Jan 2022 - UNDERSTAND KEY REAL ESTATE TRENDS IN UNDER 3 MINUTES - Portland, OR & surrounding! 🏡🙋♀
We can see that interest rates have been slowly rising since August 2021 but are still relatively low.
Two of the twelve locations had over one month of housing inventory in December, and now it's zero locations in January. And the month-on-month percentage change shows that two locations have an increase, with Milwaukie having the highest at 70%. The remaining ten locations decrease, with Northwest having the highest at (42%). What's driving this massive drop in housing inventory? [The following slideshow contains all Housing Inventory graphs.]
Well, here's the month-on-month Housing Demand percentage change. All locations but Milwaukie have increased, with SW Portland having the smallest at 5% and NW Portland the largest at 48%. [The following slideshow contains Housing Demand % Change Map and all Supply vs Demand graphs.]
And here's the month-on-month Housing Supply percentage change. Quite the striking difference to the Housing Demand. Only three locations have increased, and the rest have decreased, with SW Portland having the smallest at (4%) and Tigard and Hillsboro the largest at (26%). So we can see that Housing Demand is increasing, and for most of the locations, Housing Supply is not keeping pace. [The following slideshow contains Housing Supply % Change Map and the Housing Demand vs Housing Supply comparison.]
An aggressive market is highlighted by low days-on-market (DOM), and a DOM consistently less than 10 days is typically considered a seller's market. In January 2022, I had to alter the graph because the previous version maxed out at 15 days, and NE Portland, SE Portland, Gresham, and Lake Oswego had a DOM over 15 days. Now, we're going to discount Lake Oswego because I believe that the intense DOM growth was due to niche properties skewing the results, even though I use median, not average.
In December, North Portland, NE Portland, SE Portland, Gresham, Milwaukie, SW Portland, and NW Portland had a DOM of 10 days or more. In January, North Portland, NE Portland, SE Portland, Gresham, Milwaukie, SW Portland, NW Portland, and Lake Oswego had a DOM of 10 days or more. While that's exciting activity, I think the area that concerns me is the four locations below 10 days. They are all quite low, and the month-on-month change shows that three of them decreased. That's concerning considering that December and January are typically the slower times, and then the market begins to heat up and become more aggressive. Hillsboro, Beaverton, Tigard, and Happy Valley don't have much room to get more aggressive. This will be a definite trend to watch! [The following slideshow contains Dec 2021- DOM Map, Jan 2022 - DOM Map, DOM Change Map and all 12 Month & 36 Month DOM Trend Graphs.]
Here's the January 2021 Median Sold Price and the January 2022 Median Sold Price, and here's the year-on-year % change. There's one decrease, four single-digit increases, and seven double-digit increases. The double-digit appreciation causes concern, as double-digit annual appreciation is not sustainable and can exclude many people from homeownership. When we look at the sold price trend for the last three years, we can see the comparison of negative appreciation, single-digit appreciation, and double-digit appreciation. [The following slideshow contains Jan 2021- Sold Price Map, Jan 2022 - Sold Price Map, Sold Price % Change Map and all 12 Month & 36 Month Sold Price Trend Graphs.]
HOMES SOLD - The following slideshow contains all 36 Month Trend Graphs.
Feel free to contact me with any questions.🙋♀️ Have a great day!