Hillsboro, Oregon Real Estate Market, 2023 Update and 2024 Forecast
Each month we profile one of Portland’s many suburbs and provide a snapshot of the current real estate conditions in the area. For more real estate information on the suburbs we have covered, take a look at our Portland Suburb Real Estate Market Reports.
This month we focus on the suburb of Hillsboro, whose city center is located about 20 miles from downtown Portland. Hillsboro is known for being home to Intel‘s Oregon campus, minor league baseball team the Hillsboro Hops (with construction underway to build a new, larger stadium that will be able to accommodate events and concerts), and Oregon’s second-busiest airport. This suburb also contains more than 30 parks over 1600 acres, including Hondo Dog Park, Orenco Woods Nature Park, Noble Woods Park, Rood Bridge Park, Jackson Bottom Wetlands Preserve among others. Hillsboro’s entertainment and cultural highlights also include the Next Level Pinball Museum and the Rice Museum of Rocks and Minerals, and it was recently recognized by Livability for the third year in a row as one of the best places to live in the United States. Besides its plentiful parks and attractions, the ranking also took into account ease of transportation (including the MAX line), a focus on sustainability, and other significant amenities.
Hillsboro’s Housing Inventory is on the Rise
Since its peak at the end of September of 2022, Hillsboro’s housing inventory has steadily decreased until it began to rise again in June. Inventory is still currently increasing, as seen on the chart below, which reveals that the market is turning from favoring sellers as it did in the spring to start to benefit home buyers with a larger pool of available homes to choose from.
Hillsboro’s proximity to Portland means that its real estate market behaves in similar ways, and that includes the seasonal trend of strong market activity in Spring followed by decreasing sales and increasing inventory in the summer months. While the selling season can sometimes last through the summer in hotter markets, it is beginning to taper off due to this year’s overall cooler market. Thus, we expect to see housing inventory in Hillsboro continue to rise through the end of the season and into the fall and winter months.
Hillsboro Real Estate Prices Are Remaining Steady
Home prices in Hillsboro began to decline in June of 2022, then leveled off in August and continued to remain relatively stable throughout this year, as the price per square foot chart from Fidelity illustrates. If the inventory of available detached homes continues to grow over the next few months, this will lead to the increasing price drops that come with market saturation.
Hillsboro Average Days on the Market
We can visually see on the chart below how mortgage rate increases have affected the real estate market in Hillsboro in much the same way as the entirety of the Portland metro area. Beginning last summer, homes began to sit on the market much longer as market activity slowed. And even with the gradual drop in market time over the last few months, turnover for the average home still remains a lengthy 74 days. Due to Hillsboro’s currently increasing inventory, we can reasonably expect the length of days on the market for detached homes to begin increasing in the near future.
Hillsboro, Oregon Homes for Sale
Browse all Hillsboro homes for sale using the interactive map on Portlandhomesforsale.com.
Hillsboro, Oregon Real Estate Market 2024 Forecast
This year’s seller’s market in Hillsboro is coming to an end, marked by increasing housing inventory, stagnant prices and a high number of days on the market for listed homes. While the relative decrease in market time since April points to ongoing buyer activity, we know from our extensive experience that the amount of active buyers begins to decrease toward the end of the selling season. Due to these factors, we should continue to see rising inventory combined with lower prices through the end of summer and well into the fall and winter months.
Hillsboro‘s desirability as a place to live and the recent exponential growth of Portland’s suburbs means its housing market will likely rebound in 2024. The metro area has experienced a cooler real estate market this year overall, and the summer and fall are when market activity begins to slow down, year after year. Looking ahead to the spring of 2024, we expect to see an influx of new buyers competing for available homes and driving price increases once again. We forecast home prices will increase in Hillsboro, Oregon in 2024 by 5%, after a relatively stagnant 2023.
Want to Buy or Sell a Home in Hillsboro, Oregon?
If you are interested in buying your next home in Hillsboro or want to list your current home, our top buyer’s and seller’s agents are ready to help you. We will utilize our 20+ years of experience buying and selling in the Portland metro area and its suburbs to help you negotiate the best terms, and use our optimized marketing strategy to give your home the best exposure online. On top of this, we charge a lower than average commission rate while providing you with superior service. Chat with the bot on this site or give us a call at 503-714-1111 today!
