571 homes were sold in Portland in May, up from 478 in April. I had predicted 500 and this is one of those times I’m happy to be wrong! While not quite up to last years numbers this is a good sign considering where we were at a few months ago. Average sold price continues to hover in the low $300,000’s and inventory continues to fall. These are all factors moving the market closer to a balance again.
Wild cards: Spikes in interest rates, stock market, continued rise in foreclosure listings & unemployment.
I’m predicting around 600 closed sales in Portland (areas 141, 142, 143 & 148) in June, hovering close to last months numbers. This is still far behind last years numbers so pricing will likely stay flat or slide slightly. First time buyers are still the strongest segment in the market and well maintained homes under 275k account for many of the sales.
Sales volume is a leading indicator for price. To help predict where the market is going I will be publishing sales volume trend reports and pending sales trends. The wisdom is that price follows volume so when you see a market trending higher in sales prices will soon follow up and when sales volume is low prices will stay flat or fall.