By Aryne + Dulcinea, 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.
Aryne + Dulcinea
Earth Advantage Principal Broker | Earth Advantage Broker | ADU Specialists | OR
She/Her
Aryne + Dulcinea are full-service, high-producing agents, who understand how to navigate the unique challenges facing the Portland real estate market. The secret to their success is in their professionalism and complementary skill sets. In 2012, Aryne + Dulcinea saw an opportunity to combine their creative and technical wisdom to create a values-driven, full-service agency unlike any other. Expert negotiators and project management mavens with a strong background in creative marketing, Aryne + Dulcinea serve as fierce advocates for their clients. Their passion for real estate relates closely to their commitment to the Portland way of life, which entails a dedication to sustainability and appreciation for all things local. As Earth Advantage Brokers and ADU Certified Specialists, Aryne + Dulcinea are 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, Aryne & Dulcinea will work in collaboration to guide you in investing in your future and reaching you real estate goals.
Aryne greets working with clients throughout Portland with open arms. Licensed since 2005, she appreciates the ever shifting desires her clients have as they move through their real estate goals. Investigative genius on her side, Aryne will strive to bring you the results you desire. When not working for you, Aryne is a constant cheerleader for her son and daughter’s pursuits on the basketball court and on the ballet stage! She practices yoga, hikes, loves to walk and explore Portland neighborhoods, reads, and delights in soaking up everything Portland has to offer!
Dulcinea thrives on working with clients with a range of real estate goals. Oregon born, with a design and an award-winning professional background, Dulcinea is steadfast when it comes to working for her clients and has a keen eye for properties that best serve client objectives. Licensed since 2013, Dulcinea works in and around Portland. A mother of two and wife to her high school sweetie—in her free time she stays busy with her family, travel, community activism, exploring the outdoors, curating art shows, and dreaming big!
Click here to get to know Aryne + Dulcinea!- T: 503-380-5124
- F: 503-961-8224
- aryne@livingroomre.com
