PORTLAND REAL ESTATE MARKET - AUGUST 2024

The Portland Metro real estate market is showing some shifts, but overall, there are positive signs for both buyers and sellers.

Fewer Listings, Steady Demand, and Decreasing Interest Rates: In August 2024, we saw fewer new listings, down 8.7% from last year and 8.1% from July 2024. This means there are fewer homes on the market, which can be good for sellers as there is less competition. Pending sales stayed steady compared to August 2023, showing continued buyer interest. The data from August isn’t reflecting the drop in interest rates that began last month leading to an increase in mortgage applications over the last few weeks. Rates are over 1% lower this year than the same time last year causing a renewed spark in buyer demand that we expect to impact the coming months. A 1% decrease in rates equates to approximately a 10% decrease in a buyer’s monthly mortgage payment – a savings of over $600 per month on an average priced home.  Meanwhile, inventory increased to 3.0 months making it the highest inventory we’ve seen in over three years. This gives buyers more options and time to find the right home and negotiate on price and repairs, while still creating a balanced market. Homes are taking an average of 48 days to sell, which is just a slight increase.

Prices Are Still Climbing The good news for sellers is that home prices continue to rise. The average sale price increased by 1.9% from last year to $611,900, while the median price rose to $545,000. This trend shows that home values are still growing, making it a good time to sell. As buyer demand increases due to lower interest rates, this will likely drive prices up at an increased pace.

What This Means for You The Portland Metro market remains strong. Sellers can take advantage of rising prices, while buyers have more inventory to choose from and lower interest rates. Whether you’re buying or selling, now is a great time to explore your options.

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