Redmond Home Values Summer-Fall 2014 (Bend: zoning, prices, housing)

[skypros]

In Redmond, I am starting to see $10,000 price reductions on homes mostly above $200k
And $2,000 to $8,000 for homes under $200k
Not allot of price reductions but allot more than in the past year.

Probably most of the reductions are due to the seller way to optimistic on their homes worth.... while others may need/want home sold before the school season starts.

[BendLocal]

Originally Posted by skypros

Probably most of the reductions are due to the seller way to optimistic on their homes worth.... while others may need/want home sold before the school season starts.

I agree. Motivated sellers have no choice but to lower their price if they want to move the house. I'm not seeing much in the way of reductions in Bend but who knows what will happen once the fall season hits and the buyers dry up.

[redguard57]

Prices went up a good 10% in about a 6 month period up to June. People probably thought it'd keep going up and listed even higher.

[Coniferian]

The house I sold in Conifer, Colorado 9 months ago is up for sale again for $76,000 more than I got for it. Granted, they made a few improvements to the interior, but it still has a long, steep dirt driveway and no garage. They've got about a month and a half before the fire season ends and the snow starts, so I assume they'll be dropping their asking price soon.

[BendLocal]

Originally Posted by redguard57

Prices went up a good 10% in about a 6 month period up to June. People probably thought it'd keep going up and listed even higher.

So reminiscent of what we saw right before the big crash!

[JimH2]

http://donniemontagner.files.wordpre...-july-2014.pdf

[Snownut]

Originally Posted by BendLocal

So reminiscent of what we saw right before the big crash!

I hope not, things seem to have leveled off lately. The article linked in the other post seem to show that too? Check back in December/ January and see what the total year looks like.

[BendLocal]

I have a friend looking for a house in Bend now and based on that I don't think there has been a significant leveling off. The data through the end of June shows that the median cost per SF has increased each month of 2014 and redguard 57 says it is up 10% for 2014. Will be interesting to see what July shows.

[redguard57]

Well, I've mainly been searching in Redmond, Prineville, & Madras. Those shot up about 30% from 2012 prices, pretty much increasing all through 2013 with a big spike in winter/spring 2014 then leveled off the last few months. Now I see Redmond prices in decline somewhat.

Bend may be a different story. I stopped searching in Bend when it became clear I would have to pay $150K for a manufactured home.

While prices are up, they're not even close the levels they were preceding the big crash. They're at 2003 prices (at least the one I bought is at the value it was in more or less 2002-03). In 2006 it's market value was right at 100% more than I paid. Things were ridiculous then. I think the market right now is more or less fair given the improvement in the economy the last year and half or so. The big question is where do things go from here? With the high qualifications on getting a mortgage, I feel like rents will have a crisis first. The "market rate" to rent my house is almost 40% more than my mortgage payment. Rents have risen something like 4% in just the last 30 days.

If I had more cash, buying a few properties to rent out would be a solid investment.

[BendLocal]

Originally Posted by redguard57

While prices are up, they're not even close the levels they were preceding the big crash. They're at 2003 prices (at least the one I bought is at the value it was in more or less 2002-03).

Interesting. Bend is well past 2003 prices. I'd guess at or even over the prior highs in some cases. Which I really don't understand.