The truth about the market
At the end of the first quarter, two factors led to the current market landscape. The first is higher interest rates than buyers had become accustomed to. As expected this change has priced some buyers out of the market. An increase in the number of homes for sale followed. In mid-July, inventory stands at 2.1 months for the Portland metro area. At the end of June it was 1.3 months.
While some are priced out due to interest rates, they tend to be those who are less qualified and less motivated. This leaves buyers who are highly qualified and highly motivated. While higher, those inventory numbers are still quite low, indicating a resilient seller's market so far.
Another helpful statistic is homes over $1 million in the metro area are currently selling for an average of 104% above original list price while lower price ranges average 102% of original list price. Remarkable strength in the higher ranges.
We don't know what the future holds but we can act on what we know. Currently the market is good for most sellers with increasing opportunities for buyers. As change occurs, it's especially important for sellers to have a good strategy due to a somewhat softer market.
Principal Managing Broker
Licensed in the State of Oregon
4200 MERCANTILE DRIVE, #700
LAKE OSWEGO, OR 97035