Portland Market Update: Q2, 2020
Let’s look at the housing market numbers for Portland during the second quarter of this year! Plenty of people were curious about what would happen in the real estate world with the COVID-19 pandemic being in full force from April to June. The stats tell quite a story.
The truth is that demand for homes in the Portland area is still very high, despite the pandemic. The market may have been a little quieter for two or three weeks, but people are definitely still out buying homes here in Portland. Residential real estate is competitive, especially for entry-level homes. That demand doesn’t seem to have eased much at all.
Median Price Sales Price
The median sold price for Portland homes was $430,000 during the second quarter. This is great news for homeowners who are continuing to see their homes appreciate nicely.
In 2019, the median sales price was $415,000 for the second quarter, and in 2018, $410,000 during the second quarter. Despite the rate of price increases slowing over what it was a couple of years ago, that’s still $20,000 in equity in just two years.
Also, the median sold price during the first quarter of this year was just $415,000, so you can see that the pandemic hasn’t dropped home prices a bit.
Number of Homes Sold
Homes sales were decidedly down during the second quarter. This is because the pandemic affected inventory and showings, so there have been fewer sales. 6,896 homes were sold this quarter, compared to 8,555 during the second quarter of last year and 8,744 the year before that.
Oregon has astronomical housing shortage (the largest in the nation, in fact), and sellers continue to benefit from that when they list their homes for sale. This shortage of inventory is partly why home prices have continued to rise. The market is definitely still in favor of sellers here in Portland.
Median Days on the Market
Portland homes took a median 11 days to sell during this past quarter, down from 13 days last year and up only 2 days from 2018. Homes are still selling lightning fast in Portland. If you find the home you want, you’ll need to be ready to jump on it. Many entry-level homes are still attracting multiple offers just because there are so few to choose from.
It wouldn’t be a market update without a word about interest rates. Rates are still sitting at historic lows—the lowest rates ever recorded in recent weeks. Rates are expected to stay low for the foreseeable future—according to a recent forecast, throughout the rest of the year and possibly even into 2021.
This means that if you’re thinking of buying a home in the near future, you have more purchasing power because the cost of borrowing money is lower. Also, if you haven’t talked to your lender about refinancing, it’s time to ask if it’s worth doing!
If you’re needing any help buying or selling in this crazy market, give me a call! I’m here to make it happen for you.