Real Estate Information Archive

This article in the New York Times recently talks mostly about the boom in Denver (a city with similar price increases and inventory woes as Portland)  But I can tell you as a Realtor for almost 30 years now in Portland while we have always been known as "pot friendly" and I have always had 3-5 people a year asking me about grow operations this last 12 months or so its coming up all the time!  Oregon has some specific laws on what you can do personally (grow up to four plants) but we have had several real estate sales recently for buyers in the cannabis industry.  You can see the article here...

March Residential Highlights The Portland metro area hada sunny month for new listings this March. At 3,604, new listings outpaced March 2016 (3,409) by 5.7% and February 2017 (2,521) by 43.0%. This was the strongest March for new listings in the area since 2010, when 4,987 were offered for the month.  Pending sales (3,043) warmed 28.5% over last month in February 2017 (2,369) but fell 1.1% short of the 3,076 offers accepted during this month last year in March 2016.  Closed sales, at 2,494, similarly outpaced February 2017 (1,669) by 49.4% but still ended 2.8% cooler than in March 2016 when 2,565 closings were recorded for the month. Total market time decreased by four days this March, ending at 58 days.

Inventory decreased as well, ending at 1.3 months. There were 3,313 active residential listings in the Portland metro area this March.  Average and Median Sale Prices Comparing the average price of homes sold in the twelve months ending March 31st of this year ($404,300) with the average price of homes in the twelve months ending March 2016 ($361,100) shows an increase of 12.0%.  In the same comparison, the median has increased 12.2% from $315,000 to $353,500.

This months chart shows the inventory of available homes in the Portland Metro area dating back to January of 2015. A "balanced" market as defined by HUD and the National Assn Realtors is 5.5-6 months of inventory, and as you can see we are far short of that with only 1.3 months of supply right now.  If you have been considering selling your home, now might be the time to do so.

This months featured home is an amazing estate on the Willamette river in West Linn.  This 4,436 square foot custom built home sits overlooking the river with a huge great room with Brazilian cherry floors, and an incredible gourmet kitchen with a massive island and American cherry cabinets and much more.   There is a formal dining room plus a small master and office on the main floor.  Upper level has the spacious master suite, plus two additional bedrooms and a bonus room too. All bedrooms have their own balconies. This home also sits above a five plus car garage, with a pull through door leading to a boat ramp the river, and has a dock too!  Check it out at http://www.roblevy.com/Property/4993-MAPLETON-DR-West-Linn-17380137

This article in the Oregonian last week talks about even though the Portland area has grown, we have recently been leapfrogged by both San Antonio, Texas and Orlando, Florida in population.  The Portland metro area's population now is over 2.4 million, up 1.7% from last year.  You can read the article here, which has information on other area cities and within the arcticle there is a fascinating link to the US Census bureau statistics which rate fastest growing areas all around the USA.  Its interesting reading!

This article in the New York Times recently talks mostly about the boom in Denver (a city with similar price increases and inventory woes as Portland)  But I can tell you as a Realtor for almost 30 years now in Portland while we have always been known as "pot friendly" and I have always had 3-5 people a year asking me about grow operations this last 12 months or so its coming up all the time!  Oregon has some specific laws on what you can do personally (grow up to four plants) but we have had several real estate sales recently for buyers in the cannabis industry.  You can see the article here...

March Residential Highlights The Portland metro area hada sunny month for new listings this March. At 3,604, new listings outpaced March 2016 (3,409) by 5.7% and February 2017 (2,521) by 43.0%. This was the strongest March for new listings in the area since 2010, when 4,987 were offered for the month.  Pending sales (3,043) warmed 28.5% over last month in February 2017 (2,369) but fell 1.1% short of the 3,076 offers accepted during this month last year in March 2016.  Closed sales, at 2,494, similarly outpaced February 2017 (1,669) by 49.4% but still ended 2.8% cooler than in March 2016 when 2,565 closings were recorded for the month. Total market time decreased by four days this March, ending at 58 days.

Inventory decreased as well, ending at 1.3 months. There were 3,313 active residential listings in the Portland metro area this March.  Average and Median Sale Prices Comparing the average price of homes sold in the twelve months ending March 31st of this year ($404,300) with the average price of homes in the twelve months ending March 2016 ($361,100) shows an increase of 12.0%.  In the same comparison, the median has increased 12.2% from $315,000 to $353,500.

This months chart shows the inventory of available homes in the Portland Metro area dating back to January of 2015. A "balanced" market as defined by HUD and the National Assn Realtors is 5.5-6 months of inventory, and as you can see we are far short of that with only 1.3 months of supply right now.  If you have been considering selling your home, now might be the time to do so.

