., which includes the leasing of new space coming on the market as well as space in existing properties, should be 24.1 million square feet in 2012 and 47.8 million next year.
Industrial Markets
Industrial vacancy rates are forecast to decline from 10.7 percent in the third quarter of this year to 10.5 percent in the third quarter of 2013.
The areas with the lowest industrial vacancy rates currently are Orange County, Calif., with a vacancy rate of 4.6 percent; Los Angeles, 4.8 percent; and Miami at 6.8 percent.
Annual industrial rent is likely to rise 1.7 percent in 2012 and 2.4 percent next year. Net absorption of industrial space nationally is seen at 59.8 million square feet this year and 67.2 million in 2013.
Retail Markets
Retail vacancy rates are projected to decline from 10.9 percent in the third quarter to 10.7 percent in the third quarter of 2013.
Presently, markets with the lowest retail vacancy rates include San Francisco, 3.8 percent; Fairfield County, Conn., 3.9 percent; and Long Island, N.Y., and Orange County, Calif., both at 5.3 percent.
Average retail rent is forecast to rise 0.8 percent this year and 1.3 percent in 2013. Net absorption of retail space should be 10.3 million square feet this year and 20.1 million in 2013.
Multifamily Markets
The apartment rental market – multifamily housing – is expected to see vacancy rates drop from 4.3 percent in the third quarter to 4.2 percent in the third quarter of 2013; vacancy rates below 5 percent generally are considered a landlord’s market with demand justifying higher rents.
Areas with the lowest multifamily vacancy rates currently are Portland, Ore., at 2.0 percent; New York City and Minneapolis, both at 2.2 percent; and New Haven, Conn., and San Jose, Calif., both at 2.4 percent.
Average apartment rent is likely to increase 4.1 percent in 2012 and another 4.4 percent next year. Multifamily net absorption should be 219,300 units this year and 236,600 in 2013. The bright news in the Bend real estate market is the vacancy factor keeps falling as rents are increasing. Now is the time to buy multifamily units and single family units as investments.
It's a well know fact that the commercial real estate market lags behind the residential market. It looks like the residential market in Bend Oregon is hitting bottom this summer. So we expect the commercial market will follow close behind. Here's a LINK to all multifamily units currently for sale in Bend.
Lawrence Yun, NAR chief economist, said there are mixed results among the commercial sectors. “Job creation in the second quarter was about half of what we saw in the first quarter, which is moderating demand in the office sector,” he said. “Industrial and warehouse space is holding on better because imports and exports have advanced. While exports to Europe generally are down, trade has been robust with India, China and other Asian nations, along with Brazil, Mexico and our strongest trading partner – Canada.”
Although still positive, dampened demand is slightly moderating rent growth with the exception of the multifamily market. “Sharply higher demand for apartments is causing rents to rise at faster rates,” Yun said. “A return to normal household formation will mean even lower vacancy rates and higher rents in the future.”
The current commercial real estate cycle has been driven by shifts in demand without an oversupply of new construction. “The difficulty small businesses have in getting commercial real estate loans for leasing or purchase is keeping a lid on demand,” Yun explained. “Multifamily is the only commercial sector with a notable growth in new space, with some lending provided through government loans.”
With the exception of multifamily, vacancy rates remain above historic averages seen since 1999. Over that time frame the typical vacancy rate has been 14.4 percent for the office market, 10.1 percent in industrial, 8.1 percent for retail and 5.8 percent in multifamily.
Vacancy rates are marginally declining and rents are modestly rising in all of the sectors, but significant changes in the outlook are unlikely before the end of the year. Many corporate decisions on spending and job hiring are on hold given uncertainty over the upcoming elections, whether Congress will effectively avoid a “fiscal cliff,” and unsettled issues such as health care and banking/financial regulations.
"Overall companies hold plentiful cash reserves, but they are hesitant to hire without clarity over how these outstanding issues will impact the bottom line,” Yun said.
"Commercial real estate gains could be thwarted if lending from small and community banks dry up from excessive regulatory compliance costs, and if international big-bank capital rules are applied to smaller lending institutions,” Yun added.
NAR’s latest Commercial Real Estate Outlook offers projections for four major commercial sectors and analyzes quarterly data in the office, industrial, retail and multifamily markets. Historic data for metro areas were provided by REIS, Inc., a source of commercial real estate performance information.
