The Portland housing market is continuing to see a slight cooling-off period compared to years past, which is a welcome relief for many people. It’s still a tough time to buy, though, especially with housing prices continuing to increase. Here are some of the key things we’re seeing in today’s market.
First, Portland’s economy has recently started to shift. Both the economy and the population have boomed over the past nine years, but both are slowing down, according to this report from PSU.
As for the housing market, we’re seeing a slight (very slight) increase in inventory and an increase in closings. Unsurprisingly, home prices are still on the rise, but they’re not rising quite as quickly as they have been in the past.
In real estate, we measure the market’s strength by taking the current total number of listings and dividing that number by the current rate of sales. In April of 2018, Portland had 1.8 months of inventory available. In other words, at current sales rates, all homes on the market would be sold in 1.8 months. This is a very slight increase in inventory over April of 2017, though it’s down from the 2.2 months we saw earlier this year. For reference, a balanced market is considered 6 months of inventory.
Average Days on Market
After a slight increase in total time on the market last fall, homes are back to disappearing pretty quick. If you see something you’re interested in, especially if it’s an entry-level home, you’ll have to move fast. In April, the total time on the market was 42 days, down from 55 days in March of this year.
In North Portland, homes stayed on the market for an average of 40 days in April.
Average Sales Price
The median sales price in Portland in April was $405,000. The median sales price in April of last year was $385,000. It’s easy to see that prices are continuing to rise, though not quite at the pace they were before.
For North Portland, the median sales price this April was $409,000.
Speaking of price changes, curious about how prices have changed in Portland over the past few years? This heat map shows you exactly what’s changed for the entire city.
You can see that there have been increases for some parts of the city, but there have also been decreases in a few. By the way, these one- and five-year numbers are all down from last year.
Here’s a closer look at North Portland’s neighborhoods. The first number is the one-year median price change, and the second number is the five-year median price change.
Arbor Lodge (5%, 56%)
Bridgeton (5%, 29%)
East Columbia (-5%, 46%)
Hayden Island (1%, 27%)
Kenton (9%, 71%)
Overlook (-6%, 50%)
Piedmont (10%, 71%)
Portsmouth (9%, 49%)
St. Johns (11%, 73%)
University (9%, 54%)
What the Future Holds
If you need any help buying or selling a home, give us a call! We’d love to help you navigate Portland’s market.