Located in the center of Forest Heights Neighborhood this park features trails, a pond, and some very nice picnic areas and play structures.  Have a quick look.  This is a great place to spend the afternoon.

One of Portland Oregon’s best Custom New Home Builders is Olsen Homes.  You will definitely want to take a quick view of these tremendous new homes just minutes to down town Portland.  These classic homes have all the upgrades and a are located on NW Old Quarry Road in Washington County.  Just a short walk to the new Bonny Slope Beaverton Elementary School.  Large Lots, Custom features, in a lush green setting with Southerly Exposure and Views.  Check out the Video we just shot including two young Deer that visited the site while we help it Open in May of 2008!  We have two homes from the $700’s and one lot left to sell.  Hurry and get yours now!

This past Sunday was like any other Sunday in Winter in Oregon.  Kind of a dreary, slow moving morning.  I had to work at Noon and so that short span of time I have from 9-11 Am is tough to get much done that allows me and the kids any Fun!  But the sky cleared and as I peered out from my morning 3rd cup I remembered Forest Park.   The Nations second largest City Park was less than a 5 minute drive form my home here in Bethany, Oregon.  My youngest son was out the door even before I could say “Lets go for a hike….”.  And so out we went.

A canteen of water and a PBJ sandwich in hand we hit the car.  A short drive up through the magical mile that is Germantown Road and we were in the deep canopy of Douglas Fir Trees that dominate the Tualatin Mountains.  We went into the west part fo the Park off of NW Skyline and NW Germantown Road and parked at the West trail head extension of the Wildwood trail.  The air was crisp, the the sky blue, the trail well blazed and off we went.  My companion and I than proceeded to spend 2 very special hours together winding our way through a series of steep ravines and valleys under majestic Fir, Cedar, Hundred Year Old Maple which were just starting to wake up from their Winter Nap.   We found stream beds and side trails…saw some birds and squirrels and just had a great time.  This was a lot of fun and also a very easy Hike.  If you have not seen Forest Park or been in it ….you simply must.  It is right above the City of Portland and it stretches for miles to the West.  One of the best parks in America.  We had a great time and Lunch at the trails end never tasted so good.  Just a quick trip and we had a great time.  Here are the pics of that most fun day trip:

According to RMLS statistics, end-of-year 2007 saw a 6.3% increase in average home sale prices (and 7.2% increase in the median). Please note that these metrics roll 12 months of sales activity together and compare them to the previous 12-month roll-up. While this method ’smooths’ the data, it tends to minimize the most recent months’ activity.

As I have compiled these reports each month, the month-over-month changes to the average and median sale prices has become smaller and smaller. In some market areas, the median did not change appreciably over the past 3 or 4 months.

Areas relying on high amounts of new construction growth showed the smallest gains (Happy Valley, City Center, Oregon City/Canby, and Beaverton/Aloha.

Lake Oswego/West Linn, Northeast & Southeast Portland, plus Yamhill and Columbia Counties were among the stronger markets.

Below are the December 2007 results for year-to-date average and median sale prices, appreciation, and time on market (or DOM*).

Source: RMLS, January 2008.
* Note: DOM or days on market may exhibit reporting inconsistencies and should be used to analyze trends only.

Steady Growth in Portland Real Estate

Portland, Oregon real estate offers stability and affordability

Published on: Wednesday, January 16, 2008
Written by: Melana Yanos

Real estate in Portland, Ore., is arguably one of the West Coast’s best-kept secrets. In addition to ski resorts and coastal areas within driving distance, Portland real estate has median housing prices more affordable than most other major cities in the Western U.S. What investors find to be most remarkable about the real estate market in Portland, however, is the fact that it is growing, in spite of the subprime disaster sweeping the country. Its hardy performance begs the question: What exactly makes Portland so special?

A “softer landing”

“Portland’s [real estate] market did not have the massive appreciation that some of the markets that are hurting now did,” Charles Turner of Prudential Northwest Properties, and author of PortlandRealEstateBlog.com, said. “The result is that [the market] has experienced a much softer landing.”
 
And, unlike housing bubbles that eventually popped in other major U.S. cities, growth in Portland’s real estate market has been largely contingent on population and employment, Max Sinclair, a real estate broker and Realtor who specializes in luxury and investment properties in Portland area, said. This has lent itself to steady growth in Portland, in spite of a potential national recession.

“Oregon has one of the lowest foreclosure rates in the country,” Sinclair said. “The market [should] continue at a steady rate of growth of 5 to 7 percent during the economic recovery period.”

Impressive job growth in Portland is likely to maintain a healthy flow of residents to the Portland area. A recent projection by the Oregon Employment Department estimated an increase of 240,000 jobs over the next decade—an increase of 14 percent compared to the last 10 years, Sinclair said. Furthermore, it appears that Portland is becoming an alternate hub for technological companies in California.

“Intel has some of its biggest plants in Hillsboro, a suburb of Portland, [and] Yahoo! also selected Portland for its customer service center,” Sinclair said.

