Portland real estate market conditions October 2009

Buyers take notice. It’s time to act. Prices are down, interest rates are down, and many analysts feel we are near or at the bottom of the market.

The good points:

Portland OR homes for sale inventory

• Prices in October still moved downward. This month’s figures show a lower average sold price (2.3% lower) than September’s figures. Yet the median price was up a bit over September. This may be signs of the market bottoming out.
• Most qualified buyers can obtain an interest rate under 5% today.
• First time home buyer tax credits have been extended to sales accepted before April 30,2010
• Owners of existing homes for 5 + years can also get a tax credit for buying a new home before April30, 2010

The reason to act soon:

• Interest rates may start going up again in the new year as the Fed cuts back its program to buy mortgages on the secondary market. This program has kept mortgage rates artificially low to stimulate the housing market.  Some analysts believe a reduction or cessation of this program could boost mortgage rates to the 5.5% to 6.5% range (compared to the 4.5% avg rate today).
• We can only tell where the bottom of the market is by looking over our shoulder. There is reason to believe home prices are leveling off.

Call me to learn the process to get you into that new home. 503.320.3163.

Back to the market information…

In the entire Portland Metro area:

The 12 month average appreciation rate is: -12.5%
This month’s Average Sales Price is: $283,000
This month’s Median Sales Price is: $245,000

The average days of market time is 135

Questions or comments about the market?

Email me Mailto:Anne@PortlandHomeSource.com