Is the Housing Market Rigged to Keep Regular People from Owning?

In 2025, conversations about housing often circle back to one pressing concern: Is the system designed to keep regular people from owning a home?

With rising home prices in places like Bend, Redmond, and Sisters, higher mortgage rates, and intense competition, it’s easy to see why buyers feel the deck is stacked against them. Let’s take a closer look at what’s driving this frustration—and what it means for would-be homeowners in Central Oregon.

1. The Affordability Crisis

The median home price in Bend continues to hover above $700,000, while in Redmond, it’s closer to $500,000. Meanwhile, wage growth hasn’t kept up. This creates a gap where regular income earners are priced out, especially first-time buyers.

2. Institutional Investors & Competition

Across the U.S., large corporations and investment funds have been buying single-family homes in bulk. While this trend is less intense in Central Oregon compared to major metros, it still adds competition and can push prices higher.

For local buyers, it feels like competing with Wall Street for a starter home—and that frustration feeds the “rigged system” narrative.

3. Zoning and Supply Challenges

Housing supply in Central Oregon is constrained by:

• Land use restrictions that limit new building in Bend.

• Construction costs that make affordable housing harder to develop.

• Slow growth in new inventory, which keeps competition high.

The result? A system that unintentionally favors existing homeowners while making it harder for new buyers to enter.

4. Lending Standards & Mortgage Rates

High interest rates in 2024–2025 have increased monthly payments by hundreds of dollars compared to just a few years ago. Even if you qualify, the cost of ownership may feel out of reach.

For many, this makes it seem like the rules are written for banks and sellers—not buyers.

5. So…Is It Rigged?

The housing market isn’t deliberately “rigged,” but the combination of supply shortages, financial policies, and investor competition creates a system that feels unfair to regular people trying to buy.

The good news: There are still paths to ownership, especially in Redmond, Prineville, and La Pine, where homes under $500,000 exist and competition is less intense than in Bend.

FAQs

Q: Why does it feel like only investors and wealthy buyers can win?

A: Because they have cash reserves and can move quickly. First-time buyers rely on financing, which makes their offers less competitive.

Q: Are there any programs in Oregon that help regular people buy?

A: Yes—first-time buyer grants, down payment assistance, and USDA loans are still available in parts of Central Oregon. These can help bridge the gap.

Q: Is renting a better option right now?

A: Renting may feel safer in the short term, but buying—even at today’s rates—lets you build equity instead of paying someone else’s mortgage.

Q: Where should I look if I want the best chance at owning in Central Oregon?

A: Redmond, Prineville, and La Pine remain more affordable than Bend and offer good long-term appreciation potential.

While the housing market may feel “rigged,” the reality is more complex. Structural challenges, limited supply, and rising costs create barriers—but not insurmountable ones. With the right strategy, regular buyers can still find affordable opportunities in Central Oregon.