Luxury Real Estate

Courtesy of Don Pilotte of Prudential Montana Real Estate

Both nationally and locally real estate brokers have noticed an increase in the number of cash transactions.

For example, between January 1, 2010 and late March 2011 of 166 transactions in Big Sky, 72 or 43 percent have closed with cash. According to a recent article in the San Francisco Examiner in January 2011, 28.7 percent of the sales closed with cash. Also in January, 2011, 46 percent of real estate transactions in Toledo, Ohio were cash sales. The MLS of Central Oregon that tracks sales in the Bend, Oregon area noted that 32 percent of the sales in February were cash transactions.

The National Association of Realtors noted that 54.2 percent of the sales in Miami, 45.9 percent in Las Vegas, 44.9 percent in Tampa and 35.6 percent of the sales in Phoenix were cash transactions. These four cities were all hit pretty hard by the recent recession and prices were dramatically reduced due to numerous foreclosures and short sales.

While there are a number of reasons for this increase in cash sales, such as foreign investment, cashing out equity in other properties or investments or using cash and a quick close as a negotiation strategy, there is also another potential reason: the return of the investment buyer.

Investment buyers look for opportunity; the combination of motivated sellers, short sales and foreclosures combined with a lot of inventory creates an almost ideal situation for those investment minded buyers. This also could be a signal that many buyers believe that we are close or at the bottom of the market. Already in Big Sky we are seeing significant market absorption in certain areas and price ranges.

By Jim Johnson

From his blog: Move to Bend Oregon for the Music

One of the reasons people are buying homes in Bend, Oregon is the music. The Les Schwab Amphitheater is where a lot of that music happens. It is a beautiful outdoor riverfront amphitheater built in the historic Old Mill District in 2001. The amphitheater was named in honor of a remarkable Central Oregonian, Les Schwab.

The amphitheater canaccommodate approximately 8,000 patrons for concerts and other events in a casual outdoor setting. All summer long it will host some of the biggest names in entertainment plus free concerts by local and national performers every Sunday.

BB King just finished a concert here. Brooks and Dunn will perform on Wednesday, August 6th. Cheryl Crow will be here on Thursday, August 28th. There are many other great artists who will be performing through August. Music is one of the many reasons people live in Bend. You can see the schedule of performers here.


Editor’s Note:
Jim Johnson is the Principal Broker of Century 21 Gold Country Realty. He has lived in Bend, Oregon since 1981 and is familiar with its finest properties. In case you’re familiar with the Western United States and you’re curious, yes the Les Schwab mentioned in the first paragraph is that Les Schwab. We welcome wonderful blog entries like this in the LuxuryRealEstate.com Blog. Share the positive points of your communities so potential buyers can see different sides of cities they might miss otherwise.