As the coronavirus (COVID-19) pandemic rages through the U.S., not many industries are safe from its effects. But for the most part, the real estate sector has steered clear from any negative situations. This especially holds true for the Portland housing market.
While the inventory in the market holds low, the prices have risen as compared to last year. This applies to both median home prices as well as average home prices in the Portland real estate sector.
Portland Moves Ahead With Consistent Prices
After going through the effects of COVID-19, Portland housing units have noted a significant increase in price. For median value, they show an increase within the first eight months of 2020 against the same period last year. As such, they have climbed 4.9 percent to a staggering $430,000 this year.
The average sales price tells a similar story with annual increases of a significant level. To elaborate, they have jumped by 10.46 percent in August 2020 as compared to the same time last year.
This shows that the market has recovered after an initial period of decreased activity during the initial days of COVID-19. But this particular period of getting back to business has also transformed the area into a seller’s market.
The Market is Working With a Tight Inventory
In the Portland housing market, homebuyers need to make their pick through a tight inventory. This particular selection of listings comes with consistent prices, which fall under the values mentioned above. Since most home prices stay within this increased range, it gives massive benefits to sellers and creates competition for buyers.
The reasons behind this shortened inventory mainly stem from the pandemic and its far-reaching effects.
While the activity in Portland real estate has resumed in full force, it comes with a stipulation of COVID-19 after-effects. Most sellers in the area had pulled their listings from the market during the initial few months of the pandemic. Now, they are finding it hard to list their homes again due to various reasons.
Sellers Are Holding Back Due to Their Own Reasons
Before COVID-19 hit the U.S., some homeowners were considering moving into smaller spaces and selling their bigger homes. But in the post-pandemic era, they are harboring the simple desire to keep living in bigger properties and multipurpose spaces.
Then there are those homeowners who were once trying to switch homes within the Portland housing market itself. But given that the market is facing a shortage in inventory, they have changed their plans. Their approach comes from the worry that they might not find suitable listings in the area after selling their home.
There are other potential sellers who don’t want to give up homes with yards and outdoor spaces. Their reason also comes through COVID-19, specifically the fear of not having a safe space to socialize at a distance. Until the pandemic is over, they simply don’t want to give up the luxury that is outdoor space. With it, you also have those sellers who don’t want to entertain showings and open houses during a pandemic.
Due to these reasons, the Portland metro area is currently a seller’s heaven. But with low mortgage rates and increased activity, the market is also enjoying a newfound buyer interest. If you want to deal in a home in the Rose City, it’s the ideal time to do so. As a seller, you may find attractive offers within a timely manner. As a buyer, you might find your ideal listing before it's snagged by someone else.
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