Portland Oregon Real Estate Market Update - January 2023
What we discuss:
The numbers from December.
How mortgage applications doubled in the first two weeks of January and what this means for the market.
How the market has shifted dramatically in the last week.
The Spring Real Estate Market is here! Okay, I know it is only January, but in the real estate market, it feels like Spring is here.
We will get into the numbers from December quickly but wow has the market shifted in the last week or so. More on that below and in the video.
For the numbers:
If you have been following along with these updates and or the market in general, you won't be surprised to know that activity in the market decreased overall in December.
This is normal for the holidays and the fall/winter and was expected.
New listings decreased by 35% with 1,073 homes hitting the market.
Pending sales decreased by 19% with 1,206 homes going under contract.
Sold homes decreased by 9% with 1,464 homes going to new homeowners.
Inventory of homes also decreased to 2.3 from 2.6 months.
The average sales price ALSO saw a SLIGHT decrease from $613,300 to $610,900.
Now, on to what we are seeing in the market right now.
The market is heating up.
In the first two weeks of the year, we saw mortgage applications DOUBLE.
And out on the streets we are seeing things really heat up.
As I mention in the video we wrote an offer on a house two weeks ago that got 15 offers. FIFTEEN!
In my talks with other realtors locally and nationally, they are also seeing huge changes.
(Did I mention I have a network of amazing agents across North America that I discuss market trends with, it's a fantastic resource. I am also happy to connect you with one of them if you or someone you know is buying elsewhere).
My colleagues are also noticing more showings on listings, and they are seeing more at asking offers or multiple offers.
Additionally, we are all having conversations again with buyers and sellers who chose to wait out rates originally and we all are having more conversations with people who are freshly deciding to make a move.
Just the other day a colleague of mine at Living Room said she had a listing sitting on the market since October, over the weekend they got two offers.
What does this mean for you if you are a home buyer?
Well, lowering rates are a great asset towards your affordability but you will also want to keep in mind that with lowering rates comes more competition as buyers re-enter the market in droves.
This could lead to home prices rising again and may mean you will need to use more competitive terms when writing offers.
Though, with buyers re-entering the market it will motivate more potential sellers to list their homes, meaning more options for you.
What does this mean for sellers?
Buyers want to buy your home again!
There is new demand for homes with interest rates seeing some relief, meaning the potential for you to get more showings, and more competition from buyers, which could lead to a better sales price and better terms for you.
I have a condo listing that went live over the weekend and we had a flood of people through the open house and a lot of showing requests.
If you know the Portland condo market you will know that this is usually not the norm and shows that buyers really are motivated again.
Lastly, I will say it again, when you buy and sell will be highly determinant on your personal needs, and the price point/area/type of home you purchase or sell. If you want to talk one on one about your personal 2023 real estate plans I am here for you!
You can contact me HERE.
