Portland Oregon Real Estate Market Update - November 2021

Sorry buyers... new homes to the market and inventory of homes took another hit this month.

We were seeing a gradual increase over the last few months and that seemed like an indicator of the market trending upwards. But with only 0.9 months of inventory (down from 1 month), and a decrease of new homes to the market of 8% (3,232) people may wonder, does this mean we won't still see the market shift? Not necessarily.

First, when looking year to year we still saw a significant increase in new homes compared to 2020, showing sellers' hesitancy to list their homes has lessened overall.

Second, the holidays are typically a time where people tend to focus less on real estate. What we are really seeing right now isn't necessarily an indicator of the future but a symptom of hot market we have been in.

Both buyers and sellers should be aware that buyer fatigue is a huge thing right now. Mortgage applications are down. And anecdotally I have had a few buyers tell me they are going to go on pause until after the holidays.

Pending sales and sold homes also are down from last month. Both saw a slight decrease with 3,187 homes going under contract and 3,129 homes getting new homeowners.

Days on market also saw an increase up to 26 days. Meaning it's taking longer for homes to sell.

Many buyers are just straight-up tired. They have been searching for a home, and have been beat out on offers, and even during transactions. And that has created some serious hesitancy.

What does this mean for buyers still actively searching for a home? For buyers that are not burnt out, this could actually be a really good time to buy. While options are low, in some markets and price points we are actually starting to see homes sit on the market and are also seeing more price reductions than before. So depending on your situation this could be a great opportunity.

For home sellers, you may be wondering... hearing all of this and knowing the holidays can already be a slow time for real estate, should you wait until after the holidays to sell your home? Like with anything it really depends. If you are in a situation where you need to sell your home asap (you already bought another house elsewhere, family matters, relocation, etc) the holidays can still be a good time to sell your home.

While there will be fewer buyers actively looking, there are buyers out there who also NEED to move right now. But yeah, if you are not in a rush to sell waiting till after the holidays could be a good thing as traditionally it’s when buyers will be more active.

If you would like to talk further about your future home buying or selling needs, do not hesitate to reach out. Contact us HERE or text 971.361.6114 to set something up.