Portland Prices Down, but there are opportunities

040323 FBLI Blog Cover
The real estate market in Portland, Oregon is experiencing a unique opportunity for both home buyers and sellers.

According to the RMLS, Portland’s median home price has decreased by 3.7% from $519,000 to $500,000, and home sales spiked 14.5% in February. This might seem alarming at first, but the decrease in median price isn’t as significant as it sounds. Nationally, home prices have only dropped by 0.2%, which is hardly significant. Additionally, there are still areas where home prices are increasing, meaning that it is still very much a seller’s market.

Affordability

One possible reason for the decrease in median price is an affordability push due to rising interest rates, which has created more activity in the lower price points. However, there are still plenty of buyers shopping in these price ranges. Sellers are still getting close to their asking price, with about 98.7% of their asking price being received. This indicates that there hasn’t been a significant change in the market for sellers.

Inventory

To protect the market from further drops in price, inventory is the key. However, Portland Metro has a significant inventory issue. New listings on the market are supposed to go up during this time of year, but in February, they actually decreased. This lack of inventory might be what’s causing the decrease in median price.

Still a sellers market

Despite this, there is still an opportunity for both buyers and sellers. Buyers are getting more for their money, and the spike in home sales indicates that there is a demand for housing. As for sellers, they are still receiving close to their asking price, indicating that it is still very much a seller’s market. The decrease in median price might be short-lived, as prices could balance back out this spring.

In conclusion, while the decrease in median price might seem alarming, it isn’t as significant as it sounds. The Portland Metro market is still very much a seller’s market, and there is an opportunity for both buyers and sellers. Buyers are getting more for their money, and sellers are still receiving close to their asking price. Inventory is the key to protecting the market from further drops in price. Overall, the market in Portland is experiencing a unique opportunity that shouldn’t be missed.

See the referenced article: https://www.cnbc.com/2023/03/21/february-home-sales-spike.html

Heat Map Index for pricing

Join Johnny and Angela as they break this all down for you in this weeks Market Update Video: