(Photo above by Jeff Spry)
Spring has sprung in Sisters and with it a new crop of For Sale and For Lease signs has popped up in the local real estate fields. While inventories are down, many realty professionals in downtown Sisters’ firms see colorful opportunities for home and commercial property sales. Stability has been creeping into the equation over the past year, especially in the $200,000 to $400,000 price range, bolstered by low interest rates, yet challenges for first-time homeowners and low-income families persist.
Commercial real estate has rebounded from its post-recession doldrums, with ample inventory but few eager participants, especially in the downtown corridor and ancillary avenues. High-end residential properties over $500,000 have been the laggers, with a slate of luxury homes languishing in that slow end of the market.
Phil Arends of Howell’s Realty Group agrees with the stability and reported 25 sales in the January-March period in 2014 and 28 properties through mid-March in 2015.
“Based on those numbers, I see a lot of stability,” said Arends. “The average per-square-foot price was virtually the same these past two years. Inventory is still low relative to the $400,000 or less price range. The value range is the most popular segment of the market. Every time Hayden Homes has listed a property in that low $200,000 price it’s sold right away. People are looking for good value and I see the news out of Oregon that the Portland economy is strong, which helps sellers move from other areas to Sisters.
“The California drought situation can also be a positive for us and drive some business here to Central Oregon. The job situation in Sisters is still an issue but doesn’t really affect telecommuters and retirees.”
Mike Mansker, owner of Coldwell Banker Reed Brothers Realty, sees an influx of buyers migrating in from the Bend area.
“In 2013, we sold almost an identical number of residential properties in Sisters to people from Bend than to the entire state of California,” he explained. “Part of that is a progression of people who discover Sisters after they move to Bend. Not everyone realizes how many distinct quality of life advantages Sisters has. We’re lower in elevation than Bend, closer to the mountains, and have four medical clinics, three banks, three grocery stores, two hardware stores, stunning school facilities… it’s really unbelievable for a town this size. What’s really fun is to see new people shaping the community.
“On the commercial side, 2014 started a nice uptick. Leased spaces are filling up, the downtown commercial area has had a huge facelift, and new businesses are coming. It’s refreshing to see people moving on with their lives and dreams. In MLS alone, nine commercial buildings sold in the last two years and there are only five for sale in MLS. Clearly, buyers are acting on their confidence that things are improving.”
Jeff Jones, managing principal broker for Metolius Property Sales, believes the local real estate market is in an active state and is optimistic for the foreseeable future.
“We just listed, for the first time since 2010, the initial 14 residential lots located within the Saddlestone subdivision starting at $65,000 inside the Sisters city limits. It was a Pahlisch Homes development that got all its infrastructure in place back in 2006 before they lost it to the bank,” Jones said.
“There’ll be construction started on four spec homes in the next 30 days and ultimately we envision a combination of bare lots and homes available for purchase. It’s good for the market and the community because it brings shovel-ready lots on the market. Demand has been strong enough that we currently have a lack of inventory in building lots and new construction.
“For commercial sales, most of the empty warehouse space we’ve had has been purchased or leased up in the last year. We still have some vacant retail space around town and that’s steadily being absorbed so it’s looking a lot better.”
For Jones, the livability factor in Sisters doesn’t get much better.
“Sisters continues to be a captivating location with a unique appeal and with that comes the potential for further growth and prosperous times.”
