SALES:  1462 in Dec 2010 vs 1506 Dec 2009:  down 2.9%

PENDING SALES:  1210 in Dec 2010 vs 1141 Dec 2009:  up 6.0%

NEW LISTINGS:  1925 in Dec 2010 vs 2104 Dec 2009:  down 8.5%

AVERAGE PRICE:  $278,000 in Dec 2010 vs $293,300 Dec 2009:  down 5.2%

MEDIAN PRICE:  $230,000 in Dec 2010 vs $242,200 Dec 2009:  down 5.0%

TOTAL MARKET TIME:  145 days in Dec 2010 vs 144 days Dec 2009:  up 1.0%

INVENTORY IN MONTHS:  7.9 months in Dec 2010 vs 7.1 months Dec 2009:  down 10.13%

These facts are interesting, but what do they tell us?  As I mentioned in my January 2011 Portland Metro Real Estate Update, inventory in December was the lowest it has been since June 2010 and that’s a good statistic.  Absorbing the existing inventory is one of our biggest real estate challenges.  Closed sales saw an increase, reaching the highest monthly level since June as well.  I feel that part of 2010 real estate sales stats were “artificially stimulated” by the Home-Buyer Tax Credit and, thus, throwing our overall numbers off.  We saw a bit of “whiplash” after the tax credit deadline expired at the end of April 2010 making our summer months unusually slow and plodding. We, then, saw another unusual uptick in activity in November/December.  These are odd times in the real estate industry indeed!!!  Our two biggest future challenges continue to be employment and “shadow” inventory coming from short-sales and bank foreclosures that will seep into the markets as the banks control foreclosure inventory by delaying foreclosing on homeowners to keep the “numbers” off their books.

The latest market statistics for March 2009 are out and do we see a glimmer of hope?  Notice as compared to last year sales are down and prices are down (no big news there).  But, comparing month to month for 2009, home sales were up as well as pending sales!  Also, new listings increased.  That, of course, is typical for Spring-time.  Housing inventory dropped to the lowest point since October 2008.  I believe the $8000 first-time homebuyer credit for both 1^st-time buyers and those not having owned a home in three years (see my earlier blog on FAQ’s regarding the First-Time Home Buyer Credit) has contributed to this upswing, as well as short-sales and foreclosed properties reaching that “sweet spot” in the pricing continuum!!

Click here for the market stats:  http://www.rmlsweb.com/temp%2Fdocuments%2F1500-1699%20Market%20Action%20and%20Statistics%20Menu%2F1503%20Market%20Action%20-%20March%202009%2FPortland%20Market%20Action.pdf