Portland, Oregon, is a beautiful city with diverse neighborhoods, each offering something unique. However, not all neighborhoods are created equal when it comes to real estate appreciation. In this blog post, we’ll explore the most and least appreciated areas in Portland in 2023, and offer some educational and humorous commentary along the way.
Most Appreciated
Let’s start with the most appreciated areas. According to market action numbers, the top three neighborhoods in Portland with the highest year-over-year appreciation are Beaverton and Aloha on theWest Side (8.2%), Hillsboro/Forest Grove (8.9%), and Northwest Washington County (9.7%). It’s no surprise that Northwest Washington County, including Oak Hill’s and Bethany, is at the top of the list. It’s one of the most highly desired areas in the country and continues to attract people for a plethora of reasons. When a property goes up for sale or a buyer wants to purchase a home in Bethany, things move quickly, and prices go up even faster.
However, a healthy appreciation year over year should be around 4%. So these numbers are way above average, and some might even say a little crazy. We need to balance things out a bit and move away from double-digit appreciation.
Least Appreciated
On the other hand, the lowest appreciated areas are Northeast Portland (3.6%), Southeast Portland, and Lake Oswego (both at 2.5%). North Portland takes the prize for the lowest appreciation rate with just 0.3%. It’s interesting to note that despite the low appreciation rate, North Portland still sees multiple offers on single-family homes. This could be due to low dollar condos on the Hayden Island side, which brings down the average price.
Unworldly Appreciation
We can’t forget about Mount Hood, which is technically part of the metro area, and the winner for the most appreciated area with a whopping 18.9% appreciation rate year over year. People are buying vacation homes in this ski resort town, which offers a beautiful getaway not far from the city.
While it’s fun to compare the appreciation rates in different neighborhoods and speculate on why certain areas are more or less desirable. It’s important to remember that all neighborhoods have their own unique charm and appeal. And ultimately, it’s up to individual preferences and circumstances to determine where to buy a home.
In conclusion, while some neighborhoods may have higher or lower appreciation rates, all of Portland’s neighborhoods are beautiful and offer something unique. Whether it’s the vibrant culture, beautiful nature, or thriving businesses, Portland has something for everyone.
Click below to watch our Full Market Update Video and see Angela and Michele break it all down for you!