(Photo courtesy of RootedHomes)
Trends & Challenges in the Industry
Builders in Central Oregon offer many different specialties, from custom home building and artistic projects to eco-friendly homes, commercial projects, restoration and more. Central Oregon has seen higher rates of new builds when compared to other regions, due to decades of population growth that at one point made Bend the third fastest growing city in the country, just before the pandemic.
While population growth brought many benefits, it also exacerbated the existing housing shortage. In response, builders have helped address the need for housing by expanding the city with multitudes of new neighborhoods, along with an increasing number of apartment complexes aimed at addressing the shortage of workforce housing.
This year alone, the City of Bend has added 695 residential units; a 103 percent increase when compared to this time last year.
Aside from residential projects, commercial builds are all over the city but mostly focused on East Bend and the Central District, which are both proposed to be the home of increased development and growth in the near future.
Across the industry, builders have seen a number of trends among their recent work. Hank Hill, owner and operator of Bend Craftsmen Company, a residential and small commercial general contractor that specializes in remodels and custom new builds, noted a shift more towards eco-friendly options, along with smaller homes with specific features.
“There’s been an increase in all-electric homes, with some jurisdictions banning gas appliances altogether. That has not happened yet in Central Oregon, but it could be coming,” said Hill. “I’m also noticing that single-story homes are becoming quite popular, along with more use of bold color and texture, especially with interior design. There has also been a focus on work-from-home and outdoor spaces.”
These trends directly relate to the growth of Bend and the increase in remote work. As the modern world changes, as will the places that we call home.
At Buckingham Resources, a builder focused on art-forward custom home builds and remodels, this sentiment is shared; modern life is changing, and so are homes. A big trend they have witnessed in their work is the expansion of home remodels, and the growing need for remodels in Central Oregon, especially Bend.
“With Bend’s growth, limited inventory of quality homes in established neighborhoods, and interest rates remaining neutral were seeing a rise in remodeling projects,” said Britt Porter, project manager of Refresh by B|R, the remodeling branch of Buckingham Resources.
“Long-time owners are reinvesting in their homes and buyers are choosing to purchase and renovate existing homes. We’re also seeing an increase in full-home remodels — not just cosmetic updates but completely reimagining how a home functions,” Britt said. “Owners are looking to open up floor plans, add guest suites or offices, and expand or make square footage more functional to meet their specific needs.”
In addition, Britt said that she’s seen an increase in “homes with more character,” noting a shift towards warmer, more personal homes with elements like natural woods, textured materials and meaningful choices that reflect how people truly live in their homes.
“While minimalism isn’t gone, clients are learning more towards comfort and character, as opposed to perfection,” Britt said. “In recent years, the home has truly become a sanctuary, and our clients not only want their home to be beautiful, but also functional and meaningful to them personally. For many who have moved here recently, we’re seeing materials and design choices that reflect the beauty of our region — their home is more than a place to live — it’s a reflection of why they chose Central Oregon as their home.”
Along with trends also comes challenges new and old that builders in Central Oregon are having to contend with. Hill said that the biggest challenge he’s seeing is the rising cost of business, regarding both construction and permitting.
“People don’t realize the amount of money that’s sometimes involved before you even begin actual construction,” said Hill. “With so many people moving here and infrastructure trying to keep up, the SDC charges and property improvement fees have become exceedingly high for many builders. This of course is dependent on specific lot/property circumstances and what you’re intending to build.”
Hill noted that other challenges are also connected to an overall rising cost, including higher interest rates, inflation, and the cost/availability of lots and building materials.
Tom Buckingham, the founder and builder at Buckingham Resources, shared this sentiment, noting that rising costs are one of the biggest challenges they have, “To navigate this, we focus on transparency — having open, honest conversations with clients about costs early and often. We work closely with them to understand their goals, offer options, and assist in their decision making to balance design, function, and cost.”
In addition, Buckingham mentioned that finding skilled labor is still an issue; a challenge that most industries across the region have struggled with since the pandemic.
Noting that the main issue for builders is an increased cost, the big topic of the Trump Administration’s tariffs looms overhead. Hill said that he’s already seen a rise in cost, directly linked to the tariffs.
“I’ve gotten three notices in just the last month about price increases due to tariffs. I recall steel being a big one last time around, but now, I feel it will affect many more facets of what goes into a house,” Hill said. “For me, it’s too soon to tell how big of an impact this will really have, but for now, we’re being sure to factor in larger budgets for materials and selection items, and we are
planning accordingly.”
Planning accordingly seems to be the common theme, when confronting these tariffs. Buckingham said the following, “The landscape is continuing to evolve regarding proposed tariffs and if implemented, these changes could potentially lead to higher construction costs across the industry, including here in Central Oregon. In a market already facing supply challenges and rising costs, it’s something we’re watching closely. Our approach is to plan ahead, maintain strong supplier relationships, and stay transparent with clients about potential impacts — so we can continue to deliver high-quality homes without surprises.”
In an ever-changing industry, the role of technology continues to grow, “As the tools and materials evolve, so does our ability to deliver homes that are not only beautiful, but more durable, efficient, and responsive to how people actually live.” said Buckingham. “Advancements in building materials — including fire-resistant options — allow us to build smarter, faster, and more cost-effectively, withstanding Central Oregon’s wildfire risks, temperature swings, and dry climate. We’re also seeing continued improvements in smart home integration, with more intuitive systems that are easier for clients to use day-to-day.”
In regard to the role of new tech, Hill said, “There continues to be more use and advancement of cloud based project management platforms. A.I. and machine learning are being used to enhance construction efficiency to optimize timelines, improve material usage, and increase safety on job sites.
Continuing, he said, “Homes, like new cars, are becoming ‘smart,’ with automated lighting, voice activation, ‘smart’ fixtures/appliances/HVAC systems, advanced security systems and more. Overall, these advancements will make for more efficient builds, hopefully less material waste, and more comfortable and sustainable living.”
Looking at the future of building in the region, both Buckingham Resources and Bend Craftsmen Company acknowledge the challenges while remaining optimistic about the future. Hill noted that growth is inevitable but also mentioned that we should prioritize growing in a sustainable way that doesn’t leave affordable housing in the past. He mentioned that there is “a lot of money coming into Bend,” and stressed the notion that while that is good for business, he doesn’t want Bend to become even more difficult to live in for the average earner.
On the topic of the future, Buckingham said, “We remain optimistic about the long-term outlook for building in Central Oregon — the appeal of Bend and its surrounding areas remains strong for both long-time residents
and newcomers.”