Standard and Poor's has reported that Portland Oregon has the 2nd highest increase in home value as reported  in the Portland Business Journal. While an increase of 8.7% isn't exactly setting records, it is much better then most of the rest of the nation. Nationally, according to the report, our 20 largest markets have seen a decrease of .2%.

Interestingly enough, our RMLS system shows Feb 06 to Feb 07 numbers at 12.8% appreciation. I asked fellow blogger Ron Ares to help me with this as he has a breakdown that shows numbers during this time period at 6.5% and median price appreciation at 5.9%. According to Ron the RMLS uses a 12 month rolling average. He disputes the validity of those numbers as he feels that a median number is more accurate. Here's a link to his blog with a breakdown of area numbers.

Bottom Line: If you're looking at real estate as a long term investment and as a place to live, Portland is still a great place to buy. But, if you're expecting 10%-20% appreciation with a quick flip, you might be in for a surprise when you sell.