Portland Realtors: Spring 2017 Housing Report

economy, Real Estate
Portland Real Estate: Spring 2017 The Portland Metro Association of Realtors has just released its housing market action report for the previous month (February, 2017) and the news is somewhere between lackluster and mixed. While accepted offers were notably higher than in January, the levels of newly pending sales are 15% behind where we were last year. On the other side of the equation, new listings coming into the housing market this year were 12.9% below the number of new listings in February, 2016. Fewer listings and fewer sales is the theme for winter and spring for Portland in 2017 thus far. Closing transactions also dropped by 9.6% month to month and 7.9% when compared to closings in the same month a year prior. It's important to note that last…
Read More

Portland Realtors: Fall Update

economy
Portland Real Estate Report: Plateau... Or Just Platitudes? In summary, home values in Portland, Oregon are being described as "hovering" at the moment. Various articles and Portland Realtors commenting on the local housing market have used terms like "plateau", "flattened" and even the somewhat ominous word "cooling" to describe our current conditions. The graph below shows that median prices hit highs at/near $550,000- in the spring of 2016 but have tapered off to our current median price of $499,700-. Recession has become a zeitgeist and the subject of scary campfire stories ever since 2008. Nonetheless, economic contractions remain a recurring certainty and a predictable part of all economies. -Richard E Lockwood Real estate agents note that this settling in prices may be due to our city's tradition of the market…
Read More

January, 2016: Portland Housing, Economic Update

economy
From the Article: ...will bad news from Wall Street and Asia rain on Portland's parade or will the distant rolls of thunder merely echo nay-sayers beating the drum of chimerical doom & gloom? Despite recent upsets and a dismal start to the trading year on Wall Street, home-buyers in Portland, Oregon remain extremely bullish on the local real estate market. International issues such as China's burgeoning debt crisis along with foreign trading markets being flooded with newly available petroleum energy have led to record stock-market volatility; with many sources noting that the new 2016 fiscal year is the worst on record for many stock exchanges worldwide. In contrast, factors such as local job growth and strong demand for Portland's unique "Northwest" lifestyle mean that homes throughout the metro area are…
Read More

Portland Short Sale Specialist

economy
As real estate brokers we are not attorneys and as such, this publication should not be construed as legal counsel or advice. In the course of our duties as agents some of our clients choose to retain legal or financial counsel and we work in cooperation with such professionals in the process of serving you, our client. We As Realtors in Portland and short sale specialists… our legal obligation is to work for you, and to serve our clients’ best interests We’re licensed real estate brokers in the state of OR, with Oregon Realty Company and we’re held to a very high standard of ethical conduct known as fiduciary duty to our clients While we cooperate with a variety of banks, attorneys and financial institutions to complete a short sale…
Read More

The Worst (and best) Residential Real Estate Investment I Witnessed

economy
As a real estate broker licensed in the state of Oregon and I’m a leading short sale specialist in the Portland area I was recently asked to share my opinion of the best/worst investments I've seen in real estate. My opinion as a Realtor does not constitute, legal, tax or investment advice. Lastly, the question of absolute worst real estate investment also incidentally leads into one of the better investments I’ve seen. The Worst Real Estate Investment I Have Personally Encountered: First off, let me preface this by saying that condo developments have proved very profitable in a number of cases. However, in this specific example things unraveled to devastating effect. In the years leading up to the housing crash a wealthy extended family in my area developed a condominium…
Read More

High-End Homes Soar, Low Price Homes Tank

economy
National Housing Market: Luxury Homes Sales Soar, Affordable Homes Falter The volume of homes selling in working and middle-class price ranges is falling dramatically, while at the same time sales of luxury homes are ramping up by very large margins. Mortgage bankers note that new loan applications are on the rise for properties with an asking price of over a half million Dollars whereas the numbers of new loan applications are dropping in every other real estate pricing tier. Nationally, closed transactions of $250,000 or less have sagged by a jawdropping 12 percent when compared to last year, according to Bloomberg.com. United States Economy Grew by 1.9% Last Year, Portland Real Estate Went Up 12.1% Median sale prices of residential real estate in Portland, OR rose by 12.1% ($316,400 versus…
Read More

Response to 05-08-2014 Housing Article

economy
My sister, Dr. Julie Lockwood Pechacek (PHD, Economics) wrote the following response to my May 8th article on real estate and the economy. Response To May 8th Real Estate Crash Article: I read your article on the economy and the Portland housing market. Here are some thoughts. Let's talk more often! Love you, -Julie -While I agree that timing is important, you appear to rely heavily on the fact the recession in pdx occurred after the main wave. I say "appear" because I don't think this idea is required for your argument. Recession timing is more related to the geographic dynamics of contagion, and how a financial contagion spreads, than any specific features of Portland's (moderately diverse) economy. -Your essay leads me to wonder if all sectors of the housing…
Read More

Case Shiller & Another Portland Real Estate Crash

economy
This is an editorial opinion article written by Richard Lockwood, a real estate agent active in the Portland Metro area. This article makes no effort to assure anyone of future capital gains or losses. For further inquiries please see disclaimer at bottom of page. Fewer Homes For Sale Vs. Low Wages, Slow Recovery With first quarter housing market data in for the year 2014, one of the prime factors having a stark impact on the housing sector for Portland is the lack of available residential real estate inventory. RMLS data (graph on the left ) shows lower inventory in the year 2014 (marked in red) as compared to the two years prior. The simple law of supply and demand points out that reduced inventory of available homes for sale will…
Read More

Housing Recovery, Short Sales & The Economy

economy, Short Sales
The Aftermath: Prices Can't Bounce Back In the wake of the recession many home owners hoped to be able to sell their homes as prices increased and for some this has in fact happened. However, if prices did go back to 2008 levels why would those prices be sustainable in 2014 if they weren't sustainable in 2008? I mean to say: have wages increased 25% in 5 years? No, then why should we believe that houses can increase that amount? And, more importantly, who would be able to buy them? As we move into the fourth month of the year 2014 some have asked if the short sale specialist is still relevant in the Portland Housing Market. To answer this question we're going to borrow a quote from former US…
Read More

Housing Wanes Amid Economic Unrest

economy
Homeownership Lowest in 13 Years The US economy (having never fully recovered from the great recession) is experiencing a waning housing market and Portland Oregon seems to be following this national trend. Economic uncertainty surrounding the Federal Government shutdown, healthcare and future tax liability have made many key industry players including builders and investors a little more than uneasy in recent months. These concerns, combined with normal seasonal slowing off the industry have combined to undermine recent gains in residential home values. According to the National Association of Realtors today’s home ownership is the lowest it has been in the last 13 years. The US Census reports new household formation was 380,000 down from 2 million pre-recession levels. A new household is established when a person rents an apartment or…
Read More