This months featured home is an amazing estate on the Willamette river in West Linn.  This 4,436 square foot custom built home sits overlooking the river with a huge great room with Brazilian cherry floors, and an incredible gourmet kitchen with a massive island and American cherry cabinets and much more.   There is a formal dining room plus a small master and office on the main floor.  Upper level has the spacious master suite, plus two additional bedrooms and a bonus room too. All bedrooms have their own balconies. This home also sits above a five plus car garage, with a pull through door leading to a boat ramp the river, and has a dock too!  Check it out at http://www.roblevy.com/Property/4993-MAPLETON-DR-West-Linn-17380137

This article from the Portland Business Journal talks about our hottest neigbhorhood, and in particular how 11 Portland metro neighborhood's average sales prices now are over $500,000 which is up from only five last year.  Interestingly, of the 25 most expensive neighborhoods in the area, 14 of those fall into the city limits of Portland.  And talk about expensive homes getting more expensive, 97034 a zip code in Lake Oswego rose 28.4% over the first quarter of 2015 to $833,454.  You can see the entire article here.

The population living in their own homes has decreased in Oregon, while the rental market grew, just as in the rest of the country. The cycle began with home prices rising to the point of forcing people out of the market. Financing became increasingly harder to obtain. Foreclosures pushed previous owners into rental homes. An unstable economy did not produce enough jobs with high enough wages for people to be able to buy homes. Frustrated home sellers often put their homes into the rental market, increasing the number of properties available for rent. Many potential buyers have been unwilling to do so until the economy and their job security stabilize.

The dramatic increase in need for rental properties brought the overall rental share more in line with the numbers of the 1990s. At that time, the rental share was about 32 - 36 percent of the total housing market. At the peak of the housing boom, that percentage dropped by two points, equating to from 100-200,000 Oregon residents owning homes than in the past.

The rental population spikes during difficult economic times due to job loss and lower income. As the economy improves and more of the work force is back on the job, the overall number of families moving into their own homes increases. Also, as the baby boomers retire and the younger generation reaches working age, more families will look towards home ownership and the demand for homes will increase. The future of the housing market continues to grow brighter as the economy gradually recovers. The journey may be a slow one, but the destination is gradually getting closer.

According to CoreLogic, the California-based provider of property analytics, the total number of homes in the U.S. that are in the foreclosure process dropped from 1.2 million in January 2013 to 794,000 in January 2014, representing a 33.8 percent decrease in total distressed properties. The national foreclosure rate fell from 2.9 percent to 2.0.

The rate of foreclosures in Portland is down from 2.6 percent to 2.0 percent in that same period. Additionally, 3.9 percent of homes in metropolitan Portland are seriously delinquent and in danger of falling into foreclosure. Statewide, the foreclosure rate dropped from 2.9 percent a year ago to 2.4 percent currently. In Oregon, 4.3 percent of all mortgages are delinquent with 3.89 percent more than 90 days past due. That number was 5.17 percent last year.

Changes to the foreclosure process in August 2013, which expanded access to a foreclosure mediation process, likely influenced the 2,292 foreclosures that have taken place in Oregon during the past 12 months.

The numbers tell us that the nation is in a slow recovery, but that it is moving forward. Oregon is in slightly better shape than the rest of the nation and Portland’s numbers are slightly more favorable than the rest of the state. Mark Fleming, the chief economist at CoreLogic, states that we are recovering but are not “there yet”. He opines that the ratio of completed foreclosures to the mortgaged homes in the process is still too high, even though it is still declining.

In any event, clearly the forecast for Portland is slightly brighter than in the rest of the United States. This is likely in part to a slightly better than average unemployment rate. That remains at 6.4 percent compared to the national 6.7 percent. The city gained an estimated 5,600 jobs in March. That is double the monthly average for last year.

America has long been a very mobile nation, with many people living in more than one state during their lifetime. According to Money Magazine, the top destination in 2013 was Oregon. Based on an annual study conducted by United Van Lines, 61 percent of Oregon’s interstate moves were incoming. South Carolina came in at 60 percent, North Carolina at 58 percent and Nevada at 56 percent. These figures tie closely to the annual report from CNNMoney of the Best Places to Live. Sherwood, Oregon ranks number five. Portland State University conducted a study that indicated that Oregon experienced the largest migration growth in the last five years with an increase of 35,290 in 2013.

The most commonly cited reasons for moving to Oregon are business incentives, industrial growth and lower cost of living. Many young professionals are attracted to the lifestyle in Oregon, such as the beautiful natural surroundings, efficient public transportation systems and local arts and entertainment. Add the fact that housing costs are significantly lower than in California and you can easily understand the lure of the Pacific Northwest. A home in Portland cost roughly 40 percent less than a comparable home in Los Angeles, and almost two-thirds less than a home in San Francisco.

Another report from the national Bureau of Labor Statistics states that in 2013, Oregon posted a 2.4 percent increase in jobs. This is the third-highest growth in the country for last year.

If you are one of the many people who have migrated to Oregon from another state in the last few years, you may be ready to make the commitment to buy a home. Certainly, the availability of homes has decreased due to population growth, but it is still a viable marketplace. If you are ready to look, contact a licensed real estate agent to help you with the process.