Office Markets
Vacancy rates in the office sector are expected to fall from an estimated 16.1 percent in the third quarter to 15.6 percent in the third quarter of 2013.
The markets with the lowest office vacancy rates presently are Washington, D.C., with a vacancy rate of 9.4 percent; New York City, at 10.0 percent; and New Orleans, 12.8 percent.
Office rent is projected to increase 2.0 percent this year and 2.6 percent in 2013. Net absorption of office space in the U.S., which includes the leasing of new space coming on the market as well as space in existing properties, should be 24.1 million square feet in 2012 and 47.8 million next year.
Industrial Markets
Industrial vacancy rates are forecast to decline from 10.7 percent in the third quarter of this year to 10.5 percent in the third quarter of 2013.
The areas with the lowest industrial vacancy rates currently are Orange County, Calif., with a vacancy rate of 4.6 percent; Los Angeles, 4.8 percent; and Miami at 6.8 percent.
Annual industrial rent is likely to rise 1.7 percent in 2012 and 2.4 percent next year. Net absorption of industrial space nationally is seen at 59.8 million square feet this year and 67.2 million in 2013.
Retail Markets
Retail vacancy rates are projected to decline from 10.9 percent in the third quarter to 10.7 percent in the third quarter of 2013.
Presently, markets with the lowest retail vacancy rates include San Francisco, 3.8 percent; Fairfield County, Conn., 3.9 percent; and Long Island, N.Y., and Orange County, Calif., both at 5.3 percent.
Average retail rent is forecast to rise 0.8 percent this year and 1.3 percent in 2013. Net absorption of retail space should be 10.3 million square feet this year and 20.1 million in 2013.
Multifamily Markets
The apartment rental market – multifamily housing – is expected to see vacancy rates drop from 4.3 percent in the third quarter to 4.2 percent in the third quarter of 2013; vacancy rates below 5 percent generally are considered a landlord’s market with demand justifying higher rents.
Areas with the lowest multifamily vacancy rates currently are Portland, Ore., at 2.0 percent; New York City and Minneapolis, both at 2.2 percent; and New Haven, Conn., and San Jose, Calif., both at 2.4 percent.
Average apartment rent is likely to increase 4.1 percent in 2012 and another 4.4 percent next year. Multifamily net absorption should be 219,300 units this year and 236,600 in 2013. The bright news in the Bend real estate market is the vacancy factor keeps falling as rents are increasing. Now is the time to buy multifamily units and single family units as investments.
It's a well know fact that the commercial real estate market lags behind the residential market. It looks like the residential market in Bend Oregon is hitting bottom this summer. So we expect the commercial market will follow close behind. Here's a LINK to all multifamily units currently for sale in Bend.
Friday, August 24, 2012
Bend Metro Home Prices Climbing
Median home prices are rising in more metropolitan areas, but a lack of inventory – notably in lower price ranges – is limiting buyer choices in an increasing number of markets around the country, according to the latest quarterly report by the National Association of Realtors. Listing inventory in the Bend Oregon Multiple Listing service is also down.
The median existing single-family home price rose in 110 out of 147 metropolitan statistical areas1 (MSAs) based on closings in the second quarter in comparison with same quarter in 2011; three areas were unchanged and 34 had price declines. In the first quarter of 2012 there were 74 areas showing price gains from a year earlier, while in the second quarter of 2011 only 41 metros were up.
A separate breakout of income requirements to buy a home on a metro basis shows a wide range of conditions, but most buyers had ample income in the second quarter assuming they could meet mortgage credit standards.
Lawrence Yun, NAR chief economist, said home prices are set to rise in even more markets during upcoming quarters. “It’s most encouraging to see a growing number of metro areas with rising median prices, which is improving the equity position of existing homeowners. Inventory has been trending down and home builders are still under-producing in relation to growing demand,” he said. “Some of the improvement in prices is due to a smaller share of sales in low price ranges where inventory is tight.”
The national median existing single-family home price was $181,500 in the second quarter, up 7.3 percent from $169,100 in the second quarter of 2011. This is the strongest year-over-year increase since the first quarter of 2006 when the median price rose 9.4 percent, but even with the gain the current price is 20.1 percent below the record set in 2006.
The median price is where half sold for more and half sold for less; medians are more typical than average prices, which are skewed higher by a relatively small share of upper-end transactions.
