Q3 2019 Housing Market Update
We’ve seen a slow return to a normal housing market here in Portland, and it’s caused many to feel some relief. That said, we still saw a brisk spring and summer selling season in the area.
Now that we’re making our way into the cooler fall months, more inventory is coming onto the market, and it’s really a very good time to buy. People who haven’t wanted to buy for the past couple of years during our crazy market are starting to take the plunge.
The median sold price for homes in Portland was $415,000 during the second quarter of the year, which is exactly what the median sold price was during the second quarter of this year. We’re still seeing modest home price increases compared to this time last year, however.
At least for now, skyrocketing price increases for homes in Portland have subsided. That certainly makes it an easier time to be a buyer here. In fact, buying is far easier than it’s been in many months.
Days on Market
We definitely have more homes on the market, and there’s no doubt that they’re sitting for a bit longer. Currently, homes are on the market for a median of around 16 days. Bidding wars are largely a thing of the past, and buyers aren’t feeling as rushed to make offers on homes that have just come on the market.
Buyers are also able to be a little pickier about what they want in a home than they have been. They’re taking their time to look for their needs and wants. They also have higher expectations when it comes to home condition and are more able to ask sellers for concessions now.
But if you’re thinking of selling a home in Portland, don’t worry! It is still a good time to be a seller. Many homes, especially the ones that are on the lower end of the price spectrum, still go fairly quickly due to the price increases we’ve had in the past few years. And home inventory is still on the low end—all the numbers point to it still being a market that’s in favor of sellers.
There were 8,481 homes sold during the second quarter of this year, which is really consistent with the numbers we saw during the second quarter of this year and during the third quarter of last year.
Interestingly, that’s despite more home inventory coming onto the market. There isn’t a rush of buyers to snap up all of those homes.
Many experts predicted much higher interest rates in 2019 than we have right now. Some really nice, and unexpected, rate drops are giving people more purchasing power. Rates are as low as they were in 2016, with the average rate hovering in the mid 3’s for a 30-year, fixed-rate mortgage.
These incredibly good rates are helping people when it comes to affording their monthly mortgage payments, despite high home prices. But no one knows exactly how much longer these great interest rates will be around. In fact, this last drop was pretty unexpected. It may be smart to buy know before they increase.
Ready to Buy or Sell?
Buying or selling in a market like ours comes with plenty of good and bad for both buyers and sellers. If you’re wanting to buy or sell in the near future, give me a call! I’ll be happy to sit down with you and help you come up with a game plan for our new normal here in Portland.