Now that we’ve reached February of 2019, it’s time for a quick market update from our Portland area.
Overall, we’ve seen a dip in our market over the last several months. We’re transitioning out of the fast-paced market we’ve seen over the past few years, and now things are leveling out a bit. During the previous market cycle, buyers typically came out of the woodwork during each year’s first quarter, but is that the case so far in 2019?
Here are the four most fascinating trends I’ve noticed:
1. Fewer home sales. You read that right: fewer home sales. This doesn’t mean the sky is falling—it just means that there are fewer sales being put together between buyers and sellers. At the same time, inventory hasn’t really risen much either, which brings me to my next point:
2. Good homes are still selling quickly. If a home is priced right and in good condition, the market will still sweep it up. We’re not seeing as many bidding wars that lead to homes selling over asking price, though, and with the multiple-offer situations we have seen, there has been more negotiation over price and terms. Homes that are priced a little high and aren’t in as good of a condition are sitting longer on the market, and some of these sellers have resorted to reducing their prices.
3. Buyers are asking for a lot more repairs than they were a year ago. A year ago, they were just happy to get a house and were more yielding in terms of repair requests. This year? Not so much. In fact, we’re seeing more sales fall through because buyers and sellers can’t find common ground in this area. This is why I’m advising sellers to be prepared to negotiate over repairs and to be reasonable. If you’re too stringent or prefer not to make any repairs at all, you may lose out on a perfectly good buyer.
4. Houses are now selling in a range. A year ago, we could’ve assumed houses would sell at a set price or higher. This year, though, houses are selling in a range. All houses have a high, low, and median price point that they can sell at. In this market, if your home is in great condition and in a great location, you might be able to sell it at its high price point. If it’s only in fair condition, you might only be able to sell it at its median price point. If its condition is subpar, well, you get the idea. In any case, if your home sits on the market for a long time, you should expect any interested buyer to negotiate over its price.
If you’re thinking of putting your home on the market soon, give us a call so my team and I can review your situation and help you maximize your sale price.
If you have any other questions about our Portland market or you’re thinking of buying a home, feel free to reach out to us as well. We’d love to help you.