Distressed homes accounted for 26 percent of second quarter sales, down from 33 percent a year ago.
Total existing-home sales,3 including single-family and condo, slipped 0.7 percent to a seasonally adjusted annual rate of 4.54 million in the second quarter from 4.57 million in the first quarter, but were 8.6 percent above the 4.18 million pace during the second quarter of 2011.
At the end of the second quarter there were 2.39 million existing homes available for sale, which is 24.4 percent below the close of the second quarter of 2011 when there were 3.16 million homes on the market. There has been a steady downtrend since inventories set a record of 4.04 million in the summer of 2007.
According to Freddie Mac, the national commitment rate on a 30-year conventional fixed-rate mortgage averaged a record low 3.80 percent in the second quarter, down from 3.92 percent in the first quarter and 4.66 percent in the second quarter of 2011.
NAR President Moe Veissi, broker-owner of Veissi & Associates Inc., in Miami, said buying power is historically high. “Home buyers today can stay well within their means. Record low mortgage interest rates and an over-correction in home prices have opened the door to many potential buyers,” he said.
“What we need now is additional inventory in the lower price ranges, so we hope banks will be releasing more foreclosure inventory into the market. With gains apparent in all of the price measures, banks also should have more confidence in expanding mortgage credit to home buyers using safe but sensible standards,” Veissi said.
A breakout of incomes needed to purchase a median-priced existing single-family home by metro area shows the typical buyer has ample income. Required income amounts are determined using several downpayment percentages, assuming a mortgage interest rate of 4 percent and 25 percent of gross income devoted to mortgage principal and interest.
The national median family income4 was $61,000 in the second quarter. However, to purchase a home at the national median price, a buyer making a 5 percent downpayment would only need an income of $39,900. With a 10 percent downpayment the required income is $37,800, while with 20 percent down the necessary income is $33,600.
“Because the income required to buy to a typical home is very manageable by historical standards, any further decline in mortgage interest rates will have little effect. Changes in underwriting guidelines would have a far greater impact,” Yun said.
In the condo sector, metro area condominium and cooperative prices – covering changes in 53 metro areas – showed the national median existing-condo price was $178,000 in the second quarter, up 7.5 percent from the second quarter of 2011. Twenty-nine metros showed increases in their median condo price from a year ago and 24 areas had declines.
First-time buyers purchased 34 percent of all homes in the second quarter, compared with 33 percent in the first quarter and 35 percent in the second quarter of 2011. Historically they are close to 40 percent of the market.
The share of all-cash home purchases was 29 percent in the second quarter, down from 32 percent in the first quarter; it was 30 percent in the second quarter of 2011. Investors, who make up the bulk of cash purchasers and compete with first-time buyers, accounted for 19 percent of all transactions in the second quarter, down from 22 percent in the first quarter; they were 19 percent a year ago.
Regionally, existing-home sales in the Northeast slipped 0.6 percent in the second quarter but are 10.6 percent above the second quarter of 2011. The median existing single-family home price in the Northeast declined 1.6 percent to $241,300 in the second quarter from a year ago.
In the Midwest, existing-home sales rose 1.3 percent in the second quarter and are 16.2 percent higher than a year ago. The median existing single-family home price in the Midwest rose 7.5 percent to $149,400 in the second quarter from the same quarter in 2011.
Existing-home sales in the South increased 1.3 percent in the second quarter and are 7.7 percent above the second quarter of 2011. The regional median existing single-family home price increased 7.4 percent to $163,200 in the second quarter from a year earlier.
It looks like the Bend Oregon real estate market is bottoming out and prices are starting to rise. The median price was up 15% from July 2011 through July 2012.
With tight inventory, existing-home sales in the West fell 5.3 percent in the second quarter but are 3.0 percent higher than a year ago. The median existing single-family home price in the West jumped 13.4 percent to $234,000 in the second quarter from the second quarter of 2011. “Inventory is pretty tight in all prices ranges in most of the West except for the upper end, which accounts for the sharp price gain,” Yun noted.
To search the Bend Oregon real estate market for the home of your dreams go to Bend Homes for Sale.
The median existing single-family home price rose in 110 out of 147 metropolitan statistical areas1 (MSAs) based on closings in the second quarter in comparison with same quarter in 2011; three areas were unchanged and 34 had price declines. In the first quarter of 2012 there were 74 areas showing price gains from a year earlier, while in the second quarter of 2011 only 41 metros were up.
