If today’s real estate market feels different, that’s because it is.
During the height of the COVID-era market, buyers often faced multiple offers, bidding wars and very little time to make a decision. Today, the market looks considerably different. According to RMLS, Portland Metro housing inventory reached 4.2 months in September, and average market time increased to 68 days. Yet the median sale price was $545,000, essentially unchanged from a year ago.
This doesn’t necessarily mean we have a bad real estate market. It means we have a different one, and one that presents opportunities for both sellers and buyers.
For Sellers: How Will Your Home Perform?
With more homes for sale, buyers have choices and have become more selective. The homes having the greatest success typically offer something that separates them from the competition: exceptional condition, beautiful updates, a great lot or view, one-level living, a desirable location, or simply compelling pricing.
At the same time, much of today’s inventory has been sitting on the market. Some sellers are still holding onto yesterday’s pricing expectations, while other homes may not have the updating or condition today’s buyers are looking for.
For homeowners who have kept their properties current and are realistic about today’s market, this can present an opportunity. More inventory doesn’t necessarily mean more true competition.
Today, preparation, presentation and pricing matter considerably more than they did when nearly everything was selling quickly.
For Buyers: The Opportunity Has Changed
For buyers, the increase in inventory creates opportunities we haven’t seen in years.
A home that has been on the market for 30, 60 or 90 days may have a seller whose circumstances are very different from when they originally listed. They may have already purchased another home, be relocating or simply be ready to move on.
That’s why buyers shouldn’t automatically eliminate a home simply because the asking price seems too high. The asking price tells you what the seller wants. An offer may reveal what they are actually willing to accept.
Your ELEETE Advisor can evaluate comparable sales, listing history, time on market and the surrounding competition to determine when it may make sense to test a seller’s motivation. The opportunity may be a lower price, repairs, closing-cost assistance or other favorable terms.
A Market That Rewards Strategy
There is no single Portland real estate market. Conditions at one price point or in one neighborhood can be dramatically different from another.
That’s why today’s market requires something that wasn’t always necessary during the frenzy of 2020 and 2021: strategy.
Sellers need to understand their competition and position their home to stand out. Buyers need to recognize where increased inventory and longer market times may have created negotiating opportunities.
Whether you are considering buying, selling, or simply trying to understand what today’s changing market means for you, your ELEETE Advisor would be happy to sit down with you, evaluate your individual situation and help develop a strategy for your next move.
