Housing Inventory is over month one for all of Portland, OR, and the surrounding cities of Hillsboro, Beaverton, Tigard, Lake Oswego, Milwaukie, Happy Valley, and Gresham. That's fantastic news, but what's been the driving force behind this inventory growth?
When we compare the August 2022 Housing Supply and Demand to the August 2021 Housing Supply and Demand, we can see that Housing Supply has exponentially increased and Housing Demand has drastically decreased. That combination will definitely produce Housing Inventory growth.
Now we need to ask the question, is the current activity doing the same? And this is where it gets interesting. The current month-to-month activity shows that Housing Supply appears to be growing slower than Housing Demand. This is only a few months' worth of activity, but significant shifts in Housing Inventory have begun with less.
As a real estate broker, I'm aware of how much Housing Demand is projected for the next five to ten years, and I can tell you that we don't have enough Housing Supply to support the projected demand. It's essential to keep an eye on these trends because this may be the only time for home buyers to purchase a home without having to bid against multiple other buyers. I know that mortgage rates are on the high side at the moment, but mortgage rates can be refinanced. Months of Housing Inventory can't be manufactured out of thin air when the mortgage rates are more favorable.
Our current Housing Inventory is at the highest level since Jan 2021, but I don't predict it will stay that way for long. The current trends suggest that Housing Demand may be re-finding its footing and may continue to grow. The only thing we can hope is that Housing Supply keeps pace. This will be an exciting trend to watch!
I hope you find this information helpful. Feel free to contact me with any questions.🙋♀️Have a great day!