Clients and Friends,
Perhaps the present trends are our future. Reading the tea leaves…
The Portland metroplex continues its national dominance with fast rising prices and attracting out of state buyers. It is not uncommon to hear comments and read stories about another real estate ‘bubble’ building; no one wants to experience another bubble burst! That could be the case, but there is another explanation which may be a better fit.
My family moved to the Los Angeles area in 1965 and bought a 2000 sf home in Burbank for $31,000. Over the years we watched as prices skyrocketed. Eventually this area was legendary for astronomical pricing. The SF Bay area has always been a hot spot for attracting people and therefore a place of high prices. My experience there was working in San Jose while attending San Jose State University in the late 1970s. it was a nice affordable place to live. However, since this area became the ‘Silicon Valley’ pricing in the SF Bay Area is unbelievable and mind boggling. Do you remember when it was common to hear, “Last one out of Seattle, turn-off the lights!”? I do. Today Seattle is popular and very expensive- significantly higher values than in Portland. Whether we like it or not, Portland is now famous for being famous because it is “weird”, unique, liberal, beautiful, moderate climate etc. and very affordable compared to any major metro area on the coast. The truth may be that we are on our way to the time when Portland will make its quantum leap in prices (instead of another free-fall) and forever be another very expensive west coast city.
Yamhill County also may make that kind of quantum leap in the not too distant future. The wine industry is growing in prestige and popularity and wineries are sponsoring quaint small rural towns and making them destinations. Our climate is the banana belt of the metroplex and we are close enough to take in all the benefits of Portland culture but are just another hop, skip, and jump to the gorgeous Oregon Coast.
If this is true, then owning real estate in Portland and our area is a good idea. Perhaps that is why so much money is flowing into Portland now- cash offers all over the place. Yes, people move here for quality of life and to escape the craziness of some of those other hot spots, but maybe people from other expensive areas know what to expect in Portland’s future because they have witnessed it already and want a piece of the action. Soon and very soon, even locals may not want to buy any more here because it is getting wildly expensive, or they fear another housing recession. However, the perspective of many from the areas is just the opposite- we are inexpensive and we have great potential to become another expensive, desirable area.
February’s reports are trending positive and the news is all good for sellers. Anecdotally, multiple quick offers are now the norm in the Newberg/Dundee area and we will see the rising tide bring this dynamic to the McMinnville area later this year or next year. January and February were good but March came in like a lion. This report is late because we are working every minute of every day to keep pace with sales and service for our clients. In a week or two, we will be able to summarize the first quarter of 2016 with the next report.
Bella Casa Real Estate Group, the top producing office for sales in Yamhill County, is a professional cooperative of the finest of agents serving our area. This is the season to get it done- selling for a great price, buying well in a competitive marketplace, and investing in our shared futures in a great place on planet earth. The best time of the year for buying and selling is from now through July- don’t miss it this opportunity. Our tag line is our commitment: Buy. Sell. Be Happy.
Included in this report is:
1. Market Action Reports for February
2. Home Sales Reports for February – Washinton County
3. Home Sales Reports for February – Yamhill County
Randy McCreith, Principal Broker
Bella Casa Real Estate Group