February Monthly Market Check In

February 8, 2024

With the inventory still very low historically, our experience is that many sellers are still expecting their homes to sell quickly.  Some homes are still receiving multiple offers and moving quickly, however most of them are taking some time to move.  The ones that are well prepared, detailed-clean, and have amenities that every buyer wants are the ones that get the most attention.  However, buyers are moving much slower these days.  Interest rates have held pretty flat over the last two months, so many buyers are holding tight waiting to see if they are going to drop even further.  The average Days on Market for Residential listings is 120 days from listing to closing.  Compare that with January of 2023 which was only 85 Days!  An average time for a transaction in Escrow is somewhere between 30 and 45 days.  
We are seeing more activity on our listings, which has been a very encouraging sign.  As the weather warms, we will see that activity pick up substantially.  Showing activity within the WVmls has increased 40% in the last 3 weeks alone!  We can always expect people to start moving around the closer we get to the Summer months with school & job changes, and the fact that people get the itch for adventure during the Summer months.  We would expect the market to slow down again the closer we get to the Fall, but that is speculation.  The last CPI report made the Federal Reserve hold rates again and the recent jobs report shows the “experts” that the economy is still moving along.  It is an election year, so expect the headlines to be increasingly positive on the economy!  It will be a very interesting year.
Our sales for January in the WVmls was 524 units, which is the lowest we’ve had in the Month of January since 2015 when we had 487 sales.  In 2017 we had 768 sales in January to give you a better frame of reference.  Since we specialize in Residential units, we have brought our attention that we only had 330 Single Family Residential detached homes sold in January.  The average sales price did tick up since the end of last year and the List/Sold price ratio is still holding very strong.  There are a number of price reductions on the market so it is important to note that the advertised price is the standard being used for that statistic.  Many sellers are having to reduce their asking prices in order to encourage more activity.  Pricing is critical in this current market.  The days of “testing the market” are over for most people, however timing can always be a surprise.  We have witnessed a number of homes sit for quite some time and then receive a bunch of activity.
It is so important for sellers to take the time to prepare their homes for the market.  Detail cleaning baseboards, window tracks, and all the cracks and crevices are where the smells hide.  Replacing end of life appliances and systems and roofs are going to make the home more sellable and worth more to buyers. Washing windows, caulking and painting, removing moss and all of the cosmetic items are so important to give buyers confidence that they are buying a home that has been taken care of.  Most of the consultations before listing take quite a bit of time and some investment.  The sooner a seller gives those details attention, the better experience it will be; and it usually costs less.  Waiting to go to market or until a buyer ties up the property usually costs the sellers more money and a less than desired experience.
Our goals are always to focus on our main points of emphasis:  

  1. Advanced Marketing, Presentation & Exposure
  2. Valuable & Success Negotiations
  3. Keeping our Clients protected through a Smooth Transaction

You have a lot of options, but we believe we are the best to serve you.  You always get what you pay for.

Current Active Listings (All Types)2261Down 1.9% from last month & up 11.4% from this time last year
Current Pending Listings844Up 14.3% from last month & down .4% from this time last year
Sold Listings Last Month524Up 4.5% from last month & up 5.7% from this time last year
New Listings Last Month814Up 35% from last month & up 6.3% from this time last year
Months of Inventory3.33Down 2% from last month & up 32% from this time last year
% List to Sold Ratio99.10%Up .7% from last month & up 1.3% from this time last year
Absorption Rate23%*Up 4.4% from last month & down 8.3% from this time last year
*Based on current active listings vs sold listings for the past month
Average Sales Price in All Categories$467,000Up 2.4% from last month & down 2.1% from this time last year
Average Residential Sales Price$495,000**Up .8% from last month & up 5% from this time last year
**Based on Willamette Valley Multiple Listing Statistics
Average Owner Occupied Interest Rates6.63%***Even from last month & up 8% from this time last year
***Based on Freddiemac.com Statistics of 30 year fixed mortgage+Some numbers are rounded

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Paramount Oregon Paramount Oregon
1008 12th St. SE Salem OR 97302
(503) 385-1518
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Principal Brokers & Brokers Licensed in the State of Oregon