A separate breakout of income requirements to buy a home on a metro basis shows a wide range of conditions, but most buyers had ample income in the second quarter assuming they could meet mortgage credit standards.
Lawrence Yun, NAR chief economist, said home prices are set to rise in even more markets during upcoming quarters. “It’s most encouraging to see a growing number of metro areas with rising median prices, which is improving the equity position of existing homeowners. Inventory has been trending down and home builders are still under-producing in relation to growing demand,” he said. “Some of the improvement in prices is due to a smaller share of sales in low price ranges where inventory is tight.”
The national median existing single-family home price was $181,500 in the second quarter, up 7.3 percent from $169,100 in the second quarter of 2011. This is the strongest year-over-year increase since the first quarter of 2006 when the median price rose 9.4 percent, but even with the gain the current price is 20.1 percent below the record set in 2006.
The median price is where half sold for more and half sold for less; medians are more typical than average prices, which are skewed higher by a relatively small share of upper-end transactions.
Distressed homes accounted for 26 percent of second quarter sales, down from 33 percent a year ago.
Total existing-home sales,3 including single-family and condo, slipped 0.7 percent to a seasonally adjusted annual rate of 4.54 million in the second quarter from 4.57 million in the first quarter, but were 8.6 percent above the 4.18 million pace during the second quarter of 2011.
At the end of the second quarter there were 2.39 million existing homes available for sale, which is 24.4 percent below the close of the second quarter of 2011 when there were 3.16 million homes on the market. There has been a steady downtrend since inventories set a record of 4.04 million in the summer of 2007.
According to Freddie Mac, the national commitment rate on a 30-year conventional fixed-rate mortgage averaged a record low 3.80 percent in the second quarter, down from 3.92 percent in the first quarter and 4.66 percent in the second quarter of 2011.
NAR President Moe Veissi, broker-owner of Veissi & Associates Inc., in Miami, said buying power is historically high. “Home buyers today can stay well within their means. Record low mortgage interest rates and an over-correction in home prices have opened the door to many potential buyers,” he said.
“What we need now is additional inventory in the lower price ranges, so we hope banks will be releasing more foreclosure inventory into the market. With gains apparent in all of the price measures, banks also should have more confidence in expanding mortgage credit to home buyers using safe but sensible standards,” Veissi said.
A breakout of incomes needed to purchase a median-priced existing single-family home by metro area shows the typical buyer has ample income. Required income amounts are determined using several downpayment percentages, assuming a mortgage interest rate of 4 percent and 25 percent of gross income devoted to mortgage principal and interest.
The national median family income4 was $61,000 in the second quarter. However, to purchase a home at the national median price, a buyer making a 5 percent downpayment would only need an income of $39,900. With a 10 percent downpayment the required income is $37,800, while with 20 percent down the necessary income is $33,600.
“Because the income required to buy to a typical home is very manageable by historical standards, any further decline in mortgage interest rates will have little effect. Changes in underwriting guidelines would have a far greater impact,” Yun said.
In the condo sector, metro area condominium and cooperative prices – covering changes in 53 metro areas – showed the national median existing-condo price was $178,000 in the second quarter, up 7.5 percent from the second quarter of 2011. Twenty-nine metros showed increases in their median condo price from a year ago and 24 areas had declines.
First-time buyers purchased 34 percent of all homes in the second quarter, compared with 33 percent in the first quarter and 35 percent in the second quarter of 2011. Historically they are close to 40 percent of the market.
The share of all-cash home purchases was 29 percent in the second quarter, down from 32 percent in the first quarter; it was 30 percent in the second quarter of 2011. Investors, who make up the bulk of cash purchasers and compete with first-time buyers, accounted for 19 percent of all transactions in the second quarter, down from 22 percent in the first quarter; they were 19 percent a year ago.
Regionally, existing-home sales in the Northeast slipped 0.6 percent in the second quarter but are 10.6 percent above the second quarter of 2011. The median existing single-family home price in the Northeast declined 1.6 percent to $241,300 in the second quarter from a year ago.
In the Midwest, existing-home sales rose 1.3 percent in the second quarter and are 16.2 percent higher than a year ago. The median existing single-family home price in the Midwest rose 7.5 percent to $149,400 in the second quarter from the same quarter in 2011.
