Real Estate Prices Dropping in Bend! What Buyers & Sellers Need to Know

After years of relentless price growth, Bend’s real estate market is finally showing signs of cooling. Whether you're a hopeful buyer or a strategic seller, this shift is creating new dynamics — and opportunities — across the region.

🏡 Why Are Prices Dropping?

There are several contributing factors:

• Higher Interest Rates: Mortgage rates have remained elevated, reducing affordability and dampening buyer demand.

• Increased Inventory: More listings are hitting the market, giving buyers more options and decreasing urgency.

• Economic Uncertainty: National and local economic fluctuations have made some buyers hesitant, slowing down bidding wars.

• Saturation at the High End: Luxury properties, especially second homes, have seen less demand, bringing down the average price point.

💰 What This Means for Buyers

This could be your moment.

• More Negotiating Power: Fewer bidding wars mean buyers can make more strategic offers.

• Price Adjustments: Many listings are reducing prices or offering credits toward closing costs or repairs.

• Time to Think: Homes are sitting longer, allowing for better decision-making instead of the frenzy seen in past years.

“We’re seeing buyers regain control of the conversation — something that hasn’t happened in quite a while,” says local broker Greg Powell.

🏠 What Sellers Should Consider

It’s not all doom and gloom.

• Strategic Pricing is Key: Overpricing your home in today’s market could leave it sitting for months.

• Condition Matters: Homes in excellent shape or with modern upgrades are still moving quickly.

• Think Long-Term Equity: If you don’t have to sell now, holding your property could pay off once rates drop and demand picks back up.

🔄 Is This a Crash?

Not at all.

This is a correction, not a collapse. While some headlines may shout “prices dropping,” the truth is that values are stabilizing after an unprecedented surge from 2020–2022. Bend remains a highly desirable place to live, and long-term outlooks remain strong.

If you’ve been waiting for the market to shift in Bend — it just did. Buyers have more leverage, and sellers need to be more thoughtful. Whether you're considering your first home, an investment property, or listing your current one, understanding how these trends impact your goals is essential.

Want help navigating the change? Let’s connect and talk strategy based on your timeline and priorities.

FAQs

Q: Are home prices really dropping in Bend?

Yes, median prices have softened in 2025 compared to the highs of 2021–2022. While some segments (especially luxury) are seeing noticeable price corrections, well-priced homes in desirable areas still move quickly.

Q: Is this a good time to buy in Bend?

It depends on your goals, but for many buyers — especially first-timers — this is the best buying environment in years. You’ll face less competition, and some sellers are more willing to negotiate or offer concessions.

Q: Should I wait to buy until rates drop?

While waiting may sound logical, keep in mind that lower rates often spark buyer demand, which can push prices right back up. Buying now with less competition and refinancing later is a strategy many are exploring.

Q: Is Bend heading for a crash?

Not likely. What we’re seeing is a market correction — not a collapse. Demand for homes in Central Oregon remains strong, especially as more people continue to relocate for lifestyle, work flexibility, and outdoor access.

Q: What can sellers do to stay competitive?

Price your home realistically, ensure it’s in great condition, and highlight key upgrades or features. Homes that are move-in ready and priced in line with current buyer expectations still sell quickly.