Special offer

Portland's Low Home Inventory Makes Buyer's Scramble

By
Real Estate Agent with Premiere Property Group,LLC Portland Metro & Suburbs Oregon

Portland's Low Home Inventory Makes Buyer's Scramble

I remember when I first got my real estate license in fall of 2004 how crazy the market was for those years following. Buyer's were camping out, taking numbers just to get in on new construction homes. Escalation clauses were flying and inspection periods shortened or waived completely..all to get into a home.

Portland Homes

Well, thankfully we are not that crazy, BUT..we are seeing those escalation clauses come out of the woodworks as well as the multiple offer forms. Homes that are $250K and under are moving VERY quickly..especially if they are in a good neighborhood. One client I'm working with has been through the multiple offer process and lost the home to one of five buyers, but after working closely with meand a great lender, they finally had an offer accepted..again in a multiple offer situation.YES!

Another buyer..not in client mode yet, but still a customer will take some more education and lost homes to get it. I showed them a home yesterday where I let them know that there was already at least one cash offer and more scheduled to come on the table as we showed the home. The listing agent was going to present that afternoon, so they needed to make a decision fast. Oh..this is the part I hate because it's really tough to make these deciMarch 2013 RMLS Market Reportsions quickly!

They wanted me to ask the listing agent to wait until the next day and were talking about offering less than the list price which was already pretty darn low for the neighborhood. This was said while we noted three other buyers go into the home after us. Long story short....the seller had enough cash offers so was ONLY taking CASH offers and not even looking at any that needed financing which my client did. I want them to get into a home, so hoping they take my advice in the future.

We just got the latest market stats from the RMLS (Regional Multiple Listing Service) and our inventory has gone down to 3.2 months for March from 4.5 months in February. Our average sales price has gone up 7.5% and the marketing time down 3.4%. In an average market the inventory..or absorbtion rate is 5-6 months. Anything over that is buyer's market and under a seller's market. So currently it would take 3.2 months to sell all the current homes on the market. Sellers...are you reading this?

Buyers, are you ready? In this market you'll need to be very ready to jump on properties as soon as they come on the market and work with your Portland agent that keeps on top of them as well as making sure you have all your ducks in a row so you have that advantage. Working with a lender that is kick butt will also give you a bit of an edge.

Posted by

 

Knowledgeable, Approachable, Service Oriented

Cindy Westfall ABR,GRI

Premiere Property Group,LLC

5000 Meadows Rd., Ste. 150, Lake Oswego, OR 97035

Cell: 503-819-5241      

E-Mail: cindy@cindywestfall.com

Website

   

YoutubeLinked InGoogle PlusFacebook

Disclaimer: All views on my blog are my own and may not reflect that of Premiere Property Group. All pictures and content are my own unless otherwise noted. Please No Copying without my permission.

 Cynthia Westfall is licensed in Oregon State

 

Comments (7)

Rob D. Shepherd
RETIRED - Florence, OR
RETIRED

Sometimes they have to lose a couple to realize we are not cigar smokers with white shoes and hat.

Apr 10, 2013 12:13 PM
Cindy Westfall
Premiere Property Group,LLC Portland Metro & Suburbs Oregon - Tualatin, OR
ABR,GRI Your Tualatin & Portland Metro Real Estate

Huh...how did you know that's what I was wearing?? Shh...don't tell anyone about the white shoes...not supposed to wear them until after Memorial Day. You're right...sad but true on them losing out on homes. Sometimes it's just the luck of the draw and they've put in a great offer...but other times they still believe there is some room to negoticate to a lower price when they know there are already many offers on the table.

Apr 10, 2013 01:03 PM
Jill Sackler
Charles Rutenberg Realty Inc. 516-575-7500 - Long Beach, NY
LI South Shore Real Estate - Broker Associate

Hey, Cindy - I heard they relaxed that rule about no white until after Memorial Day several years back. Seriously, you started real estate at a great time. You probably didn't realize then that it wouldn't always be like that.

Apr 10, 2013 01:20 PM
Debbie Reynolds, C21 Platinum Properties
Platinum Properties- (931)771-9070 - Clarksville, TN
The Dedicated Clarksville TN Realtor-(931)320-6730

Cindy, Well written telling buyers what can happen if they don't have their act together. They will lose out.

Apr 10, 2013 01:34 PM
Cindy Westfall
Premiere Property Group,LLC Portland Metro & Suburbs Oregon - Tualatin, OR
ABR,GRI Your Tualatin & Portland Metro Real Estate

Hi Jill, LOL...they have indeed..kinda like being able to wear black to a wedding. It was actually odd when the market started to shift downward..especially after the hot market was all I'd known. I'm glad I'm still around to enjoy the rebound and sellers being able to start seeing their homes go right side up. I do hate that buyers have to make very quick decisions on what is a huge purchase though!

Apr 10, 2013 02:09 PM
Cindy Westfall
Premiere Property Group,LLC Portland Metro & Suburbs Oregon - Tualatin, OR
ABR,GRI Your Tualatin & Portland Metro Real Estate

Hi Debbie, in the first case the buyers were very ready and used a lender that was on my preferred list, so I knew they'd be taken care of. The second buyers were just not there yet...but they will be! I will be happy when they get into a home!

Apr 10, 2013 02:10 PM
Richard Weeks
Dallas, TX
REALTOR®, Broker

The Texas Real Estate Commission has prohibited agent here from using escalation clauses.

Oct 22, 2013 10:14 PM