MSNBC Business has reported that Home sales surged for the second month in a row in October, climbing to the highest level in 2 1/2 years as first-time buyers rushed to take advantage of the tax credit which was scheduled to expire on November 30, 2009. The tax credit has since been extended to April 30, 2010 with 60 days additional to close.
Home sales nationwide are now up nearly 36 percent from their bottom in January, though they are still 16 percent below the peak in autumn 2005. At the current sales pace, there is only a 7-month supply of homes on the market and in some areas there are bidding wars.
In Portland OR, there is a 6.5 month supply as of October 31, 2009 (in January 2009 we had a 19.2 month supply)signaling the end of the Buyers Market and the return of a ‘Balanced Market’. Here are some numbers. On January 1, 2007, the Average Sales Price in Portland Metro was $342,900. this was the peak of the market. On January 1, 2008 the Average Sales Price in Portland Metro was down to $330,300. On January 1, 2009 the Average Sales Price in Portland was down to $297,200. On October 31, 2009 the Average Sales Price in Portland stands at $292,000.
In layman’s terms the average home in Portland lost $12,600. in 2007, an additional $33,100 in 2008 (for a total of $46,700) and an additional $5,200. from January 1, 2009 through October 31, 2009. Clearly, 2008 was by far the worst year for real estate values. From its peak, Portland Real Estate values have lost 15.1% from 1/1/2007 to 10/31/2009, well below the national average.
1 response so far ↓
1 Oregon Luxury Real Estate // Dec 22, 2009 at 4:20 pm
This is spot on! The buyers market in Portland is certainly over – in fact, the only homes on the market are ones that have been on the market for many months. Anything of value gets snapped up within a few weeks of being listed. If you’re a buyer, you cant wait around to make an offer.
Leave a Comment