Competitive Offer Market
We’ve been hearing the “buzz” over the shifting local real estate market these past couple months. Here are some significant factors and data that may help explain just what is happening:
Mortgage Rates near 45 year lows
Increasing sales figures
Steady reduction in residential housing inventory becoming an “inventory crisis” in some
Banks reluctant to sell foreclosed homes
Stabilization of declining values in most urban submarkets and some suburban submarkets.
Increasing values now being noted in some areas & submarkets.
Foreclosure Inventory & Short Sales
Shadow inventory is currently greatest in Beaverton, Gresham, Oregon City, Hillsboro and
Almost no shadow inventory exists in NE, Inner SE and Inner NW/SW neighborhoods,
except for a small percentage in the NW Condo Market Area.
Short Sales are commonly experiencing multiple offers although banks are sin some cases
reluctant to agree to sell for various reasons.
First Quarter foreclosure filings in the Portland area fell 28% compared to the same quarter a year
earlier, the largest decline recorded in 50 metro areas (Realty Trac).
Shadow inventory “clouds” may develop in coming months as OREGON has a 19-month supply of
bank-owned homes at their current rate of sale, while the national average is 16 months.
This condition is not expected to greatly impact inner Portland markets.
Portland Metro Trends- Comparing 1st Quarter 2012 vs. 1st Quarter 2011
Active listings down by 28%
Average Days on Market is down by 20%
Closed sales are up 12%
Average Sales Price has increased 1.43%
Median Sales Price has decreased 4.62%: No. Portland +4.38%, NW Wash. County + 4.10%,
Milwaukie/Happy Valley -9.02%, Mt. Hood area -19.38%
Let me know if you would like more specific information for your immediate neighborhood or would like a market snapshot of a neighborhood of interest.