PORTLAND, Ore. (PORTLAND TRIBUNE) — A surge of homes for sale in March did not prevent prices from continuing to increase in the Portland area.
According to the Regional Multiple Listing Service, 3,604 additional homes went up for sale in the metropplitan area in March. That’s a 43 percent increase over the number of homes for sale in February and 5.7 percent more than in March 2016.
Most of the additional homes listed in March were existing houses. New home construction has still not recovered from its peak levels before the Great Recession.
But demand continued to outpace supply last month, pushing the average area sales price in March up to $428,000. That compares to an average price of $404,200 in February of this year and $385,100 in March 2016, according to the RMLS.
The buying frenzy also reduce the average time on the market by four days to 58 days.
“The spring market is definitely taking root, and we’re seeing a flat out frenzy market in areas near job centers where 75 percent of sales are taking place.,” says Lennox Scott, Chairman and CEO of John L. Scott Real Estate. “The lack of inventory in the more affordable and mid-price ranges is creating multiple offer situations for each new listing coming on the market.”
Scott Halligan, Vice President John L. Scott Oregon and SW Washington, predicts prices will continue rising.
“With continued low unemployment, a robust stock market, increased job growth, a high level of new construction and low interest rates in play, home prices will continue to rise unimpeded based upon limited inventory,” Halligan said.
The Portland Tribune is a KOIN media partner.