Monday, March 21, 2011

Portland RMLS Market Action Report – February 2011

The Regional Multiple Listing Service released the Market Action Report this week and the median sale price for February 2011 was $213,700; this is a 9% decrease from the median sale price for February 2010.

The Portland residential real estate market peaked in August 2007 with a median sale price of $302,000. Prices have now fallen 29% from that peak.

Months of supply (total inventory/monthly sales) sits at 10.9 months compared to the 12.9 months of supply for the same month last year. A balanced market has about 7 months of supply.

The first graph compares the median and average sale price with the months of supply. Click on any graph for a sharper image.

The second graph shows the total supply of homes available for sale. This is simply a calculation of the months closed sales multiplied by the months of supply. There are currently 11,706 homes for sale; this is a decrease of 10% from the same month the year before.

The third chart shows closed sales by month. There were 1,074 closed sales during the month; an increase of 6% from the same month the year before.

The fourth chart shows new listings by month. There were 2,883 new listings during the month; a decrease of 26% from the same month the year before.

The final graph shows how affordable the median priced home is for a family of four. History indicates the ratio is usually between 2.5 and 3.0. Prices would have to fall 2% from the current median for the ratio to reach 3.0.