Clients and friends,
The December Market Action Report is here (albeit a bit later than anticipated), so here is our year-end look at it. January's numbers should be coming out next week, so stay tuned!
(download the Market Action Report PDF here)
Portland Metro Real Estate Market: December 2024 Insights & Trends
As we wrapped up 2024, the real estate market in the Portland Metro area continued to show resilience despite normal seasonal fluctuations. December brought some noteworthy changes, with shifting inventory levels, stable home prices, and evolving affordability conditions. Whether you're a buyer, seller, or industry professional, understanding these trends can help you navigate the market more effectively. Let's dive into the key takeaways from the latest data.
Market Overview: December 2024 Trends
Residential Market Performance
New Listings: December saw 1,068 new listings, a 4.1% increase compared to December 2023 but a 26.8% decline from November 2024. The drop from the previous month is typical for the holiday season, as fewer sellers list properties at year-end.
Pending Sales: With 1,326 pending sales, there was a 1.3% year-over-year increase, but a 16.2% decline from November, also very typical of the holiday season.
Closed Sales: 1,534 homes closed in December, a 15.3% jump from December 2023, but an 8.7% decrease from November 2024.
While seasonal slowdowns were expected, the year-over-year growth in closed sales suggests continued buyer demand.
Inventory & Market Time
Inventory levels dropped slightly to 2.7 months, reflecting a balanced market where neither buyers nor sellers hold a significant advantage.
Total Market Time increased to 74 days, signaling that homes are taking longer to sell, possibly due to economic uncertainty and affordability challenges.
Yearly Market Comparison (2024 vs. 2023)
Looking at the full year, the market remained relatively stable with modest growth:
New Listings: 29,586 homes listed, a slight 0.3% decline from 2023.
Pending Sales: Increased by 2.8% (21,961 in 2024).
Closed Sales: Rose 3.7% (21,715 in 2024).
Home Prices:
Average sale price rose 1.8% from $598,000 to $608,600.
Median sale price increased 2.1%, reaching $543,000.
These figures indicate a slow but steady appreciation in home values, suggesting that the market is stabilizing after the volatility of recent years.
Price Distribution & Affordability
A closer look at sales by price range reveals some interesting trends:
The $400K-$500K segment remains the most active but saw a slight decline in its market share (from 23.9% to 21.1%).
Higher-end homes ($600K-$700K) saw an increase in sales activity. As pricing continues to appreciate, this range will continue to grow.
The luxury market ($1M+) remained stable but represents a small portion of overall sales.
The Portland Metro real estate market remains resilient as we transition into 2025. While inventory levels and total market time have increased, the steady rise in home prices and year-over-year growth in sales indicate sustained buyer interest. Affordability and interest rates remain primary concerns for buyers, particularly as mortgage rates remain in the high 6s, but overall, the market is showing signs of long-term stability.
For buyers, this trend means more negotiation power as homes stay on the market longer. For sellers, pricing competitively and ensuring homes are market-ready will be crucial in attracting serious buyers.
Looking ahead, economic factors such as interest rates, job growth, and confidence around the incoming administration could play a significant role in shaping the 2025 real estate landscape. Stay tuned for future updates as we continue to monitor market trends!
Want to know what your home is worth? It doesn’t matter if you are thinking of selling now or just curious about the equity you have in your home. Reach out to us via the contact information below or follow this link: https://www.themccreithteam.com/what-s-my-home-worth.
We’ll connect and have a valuation to you ASAP, likely within the week.
The McCreith Team | www.themccreithteam.com
To Email: Joni McCreith
To Email: Catherine Summers
To Email: Amy McCormick
To Email: Molly Barajas
For a full, in-depth analysis, download the PDF below.
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