Published June 19, 2024
June 2024 Market Update: Hey Buyers...Inventories at 2014 Levels!
JUNE MARKET UPDATE: OPPORTUNITY FOR BUYERS? MONTH OF SUPPLY HIT 2O14 LEVELS.
Welcome to another McGlone Property Group monthly market update! A huge "Thank You" to all that joined us for our client appreciation event at Compass Park last month. We had a blast getting to mingle with past clients in what turned out to be an excellent late Spring day! I big thank you to Grey Duck Ice Cream for making a second trip to refill their supplies after all of the kiddos consumed everything they had!
Bend's median sales price jumped to $752K this month, up roughly 1% year over year. We did see an increase in the median price of pending listings in May, which came in close to $770K and is a sign we may see an increase in Bend's median next month. Even though it is nice to see our pricing keep up with last year, there are some growing signs of weakness in our market. Once again we saw new listings surge year over year, and pending units dropped. As these two metrics continue to diverge, inventory continues to build. Our months of Supply is now sitting at 3.5 months, which is the highest we've seen in May since 2014!
New Listings By Month
New listings once again jumped year over year, coming in up 16% to last year. This marks the 4th consecutive month in a row that new listing inventories have come in higher than last year, and 3 months in a row that we've seen 10% or higher growth
Homes Pending By Month
Pending units dropped for the 5th consecutive month, coming in down 7.5% to last year. With interest rates still holding above 7% and prices holding steady, we expect this trend to continue.
Months of Supply
Months of supply increased to 3.5 months! This is the highest months of supply we've seen for May since 2014, and is a sign that our market may be shifting more toward a buyer's market. This slowdown could impact sales prices towards the back half of the year.
Financing Affordability
Affordability eased primarily due to the large drop in Bend's median sales price as the Freddie Mac rate survey data actually increased over last month. Once again, A $4,000 monthly payment (not including taxes and insurance) continues to remain the threshold on our affordability metric.
Thoughts for Sellers
Positioning and pricing your home property are more paramount now than any other time in the last 5 years. As more competition hits the market, now is not the time to push the envelope on price or cut corners on prepping your home. We are seeing the volume of offers under list price increase, as well as offers seeking seller concessions. These types of offers can be frustrating, however we are encouraging Sellers to work through these challenges with the goal of closing the home rather than flat our rejecting offers as from our angle, this trend will continue for months.
Thoughts for Buyers
Now is an excellent time to shop as inventories grow. Get into many homes before making a decision to write an offer because time is on your side. Even though rates are right at 7%, we think that the signs of market softness and growing inventories are creating a great opportunity to buy. We don't foresee a major year over year reduction in price, but we do see this as a great time to negotiate a better deal on a home compared to earlier this past year. As soon as interest rates do correct, we believe this opportunity will disappear quickly.
Welcome to another McGlone Property Group monthly market update! A huge "Thank You" to all that joined us for our client appreciation event at Compass Park last month. We had a blast getting to mingle with past clients in what turned out to be an excellent late Spring day! I big thank you to Grey Duck Ice Cream for making a second trip to refill their supplies after all of the kiddos consumed everything they had!
Bend's median sales price jumped to $752K this month, up roughly 1% year over year. We did see an increase in the median price of pending listings in May, which came in close to $770K and is a sign we may see an increase in Bend's median next month. Even though it is nice to see our pricing keep up with last year, there are some growing signs of weakness in our market. Once again we saw new listings surge year over year, and pending units dropped. As these two metrics continue to diverge, inventory continues to build. Our months of Supply is now sitting at 3.5 months, which is the highest we've seen in May since 2014!
New Listings By Month
New listings once again jumped year over year, coming in up 16% to last year. This marks the 4th consecutive month in a row that new listing inventories have come in higher than last year, and 3 months in a row that we've seen 10% or higher growth
Homes Pending By Month
Pending units dropped for the 5th consecutive month, coming in down 7.5% to last year. With interest rates still holding above 7% and prices holding steady, we expect this trend to continue.
Months of Supply Months of supply increased to 3.5 months! This is the highest months of supply we've seen for May since 2014, and is a sign that our market may be shifting more toward a buyer's market. This slowdown could impact sales prices towards the back half of the year. |
Financing Affordability
Affordability eased primarily due to the large drop in Bend's median sales price as the Freddie Mac rate survey data actually increased over last month. Once again, A $4,000 monthly payment (not including taxes and insurance) continues to remain the threshold on our affordability metric.
Thoughts for Sellers
Positioning and pricing your home property are more paramount now than any other time in the last 5 years. As more competition hits the market, now is not the time to push the envelope on price or cut corners on prepping your home. We are seeing the volume of offers under list price increase, as well as offers seeking seller concessions. These types of offers can be frustrating, however we are encouraging Sellers to work through these challenges with the goal of closing the home rather than flat our rejecting offers as from our angle, this trend will continue for months.
Thoughts for Buyers
Now is an excellent time to shop as inventories grow. Get into many homes before making a decision to write an offer because time is on your side. Even though rates are right at 7%, we think that the signs of market softness and growing inventories are creating a great opportunity to buy. We don't foresee a major year over year reduction in price, but we do see this as a great time to negotiate a better deal on a home compared to earlier this past year. As soon as interest rates do correct, we believe this opportunity will disappear quickly.
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