Existing-home sales in the South increased 1.3 percent in the second quarter and are 7.7 percent above the second quarter of 2011. The regional median existing single-family home price increased 7.4 percent to $163,200 in the second quarter from a year earlier.
It looks like the Bend Oregon real estate market is bottoming out and prices are starting to rise. The median price was up 15% from July 2011 through July 2012.
With tight inventory, existing-home sales in the West fell 5.3 percent in the second quarter but are 3.0 percent higher than a year ago. The median existing single-family home price in the West jumped 13.4 percent to $234,000 in the second quarter from the second quarter of 2011. “Inventory is pretty tight in all prices ranges in most of the West except for the upper end, which accounts for the sharp price gain,” Yun noted.
To search the Bend Oregon real estate market for the home of your dreams go to Bend Homes for Sale.
Sunday, July 22, 2012
Distressed Home Sales Fall in Bend
Bend Oregon bank foreclosures and short sales (distressed sales) dropped
to a 4 year low for the first half of 2012. However, they still
represented 43% of the total sales. Bank foreclosures are falling rapidly as more and more banks are allowing short sales. Short sales can still be a can of worms but if you have an expert broker working for you they are workable.
It's the first time since 2008 that distressed sale in Bend have dropped below 50 percent for the first six months of the year. It looks like prices are starting to stabilize in the over all Bend real estate market. While some neighborhoods continue to fall in price some are now rising.
A recent analysis I performed showed homes in the very popular Northwest Crossing neighborhood rose 4% in the price per square foot while the average size of the homes sold fell. Median price is used a lot my statisticians but it can sometimes be conceiving. The huge homes of the past are not as popular as they used to be. Plus, smaller homes usually sell for more money per square foot.
A market analysis I did for a client yesterday on The Parks at Broken Top showed there were only 3 homes currently for sale in that neighborhood and there were 5 pending sales. There had been 17 homes sold within the last year in the Parks.
We looked at a very nice home Friday and my client was considering making an offer. It had been on the market 7 days. In checking with the listing agent I found it had two offers on it of which one was accepted. It sold the first week. We are currently seeing multiple offers on homes that are priced well.
If you are interested in foreclosures or short sales click on the following link and you can search the Bend Oregon Multiple Listing Service. or visit our web site for more information. Bend Oregon Real Estate Expert.
It's the first time since 2008 that distressed sale in Bend have dropped below 50 percent for the first six months of the year. It looks like prices are starting to stabilize in the over all Bend real estate market. While some neighborhoods continue to fall in price some are now rising.
A recent analysis I performed showed homes in the very popular Northwest Crossing neighborhood rose 4% in the price per square foot while the average size of the homes sold fell. Median price is used a lot my statisticians but it can sometimes be conceiving. The huge homes of the past are not as popular as they used to be. Plus, smaller homes usually sell for more money per square foot.
A market analysis I did for a client yesterday on The Parks at Broken Top showed there were only 3 homes currently for sale in that neighborhood and there were 5 pending sales. There had been 17 homes sold within the last year in the Parks.
We looked at a very nice home Friday and my client was considering making an offer. It had been on the market 7 days. In checking with the listing agent I found it had two offers on it of which one was accepted. It sold the first week. We are currently seeing multiple offers on homes that are priced well.
If you are interested in foreclosures or short sales click on the following link and you can search the Bend Oregon Multiple Listing Service. or visit our web site for more information. Bend Oregon Real Estate Expert.
Thursday, July 5, 2012
Bend Oregon Bank Foreclosures Are Selling Fast
Bank foreclosures in Bend Oregon are selling fast. It looks like we are seeing the bottom of the real estate market here in Bend. We are seeing multiple offers on new listings that are priced right and not just bank owned homes either. Here's a YouTube video on foreclosures.
If you are in the market to buy a home in Bend you should consider bank owned homes. The number of bank owned homes on the market is going down however. There are currently only 20 homes for sale in Bend with 47 pending sales in escrow waiting to close.
Interest rates are at an all time low and prices are over 50% below 2006 prices. Now is the time to buy. You can see a current list of bank owned homes for sale on our web site. The list is updated daily! Call us today. We are experts in helping our clients find and negotiate a good price on bank owned properties as well as conventional listings.
If you are in the market to buy a home in Bend you should consider bank owned homes. The number of bank owned homes on the market is going down however. There are currently only 20 homes for sale in Bend with 47 pending sales in escrow waiting to close.
