Scouting Report – Volume 6, Issue 11
It’s never a surprise when the real estate business slows down at the end of the calendar year. But, as we said goodbye to 2020, it felt as if the slowdown was dictated more by lack of inventory than lack of buyers. There were simply not enough houses to meet the demand, despite seeing a 37% increase in new listings compared to December of last year. We watched as inventory sank lower and lower, ending the year with the lowest ever on record, .8 Months. Read: if every available house sold and no new houses came on the market, there would be nothing left in less than a month. This shortage is reflected in time on market as well. Last year in December, houses spent an average of 64 days on the market, while in 2020 they were sold in 40 days on average. Not surprisingly, the supply/demand imbalance continues to drive competition and prices up. When compared with 2019, the average sales price is up 7.6% to $494,000. Based on rumblings around town, it feels as though the Spring market is going to get off to an early start. That said, the competition will most likely still remain high in the coming months. And we are here to help, whether you are ready to aggressively compete with other potential buyers or take advantage of the seller’s market.
Overall Portland Prices:
- Average sale price in the metro area for 2020 through December was $494,000 a 7.6% increase from this time last year.
- The median sale price increased by 7.3% to $440,000 in the same comparison.
- Rates have increased slightly to a still low 2.75% for a 30-year, fixed, conventional with excellent credit.