By The Dream Digs Team, June 27, 2018
Portland’s real estate market has been known to escalate into red-hot periods of competition for buyers. With homes earning upwards of 15 offers during peak times, many prospective homeowners have been eager for a market slowdown. With fewer homes on the market, can we expect another sizzling stretch, or will Portland finally experience a cooling period?
UNDERSTANDING A SELLER’S MARKET
In a market where demand is larger than supply, sellers ultimately yield more power in real estate transactions. In these markets, buyers end up spending more for the homes they want, and multiple offers can drive home prices on a regional scale.
UNDERSTANDING A BUYER’S MARKET
When the coin is flipped, an over-supply of listed homes reduces the scope of competing offers, granting more control to the buyer-side of the real estate market. Sellers may have to take on restorative or staging measures to entice buyers, and buyers have the power to underbid on properties.
IS PORTLAND A BUYER’S OR SELLER’S MARKET?
In May 2018, Portland homes sold in an average of 37 days from listing to close, indicating a high degree of demand for properties in Portland. Average home prices also reflect this level of demand, as median home prices have increased 5.4% over the previous year. These metrics would suggest that the scales favor sellers; however, price growth has also slowed city-wide.
Rising mortgage rates may also be a contributing factor to a cooling market, but buyer’s don’t have the upper hand just yet. First-time home buyers are particularly sensitive to current marketplace trends, considering homes priced under $400,000 are significantly more competitive than more expensive properties.
PRO TIP: HOW TO NAVIGATE THESE MARKETS
More than any other factor, a lack of inventory seems to be the biggest influencer in determining a buyer’s or seller’s market. Oregon Live defines a balanced market as one where home inventory turnover spans approximately six-months. With only enough real estate supply to span two-months, Portland falls far below that benchmark – a dynamic that will continue to drive home prices upward in Portland.
Given the drop in the market, both sellers and prospective buyers will need to be intentional in their realty strategy. Sellers should be aware of being aggressive in marketing their homes, as pricing their homes too high many backfire in a slowed market. Buyers should monitor inventory, starting their search during periods of higher home supply to reduce the likelihood of bidding wars. This is especially prevalent in fast-growing cities such as Portland. A buyer’s or seller’s market can have major ramifications on housing transactions, so it’s important to have a thorough understanding of market trends. For more insight into the Portland realty market, contact your local real estate mavens, Aryne + Dulcinea!
About Us:
Over the course of their professional partnership, Aryne + Dulcinea have helped over 200 clients prosper in their new lives. During this time, they have prided themselves in their top-notch selling abilities, with homes outperforming market standards, consistently exceeding list price while most of their listings sell in under 7 days. Whether you’re looking to buy or sell, Aryne & Dulcinea will work in collaboration to guide you in investing in your future and reaching your real estate goals.
THE DREAM DIGS TEAM
Aryne + Dulcinea, Earth Advantage Principal Broker | Earth Advantage Broker | ADU Specialists | OR
The Dream Digs Team are full-service, high-producing agents, who know how to navigate the unique challenges facing the Portland real estate market. The secret to their success lies in their professionalism and complementary skill sets. In 2012, Aryne + Dulcinea seized the opportunity to combine their creative and technical acumen to create a values-driven, client-driven team unlike any other. We are expert negotiators and project managers with a strong background in creative marketing. The Dream Digs Team are fierce advocates for our clients.
Our passion for real estate is connected to our commitment to the Portland way of life - a dedication to sustainability and appreciation for all things local. As Earth Advantage Brokers and ADU Certified Specialists, our team is savvy in all aspects of alternative living practices from versatile housing additions, green building practices, and revenue-generating strategies. Whether you’re looking to buy or sell, The Dream Digs Team will work in collaboration to guide you in investing in your future and reaching your real estate goals.
Dedicated to serving buyers and sellers with expertise, enthusiasm, and attention to detail, Aryne adeptly navigates the Portland real estate market. Licensed since 2005, she honors our clients' wants and needs using her sharp negotiating skills and professional know-how to achieve the best results for everyone she serves. Aryne loves the Pacific Northwest! Outside of work, she enjoys hanging out with her husband, listening to music, going on road trips, and talking about everything under the sun. She looks forward to visiting her grown-up kids at college and watching them succeed in all their endeavors. She loves yoga, hiking, dinner parties, podcasts, and embracing all that Portland offers.
Dulcinea thrives on working with clients with a range of real estate goals. Born and raised in Oregon, Dulcinea comes to real estate with a background in design and education. She is an award-winning professional and a steadfast advocate when working for our clients. She has a keen eye for preparing properties for listing and finding properties that best serve our buyers' objectives. Licensed since 2013, Dulcinea works in and around Portland. She is the mother of two and wife to her high school sweetie. In her free time, she stays busy with her family, traveling, creating community, cooking, gardening, making art, exploring, and dreaming big!
Click here to get to know Aryne + Dulcinea!- T: 503-380-5124
- aryne@livingroomre.com
