Portland Real Estate Market, October 2022

The national real estate market has seen unprecedented times over the past two years, and the Portland real estate market is no exception. From monthly market reports for Portland proper to updates for the city’s surrounding suburbs, we’ve consistently tracked how the real estate market has unfolded to give you a clear idea of the trajectory of the industry. Check out our full 2023 Portland real estate forecast here.

Portland Real Estate Activity is Decreasing Across the Board

According the the most recent RMLS report, new listings saw a 13.2% decrease in August 2022 ( to 3,209) from the same time in 2021. With buyers taking a pause, in light of rising interest rates and a predicted recession, pending sales dropped to 2,530 in August 2022, a 28.4% decrease since August 2021. As would be expected, closed sales also fell in the past year from 3,219 in August 2021 to 2,581, a 19.8% decrease.

See the table below for a side-by-side comparison.

New ListingsPending SalesClosed Sales
August 20213,6983,5353,219
August 20223,209 (-13.2%)2,530 (-28.4%)2,581 (-19.8%)
Data from RMLS

The visuals below give a clear overview of listing activity in Portland since 2019. The notable drop in listings since June 2022 is obvious. Homeowners noticed the slowdown in the market right away and less have since put their homes up for sale.

Graph from RMLS

Likewise, pending sales have dropped even more, far below what the Portland real estate market has seen in previous years.

Graph from RMLS

Naturally, fewer listings means fewer options for buyers, which translates to fewer closed sales.

Graph from RMLS

Home Prices are Starting to Drop in Portland

Average home prices in Portland rose 8.6% from August 2021 to August 2022, per the RMLS report, from $570,100 to $619,200. But most of this increase came from the hot spring months, and you can see from the chart below that home prices have recently started to drop.

Graph from Fidelity National Title

Portland Real Estate Inventory

Inventory is rising in Portland, as it typically does this time of year. While inventory isn’t rising as fast as it did in Aug. of 2021, there is still more available for sale Aug. 22 than there was Aug. 21. Much more. This is because we entered August 22 with a lot more inventory than usual from a much slower summer season than we had in 21. You can see we are already at a 2 year high for available inventory.

Portland Real Estate Days on the Market

While quadrants and neighborhoods vary, in general, Portland is seeing a lengthening of market time, slightly surpassing that of the same time in 2021.

Graph from RMLS

Portland Real Estate Market by Quadrant

For a closer look at how Portland real estate is performing, we looked at the numbers per quadrant for the past month, compared to this same time of year in 2021. As you’ll see below, SE Portland had the biggest drop in pending sales, and close behind was N Portland. N Portland had the least amount of new listings by quite a bit, compared to the other quadrants, causing this part of the city to have significantly lower closed sales than any other area of the city.

New ListingsPending SalesClosed SalesAverage Sale PriceDays on the Market
N Portland14098 (-29.5%)103$501,20029
NE Portland407228 (-22.4%)243$605,60028
SE Portland285289 (-29.9%)312$539,00028
W Portland363264 (-27.3%)266$776,80039

Portland Condo Real Estate Market

Portland’s condo market has been sluggish for a few years now, and while prices have climbed, as seen in the graph below, they haven’t come close to matching price increases in the single-family segment.

Graph from RMLS

The slowing in the market has, of course, carried over to condo sales, with active listings far outnumbering closed sales.

Graph from RMLS

Want the Advice of a Seasoned Portland Real Estate Agent?

We’ve seen a lot in our almost 20 years in the industry in the Portland metro area, and we’d love to help you sort out how you can successfully sell your home or buy your next. Contact our top 1% seller’s agents at 503-714-1111 or our top 1% buyer’s agents at 503-773-0000. You can also chat with the bot on our site. We’d love to connect with you today!

September 19, 2022
AUTHOR

Stephen FitzMaurice

Stephen FitzMaurice, Realtor is a top 5% real estate agent in the U.S. A Principal Broker in Oregon, Managing Broker in Washington, he has been licensed since 2003 for residential real estate sales. Call his team in Oregon at 503-714-1111 or in Washington at 360-345-3833.

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