Interest rates are at an all time low and prices are over 50% below 2006 prices. Now is the time to buy. You can see a current list of bank owned homes for sale on our web site. The list is updated daily! Call us today. We are experts in helping our clients find and negotiate a good price on bank owned properties as well as conventional listings.
Wednesday, June 27, 2012
April 2012 Home Price Index Climbs
The Bend Bulletin, Bend, Oregon's local news paper reported that the Nations largest cities price index increased over March after seven consecutive months of decline.
The Standard & Poor's/Case Shiller index increased 1.3 percent month over month but was still down 1.9 percent from April of last year.
It's my opinion that the month to month numbers are not as important as the year to year figures. That being said it's encouraging that prices were only down 1.9% from last year. That tells me that our real estate market is bottoming out nation wide.
Bend Oregon real estate is now a good buy with prices down over 50% from the boom years. Once more people start selling their homes nation wide they will start to move to Bend and we will see our prices start going up.
It looks like now is the time to buy a home in Bend before the word is out that our prices are going up. To search homes currently for sale in Bend click on this LINK.
The Standard & Poor's/Case Shiller index increased 1.3 percent month over month but was still down 1.9 percent from April of last year.
It's my opinion that the month to month numbers are not as important as the year to year figures. That being said it's encouraging that prices were only down 1.9% from last year. That tells me that our real estate market is bottoming out nation wide.
Bend Oregon real estate is now a good buy with prices down over 50% from the boom years. Once more people start selling their homes nation wide they will start to move to Bend and we will see our prices start going up.
It looks like now is the time to buy a home in Bend before the word is out that our prices are going up. To search homes currently for sale in Bend click on this LINK.
Tuesday, June 26, 2012
New Home Sales Increasing
Sales of newly constructed homes rose 7.6% according to the U.S. Department of Commerce. This is the highest level in more than two years. There have been 114 new homes sold in Bend, Oregon within the last 12 months. Here's a LINK to new homes currently for sale in Bend.
Nationally, there were 369,000 new homes sold last month. That is 19.8 percent more than the same month last year. Of course that's still far below new homes sales in the boom years.
Home sales in Bend are picking up but there are still lots of buyers waiting in the wings. Our last two listings that are still in escrow pending closing had multiple offers and sold for more than full price. Homes that are priced right are selling quickly.
In the past few years you could always buy a used home for less than you could buy a new one or have it built. That's changing now which is another sign that our Bend Oregon Real Estate market is probably bottoming out this summer.
If you are looking to buy or sell a home in Bend contact us. We are a family owned business selling homes in Bend for over 3 decades.
Nationally, there were 369,000 new homes sold last month. That is 19.8 percent more than the same month last year. Of course that's still far below new homes sales in the boom years.
Home sales in Bend are picking up but there are still lots of buyers waiting in the wings. Our last two listings that are still in escrow pending closing had multiple offers and sold for more than full price. Homes that are priced right are selling quickly.
In the past few years you could always buy a used home for less than you could buy a new one or have it built. That's changing now which is another sign that our Bend Oregon Real Estate market is probably bottoming out this summer.
If you are looking to buy or sell a home in Bend contact us. We are a family owned business selling homes in Bend for over 3 decades.
Saturday, June 16, 2012
Bend’s Median Home Price Rises
The median price for a single-family home last month in Bend rose to $234,000, the highest level in more than three years, according to a report released Friday by the Bratton Appraisal Group.
Bend’s median home price has seesawed — rising for several months, then declining for several — for much of the last three years, according to the Bratton Report. But it has not climbed near the $234,000 mark since the beginning of 2009, when it was $233,000. The report showed 173 single-family homes sold last month in Bend, about the same number of sales in both April and March.
The median price in Redmond last month reached $126,000, and 56 single-family homes were sold, according to the report.
Thursday, June 14, 2012
Broken Top Homes for Sale
Here's a link to all Broken Top Homes for Sale. Broken Top is a premier golf course community in Bend, Oregon. It is a gated community with 24 hour security guard at the entrance. It has a private golf course and quality homes in a beautiful forested setting.
It features a quality restaurant overlooking a picturesque lake with Mount Bachelor in the background. The restaurant is now open to the public. For more information go to our web site featuring Broken Top.