Portland authorities limit the number of developments in the metro area

Growing demand for Portland real estate is compounded by a limited supply of properties within the city. This is because local authorities maintain some measure of control over real estate inventory by limiting the number of allowable property developments within the metropolitan area.As a result of enforcing an urban growth boundary, “Portland [is] in a better position to weather the ups and downs of real estate investment over the long run,” Sinclair said.

In addition, Portland presents an affordable option for real estate investment in the western region of the U.S. The median cost of housing in Portland is $283,000, according to the most recently published NAHB/Wells Fargo Housing Opportunity Index for 2007; this is a great deal cheaper than the median price in its larger Pacific Northwest counterpart, Seattle, which is estimated at $380,000. The difference is even more dramatic when comparing Portland with major cities in California; median home prices in Los Angeles and San Francisco are $515,000 and $770,000, respectively.

Predictions for a buyer’s market

GET THE REST OF THE STORY HERE:

http://www.nuwireinvestor.com/articles/steady-growth-in-portland-real-estate-51406.aspx

Well 2007 is just gone but the memory of a year that started hot and fizzled has left buyers wondering if the Oregon real estate scene is falling or flat.  Seller’s are not sure if they should hang in there and wait or get aggressive and price to sell.  The year that was found most of us not expecting to get caught up in the national price drop phenomenon.

Oregon in general and especially the Portland area and the Tri County region have been strong in the past 5 years.  The National News reports Portland and Seattle and a few other markets like Salem to be among the leading cities in America where price appreciation is still being reported.  In general I agree with this assessment.  This is a great place to live and to do business.  Jobs are here and people are still showing up to the party.

I asked the local manager at the Hillsboro U-Haul if we had any net migration away from here and he said “No-way!”.  The yard there is full of trucks and it is clear people are still coming.  The reality is many of them are not flush with cash.  Even with a good job in hand buyers must have great credit and at leats 3% down payment in most cases to get a home. 

One of the frustrating things as an agent is trying to put these buyers together with a loan that will actually qualify them for a home purchase.  Money was so easy to get just a few short months ago and that has all changed now.  We are seeing the resurgence of some new products and FHA / VA Loan Limits are being raised and we should see that help soon.  The buyers are out there and want to make a move.  Some are watching the homes and trying to gauge the best time.

Sellers are now ready to deal and most have come off prices they were asking in the fall by as mush as 10% and in most cases 1-3% on average.  There are some exceptional deals out there but you have to look.  We are arming our buyers with lots of comps, market trends and data, and daily reports of the best new homes available.  This is really a great time to buy.

But there are signs of a comeback that started in December fo 2007.  January looks to be a good month and our brokerage is seeing a real increase in sales.  With our very tight land supplies, and an Urban Growth Boundary in place that simply prevents sprawl, the best buys will likely go down in the early part of this year.  Wit job growth in Oregon ongoing I see prices getting higher and sales increasing as the year goes along.

 In areas like Bethany and Tigard we see a few very good buys but realistically the number of new homes on the market is very small.  Any up tick will create a situation where there is a shortage again. 

Our message to our buyer clients…..get out and look now and get qualified now!  We can help in all these facets!  Call us today at 503-799-8383 to get started.   2008 is a great year to be a home buyer!

Existing Home Sales are rising again.  The West seems to be leading the market Nationwide.  Prices are great and this is a superb time to get into the market and seriously look.  Call Dirk at 503-799-8383 to get started! 

 Existing-home sales rose slightly in November, indicating a stabilization in housing in the wake of mortgage disruptions earlier this year, according to the National Association of REALTORS. Total existing-home sales - including single-family, townhomes, condominiums and co-ops - rose 0.4 percent to a seasonally adjusted annual rate of 5.00 million units in November from an upwardly revised pace of 4.98 million in October, but are 20.0 percent below the 6.25 million-unit level in November 2006.

The national median existing-home price for all housing types was $210,200 in November, down 3.3 percent from November 2006 when the median was $217,300, but there remains a downward drag on the national median as the mix of closed sales has shifted away from expensive markets.

Total housing inventory declined 3.6 percent at the end of November to 4.27 million existing homes available for sale, which represents a 10.3-month supply at the current sales pace, down from a 10.7-month supply in October.

Single-family home sales rose 0.7 percent to a seasonally adjusted annual rate of 4.40 million in November from 4.37 million in October, but are 19.9 percent below the 5.49 million-unit pace in November 2006. The median existing single-family home price was $208,700 in November, down 3.7 percent from a year earlier.

Regionally, existing-home sales in the West increased 10.3 percent in November to a level of 960,000, but are 25.0 percent below a year ago. The median price in the West was $325,800, which is 6.8 percent lower than November 2006.

In the Midwest, existing-home sales were unchanged at an annual rate of 1.18 million in November, but are 16.9 percent below November 2006. The median price in the Midwest was $163,000, down 0.5 percent from a year ago.

