Market Conditions Ending May 31, 2012

Portland real estate inventory levels continue to drop every single month this year. There is currently 4.2 months of inventory for the entire Portland Metropolitan Area. This means at the current rate of sale it would take approximately 4.2 months to clear off all the available homes for sale at the current rate of sale assuming no new homes hit the market. Last year at this time there were 2.5 more months of inventory, which meant Buyers had a lot more power and more options to choose from. The average sales price is $281,400 while the median sales price is $234,500. The average sales price ending last May was $262,400 comparatively. This is a 7.2% increase in price from May 2011 to May 2012. The total time on market dropped significantly from 145 days last May to 114 this May. The total market time is the time it takes from when a home hits the market to when there is an accepted offer on the home. New listings are down, pending sales are up, closed sales are up, average and median sales price are up and total market time is down. These conditions lead to low supply, high demand and price appreciation.