All the real estate numbers from RMLS Portland Market Action Report May 2015, plus our analysis.
The RMLS Portland Market Action Report May 2015 is out, and the numbers are once again largely positive.
The real estate market in Portland Metro continued its upward climb in May. Nearly every indicator suggests this momentum won’t slow anytime soon. Let’s take a look at the highlights.
Closed Sales (2,942) rose again in May. A whopping 18.5% increase over May 2014 closed sales (2,483) and 7.6% increase over April 2015 closed sales (2,734). This is Portland Metro’s strongest May since 2006, when 3,054 closings posted.
Pending Sales (3,546) increased 18.6% over May 2014 pending sales (2,989). However, they decreased 1.9% compared to April 2015 (3,613) pending sales. This is Portland Metro’s strongest May since 2006, when 3,651 pending sales posted.
New Listings (4,161) decreased 0.7% compared to May 2014 new listings (3,949) and increased 5.4% over April 2015 new listings (3,949).
Inventory decreased in May to 1.7 months.
Total Market Time decreased in May to 55 days.
Active Residential Listings increased in May to 5,125.
Average Home Price of homes sold over the past 12 months ($342,300), compared to homes sold over the previous same 12-month period ($327,200), increased 4.6%.
Median Home Price of homes sold over the past 12 months $295,000), compared to homes sold over the previous same 12-month ($278,500), increased 5.6%.
The Portland real estate market is on the rise once again when we compare numbers across key indicators for each of our standard comparisons: April-to-April, April-to-March, and Year-to-Year.
Let’s take a look at each of our three comparisons in more detail.
May-to-May in a Nutshell
All indicators except New Listings are improved comparing May 2015 to May 2014.
May 2015 compared to May 2014
- New Listings: -0.7%
- Pending Sales: 18.6%
- Closed Sales: 18.5%
- Average Sale Price: 7.1%
- Median Sale Price: 7.9%
- Total Market Time: -18.6%
May-to-April in a Nutshell
All indicators except Pending Sales are improved comparing May 2015 to April 2015.
May 2015 compared to April 2015
- New Listings: 5.4%
- Pending Sales: -1.9%
- Closed Sales: 7.6%
- Average Sale Price: 3.3%
- Median Sale Price: 3.9%
- Total Market Time: -9.8%
Year-to-Year in a Nutshell
All indicators are once again significantly improved comparing year-to-date 2015 to year-to-date 2014.
Year-to-Date 2015 compared to Year-to-Date 2014
- New Listings: 9.5%
- Pending Sales: 25.3%
- Closed Sales: 19.4%
- Average Sale Price: 4.6%
- Median Sale Price: 5.9%
- Total Market Time: -17.2%
May Overall in a Nutshell
New Listings Are Down & Up
New Listings decreased -0.7% compared to May 2014 and increased 5.4% compared to April 2015.
Pending Sales Are Up & Down
Pending Sales increased 18.6% compared to May 2014 and decreased -1.9% compared to April 2015.
Closed Sales Are Up & Up (again)
Closed Sales increased 18.6% compared to May 2014 and 7.6% compared to April 2015.
Home Prices Are Up (again)
Average Sale Price increased 3.3% compared to May 2014 and 4.6% compared to April 2015.
Median Sale Price increased 7.9% compared to May 2014 and 3.9% compared to April 2015.
Total Market Time Is Down (again)
Total Market Time decreased to 59 days in May, compared to 61 days in April.
Total Inventory Is Down (again)
Inventory decreased slightly in May to 1.7 months, compared to 1.8 months in April. (Six months of inventory is considered a balanced market, with fewer months of inventory indicating a seller’s market.)
Active Listings Are Up (again)
There are currently 5,125 Active Residential Listings in the Portland Metro area, compared to 4,853 active listings in April.
May 2015 Real Estate Data for Portland
Here’s a closer look at the April 2015 RMLS Portland Metro Market Action Report data:
Best Bets for Buyers
Steady job growth combined with low but rising mortgage rates has created greater urgency to buy homes. The gains reflect a stronger economy but also the pressure to make a purchase before both prices and cost of borrowing put homes out of reach for many buyers.
Homes that are priced right are selling FAST, often with multiple, and sometimes even cash, offers. While New Listings continue to increase, Total Inventory and Total Market Time continue to decrease.
It’s a seller’s market. To get the home of your dreams, know what you want and be prepared to leap when you find the home that meets your criteria.
Tour the market, scour our Home Search pages (by neighborhood, style, address, map, price, listing number, new listing, or custom criteria), get preapproved for a loan, and prepare (along with your broker) to pounce when the home and the price are right.
To stay on top of new listings, set up a Market Alert, itemizing your home search criteria. You’ll be notified as soon as a new listing with your criteria hits the market.
Best Bets for Sellers
Even though it’s a seller’s market, Average Sale Price and Median Sale Price are rising moderately. And according to a recent analysis from Fitch Ratings, homes in the Portland market are already about 9 percent overvalued compared to levels Fitch considers sustainable.
Buyers are cautious, demand good value, and cross-shop homes rigorously to get the most for their money. In addition, appraisers are actively working to avoid another housing bubble. It’s the bank that sets the appraised value of your home.
Along with your listing broker, do the research and heed your competitive market analysis. Be realistic about your competition, and price your home to sell fast. Homes than languish on the market for over 60 days are often overlooked altogether.
Your best chance to sell your home for top dollar is in the first month it’s on the market. PERIOD.
If you price too high, brokers and buyers will move on to more realistic offerings. If you price just right, you may get multiple offers, even above your asking price.
Whether you are buying or selling, give us a call today at 971-804-4618. We know the Portland real estate market, we’re top-notch listeners, negotiators, problem solvers, and marketing pros–and we’re here for YOU.
More Portland Market Action Reports
- Portland Market Action Report April 2015
- Portland Market Action Report March 2015
- Portland Market Action Report February 2015
- Portland Market Action Report August 2014
- Portland Market Action Report July 2014
- Portland Market Snapshot June 2014
- Portland Market Snapshot April 2014
- Portland Market Snapshot Q1 2014
Tell Me More
- Pending home sales hit level last seen in April 2006 | Front Porch
- Competitive Portland housing market gets more crowded in May; prices rise 4% | Oregon Live
- Case-Shiller: Home prices rise in Portland, major US cities | Oregon Live
- ‘Fierce’ summer in store for Portland-area housing market | Front Porch
- Average 30-year mortgage rate rises to 3.8 percent | The Associated Press
- Fitch: Oregon, Portland home prices beginning to overheat | Front Porch
- Home prices climb in U.S., Portland | Oregon Live
- How ‘skinny streets’ could save Portland from a housing crisis | Front Porch
- Neighborhoods by the Numbers | Portland Monthly
- Portland Neighborhoods By The Numbers: Where to Buy in 2015 | Portland Monthly
- Where to Look for Real Estate Steals in the Portland Area | Portland Monthly
- Your Guide to Portland’s Crazy-Hot Real Estate Market | Portland Monthly