Existing-home sales in the South declined 2.0 percent to an annual rate of 1.99 million in November, and are 19.4 percent below a year ago. The median price in the South was $174,200, which is 2.5 percent below November 2006.

annual pace of 870,000 in November, and are 19.4 percent below November 2006. The median price in the Northeast was $258,300, down 3.2 percent from a year ago.

Oregon job gains ease recession worries

Posted by The Oregonian December 17, 2007 11:11AM

Categories: Top Stories

Fears of recession in Oregon diminished Monday as state economists said the state had not only gained jobs in November but also increased employment in October, contrary to earlier reports.

Oregon’s unemployment rate remained flat — at 5.5 percent, for both months — on a seasonally adjusted basis.

David Cooke, an Oregon Employment Department economist, said November’s increase of 7,500 in Oregon’s seasonally adjusted nonfarm employment is significant, especially following the gain of 3,200 jobs in October. Preliminary results for October, based on incomplete data, had shown a loss of 1,400 jobs.

Oregon’s total nonfarm seasonally adjusted employment stood at 1,737,900 last month.

“It really changes our view,” Cooke said. The growth, he said, “indicates that there’s been substantial economic strength in those two months in Oregon’s economy.”

Cooke said that October’s gain, instead of loss, could also change the prognosis of a University of Oregon economic index released last week, which suggested a recession was likely imminent in the state.

Not all the November numbers were positive, however. Retail holiday-related hiring increased, but not by as much as in each of the prior five years. Construction posted a seasonally adjusted job loss of 1,200. But seasonally adjusted employment in the closely watched sector remained above 100,000.

They say we have to make room for 1 million new families and people by the year 2025. We have had a housing shortage for several years. This 6-8 month dip we have been in has brought some great flexibility to this market for the first time since 91-92. Several buyers were in the market in December all asking me…”when should we buy”. They want to buy but the news is just so negative. Well not if your watching. Sales are still ongoing and seller’s are playing with 1-3% of their sales prices to make deals. Underlying this is the continued increase in jobs and a vibrant business economy.

On the one hand we have perception fueled by the media and the gloom and doom. That has created a perception that the entire country is that way. But perception is almost always something different than reality. The reality is that Oregon is in High demand and the mix of tight urban growth boundaries and scarcity of subdivision is still there. There are jobs here. It is a good value and the livability is just the best.

The time to buy is just as the reality begins to change perception. The positive news starting to come out of the Oregon Economic development is just what the Doctor ordered. We are telling our buyers to shop hard and if the right deal is there and you are well employed than jump on it! Now is the time. The best buys will be made between the new year and the first of May.

The fed made some great moves in the past few days and this is adding some confidence back into this market. It is down but it is not staying down. Curious that we are having one of the busiest December’s we have ever had….. in 2007… the down year.

2008 is the year that people will look back and say “I got a great buy that year” or the converse of “We blew it…and should have bought in 2008 in Oregon”. I am not advocating crazy buying but these prices are good if you shop and I do not see that many buyers missing out on this next year. Shop and get the info and buy in early 2008. You can thank me in a year or two when the home is way up!

As the Holidays draw near we see the listing Inventories shrink.  This later half of 2006 has been a very slow 6 months indeed.  With job growth in Oregon and especially in the Portland regional area (Clackamas, Multnomah, and Washington County) one has to wonder why the slow down?  Was it based on real underlying economic hardships or was it more based upon perception of our buying public?

One can not deny the amount of negative publicity and media that Joe Public is being offered.  It is on the news everynight and in the paper everyday.  There is no doubt that people are scared to transact on homes.  Portland, Oregon Real Estate is some of the best in the country to own by all accounts.  Prices have not fallen all and all.  And yet buyers on average when we speak to them perceive this as a Buyers market.

There are some sellers that are moving, downsizing, or just needing to sell.  For these folks they will have to sell at the lower end of their value spectrum.  There is a range of value for every home on the market.  We generally see homes being sold with about a 5% value band either side of the best comparable value.  This Spectrum as I like to call it will be effected by location, floor plan, features, and quality.  It is the case that the same 2000 sf home in Portland can be $25,000 below or $25,000 above a mid level price.  So somebody needing to move a home would be likely to sell that home in 60-90 days at the lower end of that range.

But while these factors have played out many sellers are calling this markets bluff by removing their homes from the market and just deciding to wait things out.  As the end if the year approaches the market is actually shrinking in terms of selection and inventory of homes for sale.  This is a trend that may continue.

Banks shut off the supply of money to almost all new projects and are making sure that new homes for sale now will be the homes that must be bought up before new ones may be built.  There are some great opportunities to buy now and with rates at 5.5% we are seeing buyers begin to move in.  The media is at the same time starting to talk recovery and come back.  That is going to happen as 2008 rolls out.  The deals will be all gone by mid-year as things play out here.

Again we are strongly recommending that if you are in the market….if you need to buy a home in Oregon…be active and be ready.  The time to shop is now and the time to educate yourself is now as well.  The forces are in play for inventory to continue to shrink as well. 

Have a great Holiday and make sure to call us and discuss your real estate needs!

Regards;

Dirk Knudsen

Re\max Metro

503-799-8383