Real Estate Predictions for 2017

Portland, OR Real Estate Podcast with Stellar Realty NW

Portland is one of the top markets in the country. Will that trend continue in 2017?

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This past year was another great one for the Portland real estate market. Multiple sources have already predicted another hot year in 2017, and we’re excited to bring you some of the latest numbers and predictions that show us where we’re heading.

The National Association of Realtors predicts a 4% increase in home sales, with more than six million sales in Portland. That makes us one of the strongest markets in the nation. Freddie Mac predicts a 4.7% increase in sales, while Zillow predicts a 3.2% increase and CoreLogic predicts a 5% rise.

Our market is a national leader in growth, and the regional MLS reported that the average sale price in 2016 was over $400,000. That’s a record high for Portland, with prices expected to rise even more this year.

Along with Denver and Seattle, Portland is one of the top markets in the country for predicted growth in 2017. Zillow predicts a 7.5% increase in prices and Vero Forecast predicts an 11.1% increase.

"There is a tremendous demand for housing."

Low interest rates strengthened the market even further this past year. They hovered around 3.5% for the most part but slightly increased after the election and toward the end of 2016. The Mortgage Banker’s Association predicts that rates will rise in 2017, but not above 5%. That still puts us in the “historically low” range for interest rates.

Those are the predictions for our 2017 real estate market, but what are some of the factors that influence them?

For one, Portland is one of the top relocation markets in the country. That creates a tremendous demand for housing here. Inventory is already low and with the large influx of homebuyers, demand is at an all-time high. We will continue to remain one of the strongest real estate markets in the nation.

With rates and prices expected to rise this year, now is a good time to buy or sell while demand is high and interest rates are low. If you have any questions for us, don’t hesitate to give us a call or send us an email. We would love to hear from you.