Broken Top You Tube Video
It features a quality restaurant overlooking a picturesque lake with Mount Bachelor in the background. The restaurant is now open to the public. For more information go to our web site featuring Broken Top.
Broken Top You Tube Video
Monday, June 11, 2012
Bend Oregon Riverfront Homes are Rare
I just did a market analysis for a client on homes in Bend, Oregon that are on the Deschutes River. There were only 16 currently for sale and 4 of those were over $1,000,000. One was priced at a cool $2.8 million!
Most of those homes were older homes built in the 60s, 70s and 80s. There were not riverfront lots for sale at that time. If you are looking for Bend Oregon riverfront homes try our web site. We feature all homes that are currently for sale through the Central Oregon Multiple Listing Service.
Most of those homes were older homes built in the 60s, 70s and 80s. There were not riverfront lots for sale at that time. If you are looking for Bend Oregon riverfront homes try our web site. We feature all homes that are currently for sale through the Central Oregon Multiple Listing Service.
Sunday, June 10, 2012
Awbrey Butte Homes for Sale
There are two golf courses at the base of the butte and Central Oregon Community College as well. Plus, Oregon State University - Cascades is offering more and more 4 year degrees. Someday it will be a full blown college campus.
Awbrey Butte offers some of the nicest real estate in Bend Oregon. There was a home sold there in 2006 for $2,673,000. There has been only one home sold over $1 Million within the last year. Awbrey Butte prices are about one half of what they were in 2006.
Which means now is a good time to buy a home on Awbrey Butte. As of this posting there were 19 homes for sale starting at $375,000. A recent analysis I did on the Butte showed prices were down 4% in the last year. However, I think that is coming to an end this summer.
There are still 4 homes for sale over $1 Million and prices jump over $500,000 pretty quickly. Whether you are thinking of buying or selling contact us today. We specialize in the sale of quality homes in Bend, Oregon.
Thursday, June 7, 2012
The 2012 Sisters Rodeo
Well, it's that time of year again. The 2012 Sisters Rodeo is under way! It started Wednesday and continues with Les Schwab Family night on Friday, June 8. It starts at 7 p.m. and children 12 and under are free.
Saturday, June 9th has the Rodeo parade at 9:30 a.m.
The afternoon Rodeo Performance 1 p.m.
and the evening Rodeo Performance 7 p.m.
Sunday, June 10th starts with a Buckaroo Breakfast from 7-11 a.m. The cowboy church service starts at 9 a.m. and the final rodeo performance starts a 1 p.m.
Put on your Wrangler jeans, your big belt buckle, your cowboy boots and your Stetson hat and come on down for the72nd Annual Sisters Rodeo in Sisters, Oregon. If you are looking for real estate in Bend or Sisters start your search at Bend Oregon Real Estate Expert.
Bend Oregon Farmers Market 2012
The Bend Farmers market started it's 2012 season this past Wednesday. The Markets are held downtown from 3 to 7 p.m. on Wednesdays through the middle of October and at St. Charles Medical Center from 2 to 6 p.m. Fridays through late September.
Bend Farmers Market is Oregon’s leading farm direct marketplace. It brings together growers and producers with people who hunger for fresh, local, healthful foods and agricultural goods. It occurs twice a week at two locations mentioned above. They have continued to reach out to the community as the first farmers market in Oregon to launch a Farm to School program.
Working with the Bend–LaPine School District their products are being incorporated into the school lunch program. Students are learning about nutrition and healthy eating and experiencing a deeper connection to food sources through farm visits, gardening and recycling programs.
Local farmers also benefit from access to a new market and the opportunity to educate kids about local food and agriculture. You know what they say. "Buy local." Just another reason to live and own a home in Bend, Oregon.
Bend Farmers Market is Oregon’s leading farm direct marketplace. It brings together growers and producers with people who hunger for fresh, local, healthful foods and agricultural goods. It occurs twice a week at two locations mentioned above. They have continued to reach out to the community as the first farmers market in Oregon to launch a Farm to School program.
Working with the Bend–LaPine School District their products are being incorporated into the school lunch program. Students are learning about nutrition and healthy eating and experiencing a deeper connection to food sources through farm visits, gardening and recycling programs.
Local farmers also benefit from access to a new market and the opportunity to educate kids about local food and agriculture. You know what they say. "Buy local." Just another reason to live and own a home in Bend, Oregon.
