Buying a house in Bend - Offer price under listing??

[StealthRabbit]

Beware, more to come
Good place to call home, if you can get a job and afford a home.

Look to ~1995 prices as an adjustment range, there is a lot of room to fall, hang on.

[Althea]

I sold my house in Bend (can you say lucky?) in March of 2008 and moved out of state. My family wants us to come back and I might consider it, in about a year. The doom and gloomers are predicting the median home price will fall from 210K to 150K by next year and after much research, I am inclined to agree that it is a distinct possibility. There is a huge inventory in Bend and an incredibly high unemployment rate. Bend is still in a free fall and it may continue for awhile.

Now is NOT the time to buy in Bend. The other shoe has not dropped.

[khunguni]

Despite the warnings of falling prices, we finally own a home in Bend. We bought at 2002 levels, and if it continues to fall, I am prepared for that . We bought a house on the west side, a stones throw from all the trails. Loving the mountain biking, trail running, etc. It is amazing to have all that terrain out your front door.

I think buying depends on your priority. We are buying to have a home, not an investment. We bought at a level that we can afford financially and if prices continue to fall, it is perceived wealth if you are not planning to sell.

I figure I have another decade or two to ski, run, bike, etc. before I will really slow down, so live for the moment and don't worry about if the prices will drop a few more percent.

Finally, we want to have a home paid off by retirement. If we continue to rent we are not making gains towards that goal.

I know a lot of people on this forum will disagree, but it seems people are very interested in making money on a home, rather that enjoying the beautiful nature around Bend. To each his own I suppose. But while you guys are waiting to move to Bend, I will be on the trails enjoying life.

Live for the moment, but plan for tomorrow.

[Dry Side]

That's great you found 2002 prices, but the majority of sellers are still dreaming of 2005+ prices. Nothing over $500K is moving. The West side will always be the more desirable location in Bend being closer to the outdoor recreation amenities.

[angelbug]

Originally Posted by khunguni

I know a lot of people on this forum will disagree, but it seems people are very interested in making money on a home, rather that enjoying the beautiful nature around Bend. To each his own I suppose. But while you guys are waiting to move to Bend, I will be on the trails enjoying life.

Live for the moment, but plan for tomorrow.

I think you have the right idea. I have always purchased homes to live in, not as investments. I've been lucky to have made quite a bit of money on my three homes, through sheer dumb luck on my part of just buying in the right place at the right time. Buying a home solely for investment purposes will clearly not be a good strategy any time in the near future. My parents purchased a home in 1946 and sold it in 1973. It sold for three times what they paid for it, but I once figured out with a financial calculator that that probably didn't even keep pace with inflation. However, it was cheaper than renting all those years, and they enjoyed having their own place to do with as they pleased. That's the real reason to purchase, IMO.

As someone considering moving to Bend as a retiree, though, I have no desire to buy an overpriced home. I need to "plan for tomorrow," as you say, and conserve capital from the sale of my current home to supplement my retirement income. And I'm not retired yet, so I can't move, anyway. However, I do keep my eye on the market there so that in case I do choose it in the end, I don't overpay.

[skypros]

I am hearing the affordability housing index is at the second best in history.

There is a point to where you have to say HUMMMMMM

I just purchased a home in south Bend (three rivers south DRRH) and I paid $103 a square foot for a 3/2 1200 sq ft home on a 1/2 acre built in 2005 fully fenced and u shaped driveway with landscaping.

I am seeing many newer homes in the $80's per sq ft also on small acreage.

What I am saying here is that it COSTS a builder about $80 a square foot to build a home of average construction.... then there is the cost of the land..... and last time I looked they are not making anymore of it and at these prices it is almost like,.....

Buy a home at builder cost and get the land for free.

Can prices continue to go down.... Sure it can..... But I will bet at where we are it will level for a short period and then start rising in the very near future.

Anyways this is my view of the housing market in bend / la pine areas

[davefr]

Originally Posted by skypros

Can prices continue to go down.... Sure it can..... But I will bet at where we are it will level for a short period and then start rising in the very near future.

Anyways this is my view of the housing market in bend / la pine areas

It'll likely to level out but I don't see anything to fuel a rise in values. Bend has the worst unemployment in the state, they have no industrial/employment base other then tourism and the days of equity rich Californians bring up tons of equity to buy Bend homes is long gone.

The real estate trends of the last decade are not likely to repeat themself anytime soon IMHO.