The Portland Real Estate Store is designed to help buyers search for real estate in a natural and comprehensive manner. Our office is located at 4507 NE Fremont St., Portland OR 97213, and we are open daily to assist buyers and sellers of real estate.  Our specialty is close in NE Portland.  However, we also sell quite a few Portland Condos.

We strive to provide neighborhood information and market news for the Portland Real Estate Market.

Recently I have been hearing reports that the recession is coming to an end, and I have also heard predictions that the housing market is expected to recover in 2010.  Even though these predictions may be true, I have some concerns. 

I have seen severe weakness in a few market segments in the Portland Metro Area.  For example low end houses, and homes on the outskirts of town and in the suburbs have seen dramatic losses in value.  Condos and townhouses have been beaten up as well.  Luxury properties that require “Jumbo” loans have been whacked too. 

There are a lot of foreclosures, short sales and bank owned properties in the above mentioned areas, and prices have been spiraling downward.  A prudent buyer can negotiate an excellent price in these distressed areas right now, but some downside risk remains. 

On the upside, I have seen strength in the close in neighborhoods.  The trend of buyers wanting to live within a few miles of downtown is still very strong.  These neighborhoods have been through a little pull back in pricing, but they are still doing pretty well. 

Here are some facts that were published today (Oct. 15, 2009) in the RMLS publication Market Action: 

1. Number of closed sales increase 9.8% compared to September 2008
2. Inventory dropped from 7.8 months in August to 7.6 months in September (inventory was 19.2 months in January of 2009)
3. The median sale price for the Portland Metro area dropped 9.6% over the past year to $241,400

These are all positive signs. Increasing sales velocity helps eat up additional inventory.  Lower inventory means that buyers have fewer houses to choose from, and lower prices combined with favorable interest rates means that houses are more affordable. 

If you have any specific question about the Real Estate Market in the Portland Metro Area, feel free to contact me at 503-810-2219. 

Thank you, 

Brian Porter, Broker, JMA Properties

Portland Real Estate Report for September 15, 2009.  Statistical information is taken from the publication RMLS Market Action (Aug. 2009):

One of the most important number that Realtors look at to determine the state of the market is the so called "inventory" number.  This number is the calculated by taking the active number of listings in the area and then dividing by the number of closed sales for the month.  The current inventory of homes in the Portland Metro Area is currently at 7.8 months.  This number has increased from 7.3 months in July, but it is way down from its January high of 19.2 months.  7.8 months of inventory is considered by most to be a buyer's market, but this is the second lowest inventory level that we have seen since September of 2007.  In other words the market is showing signs of recovery, but until we see inventory levels in the 4 to 5 month range, buyers will still have quite a bit of power.

Closed sales dropped 7.4% compared to July, but this is not unusual.  August is vacation time, and sales activity frequently dips this time of the year.

The average sale price of a home in August 2009 was 296,300 compared to 331,300 in August of 2008.  That is an 11.8% decline.

The median price of a home in Portland in August 2009 was $249,900 compared to $280,000 in August of 2008.  That is a 12% decline.

Lower home prices combined with favorable interest rates close to 5% make this a very attractive time to buy a home... if you can get a loan.

For more detailed information or a free personal consultation, feel free to call me (Brian Porter) at 503-810-2219.

Portland Metro Area Market Report (Aug. 15, 2009) Source of information is RMLS.

Closed sales in the Portland metro area for July 2009 eclipsed last July’s total by 8.6%, marking the first time samemonth closed sales have increased since April 2007. Pending sales also grew 8.3%. New listings dropped 25.4%. Comparing July 2009 with June 2009, closed sales increased 11.9%(1,988 v. 1,776) and pending sales were up a slight 0.3% (2,170 v. 2,164). New listings fell 8.2% (3,907 v. 4,257).

Inventory was down to 7.3 months, dropping for the sixth consecutive month, down from 10 months last July.

Inventory is falling at a time where it has historically risen. Along with an upswing in closed sales, the drop can be attributed to the fact that the number of homes on the market (14,503 in July) has seen little fluctuation in 2009.

Year-to-Date
Comparing January-July 2009 with the same period in 2008, closed sales are down 18.7% and pending sales decreased 10%. New listings dropped 23.4%.

Sale Prices
The average sale price for July 2009 was down 15.2% compared to July 2008, while the median sale
price declined 13.3%. See residential highlights table below. Month-to-month, the average and median sale price were mixed when compared with June levels; the average sale price was down 3.7%($288,600 v. $299,800) and the median sale price was up 0.04% ($250,000 v. $249,900).


Percent Change of 12-Month Sale Price Compared With The Previous 12 Months Average Sale Price % Change: -11% ($303,700 v. $341,100)

Median Sale Price % Change: -9.1% ($259,000 v. $285,000)