Monday, June 4, 2012
Summit High Wins 10 State Championships
Congratulations to Bend Oregon's Summit High for winning ten state championships this year. They won class 5A titles in Boys cross country, Girls cross country, boys swimming, girls swimming, boys track and field, girls track and field, boys tennis, girls tennis and girls golf.
Summit High School is one of the many reasons buyers of homes in Bend are moving to the west side. West side homes are a little more expensive than the east side but some people are willing to pay the price. If you are thinking of buying Bend Oregon real estate give us a call at Bend Oregon Real Estate Expert.
Summit High School is one of the many reasons buyers of homes in Bend are moving to the west side. West side homes are a little more expensive than the east side but some people are willing to pay the price. If you are thinking of buying Bend Oregon real estate give us a call at Bend Oregon Real Estate Expert.
Friday, June 1, 2012
Short Sales Are Increasing
The Bend Bulletin reported the number of homes sales in the United States via short sale hit a 3 year high in the first quarter of 2012. It was up 25 percent from a year earlier according to the report. Short sales made up 12 percent of all residential sales according to the report.
A few years ago we were advising our clients to avoid short sales. After the market crash in October 2008 lenders were not easy to work with on their short sales. They really did not know what they were doing. I would takes months only to have the bank refuse to allow the sale.
Short sales are where the current owner owes the bank more than the market value of the home. The bank essentially has to take the loss. After several years of foreclosures the banks have figured out it is easier and cheaper to approve a short sale at market value than it is to go thru the expensive process of a foreclosure and end up with a home that is possibly damaged either buy a disgruntled home owner or by vandals or frozen plumbing.
Bend Oregon Short sales are also on the rise. Now that the banks are approving short sale more readily we are working with our clients to find good values in today's market which seems to be hitting bottom. Bank foreclosures are also a good avenue to a good buy. Owners are also lowering their prices to compete with distressed properties.
A few years ago we were advising our clients to avoid short sales. After the market crash in October 2008 lenders were not easy to work with on their short sales. They really did not know what they were doing. I would takes months only to have the bank refuse to allow the sale.
Short sales are where the current owner owes the bank more than the market value of the home. The bank essentially has to take the loss. After several years of foreclosures the banks have figured out it is easier and cheaper to approve a short sale at market value than it is to go thru the expensive process of a foreclosure and end up with a home that is possibly damaged either buy a disgruntled home owner or by vandals or frozen plumbing.
Bend Oregon Short sales are also on the rise. Now that the banks are approving short sale more readily we are working with our clients to find good values in today's market which seems to be hitting bottom. Bank foreclosures are also a good avenue to a good buy. Owners are also lowering their prices to compete with distressed properties.
Monday, May 28, 2012
Real Estate Sales Picking Up in Bend Oregon
We just sold one of our listings after it had been listed for three days. We also sold another listing the first week. This is not uncommon for homes that are priced right. Multiple offers are common. The last sale had two offers on it and sold for over full price.
The last research I did showed home prices up 3% from the previous year. Bank foreclosures are becoming fewer and fewer. There are still good buys out there but they are becoming harder to come by. Now is the time to buy whether you are an investor or a home owner. Bend Oregon real estate is a great investment.
The last research I did showed home prices up 3% from the previous year. Bank foreclosures are becoming fewer and fewer. There are still good buys out there but they are becoming harder to come by. Now is the time to buy whether you are an investor or a home owner. Bend Oregon real estate is a great investment.
Saturday, May 12, 2012
Bend Oregon Real Estate - Market Update
It looks like the market in Bend is going to bottom out this year. We are now receiving multiple offers on homes under $250,000. That is if they are priced right.
It also looks like the market in Redmond Oregon, Sisters Oregon, La Pine Oregon, Prineville Oregon and Sunriver Oregon may bottom out as well.
Bend Oregon Bank Foreclosures are also becoming scarce. There are only about one third the number of bank owned homes for sale today as compared to 2 years ago. Plus the number of notices of default are also about one third of what they used to be. This decrease in the notices of default means there will be fewer and fewer bank owned homes coming on the market in the future.
If you are selling or buying Bend Oregon real estate call Matt or Jim Johnson at Bend Oregon Real Estate expert. We are a father and son team and have been selling homes in Bend since 1981. Of course Matt was 2 years old in 1981 but he has been working full time in the real estate business since 2001.
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