Portland Oregon Real Estate Market Update - August 2022
First off the real estate market is shifting NOT crashing.
If you are a home buyer or especially if you are a home seller I want to make it clear from the beginning, that while we are seeing some uncertainty in the market it is nothing new and more so a sign of a normal and much-needed shift in the market than it is a sign of a crash.
When looking at the numbers, alone we did see a decrease in activity overall, which to some may seem alarming, but this is something we predicted based on higher interest rates, economic uncertainty and frankly, people historically being busy with summer plans this time of year.
For the numbers, we saw a decrease in new listings of 12% with 3,763 homes going on the market.
Pending sales decreased 4% with 2,445 homes going under contract.
And sold homes saw a large decrease of 18% with 2,369 homes going to new homeowners.
Despite the decrease in new homes to the market, we did finally see an increase in inventory of homes, due to activity on pending and sold homes also decreasing. We finally got back up to 2 months of inventory. Something we haven't seen since May of 2020 when we first started to see the effects of the pandemic on the real estate market.
And that is something really important to touch on, while these numbers can seem unnerving,, it's actually a good sign that we are returning to some normalcy in the market.
Which is good for everyone, home sellers included.
While we are seeing a dip in activity right now it's predicted that home buyers are going to get used to current interest rates and that sellers will get more focused and still see the opportunities in this market (its notable that home prices are still on the rise with the average home price increasing to $620,900) and will become more focused once we head into the fall.
Come September/October we should see a boost in activity while having the market feel more at ease.
What does this mean for home buyers? There are some good opportunities at the moment. Days on market just increased (to 20 days), so there are homes sitting on the market right now that even a month ago, would have been snatched up immediately. Meaning you have the opportunity to buy a home with greater negotiation powers and not having to offer up in price at a massive increase.
What does this mean for home sellers? While the real estate market has shifted it's still a great market for sellers. As mentioned home prices are still on the rise, and depending on the area and price point there is still great demand for homes. It just will most likely take a week or two for your home to get an offer, and we will want to discuss a more in-depth marketing and home prep plan to make sure your property shines.
This market is a bit wild right now, but to us, experienced realtors it's not new, and we have certainly seen similar markets and know how to adapt.
If you want to have a more in-depth conversation about your home selling or buying journey I am here for you. Contact us HERE.
