A much needed market update!

Despite what your friends and neighbors might be telling you about Portland's active real estate market, it really is slowing down a bit.  Slowing down a bit means, the rate that prices increase is slowing, market time is getting a tad longer, there are slightly fewer sales, and slightly more houses on the market.

Here are a few numbers to help tell the story.  The year to date, median sale price in the Portland metro area is $379,900.  That is up 8.5% from September 2017, and up 10.1% year to date from last year at the same time.  Closed sales are down 3.2% year to date, from the same time last year.  Our market time, year to date this year, is 43 days.  Year to date last year was 41 days.    And inventory, (active residential listings at the end of the month divided by the number of closed sale for that month) is at 2.3 months.  Up from 2.0 months in August, and up from 2.0 months in September of last year.  Right now, prices aren't falling.  The rate of increase is declining.

The other part of the story can be seen in the price reductions on current listings.  From October 1 to October 17, 2017, in the 97202, 97206, 97214 and 97215 zip codes, there were 116 residential properties (detached and attached) that had price reductions.  Does that mean prices are falling?  Not necessarily.  Many sellers have been pricing, shall we say, "aspirationally", and not in relation to the sales data in their neighborhood. 

Anecdotally, we are still seeing a very active market in the more affordable price ranges; under $350,000.  Good houses in this price range are seeing multiple offers, and offers over list price.  In the higher price ranges, buyers have gained a bit of power in the market place.  As we near the holidays, sellers may be more willing to take lower offers, pay some of the buyers closing costs, or take on more issues that come up on an inspection. 

These numbers don't look like a crash, nor a bursting bubble.  They do feel a bit like a reality check; a reminder that buyers won't just pay ANY price. 

Sellers, if you are needing to get your home sold before the end of the year, now is the time to lower that price and get your property noticed by buyers in the market place.  Buyers, if you got tired of losing out in the busy spring, you just might find a decent house to purchase at a reasonable price.

Get in touch of you have questions about your specific property, neighborhood or situation.  leslievjones@gmail.com   503-312-8038.

The RMLS report.