A Look Back on 2013 and Forward to 2014…
Looking back on 2013
Below are some highlights from our past year in comparison to 2012:
- 27,065 accepted offers
- 26,782 closed sales, up 14.3%
- 35,858 new listings, an 11% increase from 32,300 last year
- Average sales price $310,600, up 12.9% from $275,000
- Median price increased 12.8% from $235,000 to $265,000
- Total market time was down 25.9%
Looking Forward to 2014
Portland Metro Association of Realtors recently released an article, in which they asked members to make their 2014 predictions. This is what they see on the horizon:
“I feel quite simply that a perfect storm is brewing that will further slow activity and property value appreciation. The perfect storm involves interest rates most likely increasing by at least another 1% by June or July, which will further affect buyers’ purchase power and which will in effect start increasing inventory of available homes for sale while further stabilizing prices. This ‘upward’ stabilizing trend must eventually occur, and I feel this will be another transitional year toward that end. Ultimately, the effect may be a wash for affordability for buyers since prices will merely continue a more historical, smooth appreciation progression.” –Troy Wilkerson, The Broker Network
“I think the pace of price appreciation in the Portland region will moderate over the course of 2014. By the end of the year I believe median home prices in Portland will be increasing at ~5.0% annualized clip (still very healthy). In terms of the number of transactions? I expect that inventory constraints will keep things slow for the initial few weeks of the year but after the first few dominos fall, we will see rapid sales during the spring with the supply of homes loosening up over the summer months.
At the end of the year I predict the number of transactions in our marketplace will be +~10% over 2013. I foresee first-time homebuyers remaining a strong segment in this market but also the return of affluent households. With strong stock market gains in 2013 and greater availability of non- conforming debt they will buy more homes in 2014.” –Evan Swanson, Mortgage Trust, Inc
“I am anticipating that with rising sales prices, ‘traditional’ buyers will finally be able to have the chance at getting their offers accepted if they were being cautious last year. I am able to show them finally how to get in the game, as there are less cash buyers and investors this coming year. I am already experiencing a great year!” –Caitlin Williams, The Real Estate Network Group