Supply grows, but demand soars: Some Bend homes sell for $100K over asking price

Plenty more homes being built, but 'it's just not catching up to demand'

BEND, Ore. (KTVZ) -- No matter where you are in Bend, you will likely see construction of new homes -- and yet, a supply vs. demand squeeze has prices soaring to record levels.

Thousands of homes are planned from in northeast Bend, off Deschutes Market Road, to southeast Bend, off Brosterhous Road, and a future development planned to the east, off 27th Street and Stevens Road.

But Central Oregon Realtor Derek Cox said Wednesday it's still not even close to meeting demand, in part because new developments don't all sell at once.

"They'll release two lots a week, and it's just not enough for what's going on," Cox said. "So as much as you see 120 new potential listings coming up
for the current moment, it's just not catching up to what the demand is."

In fact, the competition can be so intense, Cox says it can lead to intense bidding wars.

"Like I've said, there have been a handful of properties that have gone well above $100,000 over the asking price," Cox said.

A long-time healthy real estate market has become a fiercely heated competition.

"Really for the last year, since 2020 about half way through, since Quarter 3, it just doesn't matter what price range -- you're having multiple offers on the $400,000 range, $800,000 and then above $1 million," Cox said.

As for who's buying these houses, Cox said in addition to people moving from out of state, others are looking for a place to work from
home, and they're competing with investors.

"There's a lot of people looking to park money here right now," he said. "You know, the stock market is very volatile, and so for me, the last handful of houses I've been able to help out have been investors, knowing that bend will probably continue to appreciate."

Cox said he's seeing more investors from California that are looking in Bend for a rental property. And they can often afford to pay cash.