Months of residential housing supply, also known as inventory, is the measurement of how many months it would take for the current inventory of homes on the market to sell given the current pace of home sales. For example, if there are 50 homes on the market and 10 homes selling each month, there is a 5-month supply of homes for sale.
Months of housing supply is a good indicator of whether the real estate market is favoring buyers or sellers. Typically, a market favoring sellers has less than 3 months of supply of homes and a market with more than 6 months of inventory indicates a favor to buyers, 3-6 months would be a balanced market.
September 2018 is the first month of over 2 months of inventory in Lane County this year.
Per Regional Multiple Listing Service, Lane County saw some cooling this September, most measures are still ahead for year to date. New listings (483) decreased 7.8% compared with last year in September 2017 (524) and 32.1% from last month in August 2018 (711).
Inventory increased to 2.4 months in September. Total market time remained steady at 36 days during the same period.
Comparing 2018 to 2017 through September of each year, the average sale price has increased 6.6% from $288,300 to $307,300. In the same comparison, the median sale price rose 8.1% from $260,000 to $281,000.
The inventory turnaround is concentrated in high-priced markets. Nationally, inventory of homes listed above $350,000 is up 5.7 percent, while inventory of homes below $200,000 is down 15.6 percent, and inventory of homes between $200,000 to $350,000 is virtually flat, slipping just 0.6 percent. In the 45 largest metros, prices are significantly higher in markets where inventory is rising — an average of $494,000 — compared to markets where inventory is still dropping — an average of $302,000. Additionally, inventories are up the most in markets that have experienced sustained price growth which is now starting to slow.
The U.S. median listing price remained at an all-time high of $299,000 in July, unchanged from June and 9 percent higher than last year. Homes sold in an average of 59 days, 5 days faster than last year. Overall, U.S. active housing inventory is not yet growing, but showed evidence of shifting gears, posting only a 4 percent decline year-over-year — significantly slower than the 8 percent average decline over the last 12 months. Furthermore, 16 major metros saw an increase in their yearly inventory levels.
Matt R. Powell and Elliott Wood are owners of Windermere Real Estate/Lane County with residential and commercial offices in Eugene, Florence and Vida Oregon.
Windermere Real Estate Dedicates Annual
Community Service Day to FOOD for Lane County
EUGENE, Ore. — Local real estate brokers and staff from Lane County put their own spin on Windermere Real Estate’s annual Community Service Day by volunteering at FOOD for Lane County on Friday, June 8. Each year, Windermere Real Estate brokers, managers, owners and staff from 300 offices across the Western United States gather together to devote their workday to making positive changes in the neighborhoods they serve.
WHAT: This is the eleventh year Windermere Real Estate/Lane County brokers will be volunteering at FOOD for Lane County on Community Service Day. Brokers will spend the day tending to the nonprofit’s 2.5-acre GrassRoots Garden. Produce harvested from the garden is distributed directly to more than 150 hunger relief agencies.
WHEN: Friday, June 8, 2018 — 9 a.m. – 12 p.m.
This is a unique way to highlight a local charity and business. Reporters are invited to stop by the event to pair this story with interesting visuals.
Established 34 years ago, Windermere’s annual Community Service Day has been recognized nationally as a model hands on volunteer program and has been adopted by other real estate companies and businesses around the country.
ABOUT WINDERMERE REAL ESTATE/LANE COUNTY
Owned by Matt and Tanya Powell ⎼ lifelong Eugene residents ⎼ and Elliott Wood, Windermere Real Estate/Lane County operates offices in Eugene, Vida and Florence, Ore.
ABOUT WINDERMERE REAL ESTATE
Windermere Real Estate is ranked the largest regional real estate company in the Western U.S. with over 300 offices and 6,500 agents serving communities in Arizona, California, Colorado, Hawaii, Idaho, Montana, Nevada, Oregon, Utah, Washington and Mexico. Last year, Windermere closed over 85,000 home sales for more than $33.2 billion in volume. The Windermere family has a proud heritage of serving our neighbors via the Windermere Foundation which funds services for low-income and homeless families. Since 1989, the Windermere Foundation has contributed more than $33 million towards improving lives in the communities where we live and work. For more information, visit www.windermere.com.
2017 Windermere Real Estate/Lane County – Foundation Funds
Windermere Real Estate/Lane County donated $13,504 from local real estate commission checks last year to the following organizations: School Garden Project, Shelter Care, Food for Lane County, Looking Glass and Center for Community Counseling.
Windermere Foundation regionally collected over $330,000 in donations in the first quarter of 2018. Windermere Real Estate has raised $35,869,961 raised since 1989. A total of $521,916 has been donated so far this year to help organizations provide services to low-income and homeless families in our communities.
Additionally, each year individual Windermere offices schedule a Community Service Day where the community is the focus through a specific, highly focused work day which has an impact locally. For Windermere Real Estate/Lane County this will mean another year working at Grassroots Garden on June 6th.
Grassroots is affiliated with Food for Lane County and grows 60,000 pounds of food to assist Lane County residents each year. The Windermere Community Service Day is helpful to Grassroots as it is a kick off for the coming growing season where major land clearing, soil amendment, planting and weeding are accomplished, and new planting areas such as the 2017 Windermere Blueberry Patch are established.
Reflecting on 2017 and looking at the first couple months of 2018 our market continues to be fueled by low inventory and a high demand on housing.
During 2017, February and September had the highest months of inventory at 2.2 months per the Regional Multiple Listing Service (RMLS). May was the month that saw the lowest months of inventory at 1.6 and the overall monthly average for the entire year of 2017 was 1.9 months of inventory.
We consider 3-6 months of residential housing inventory to be a balanced market. Over 6 months of inventory would be considered a Buyer’s market and below 3 months, a Seller’s market. The supply and demand issue we saw in Lane County in 2017 helped home prices see a healthy level of appreciation throughout the year.
Activity in 2017 ended slightly ahead of what 2016 produced. Comparing the entirety of each year, new listings (6,390) increased 3.5%, closed sales (5,204) increased 0.8%, and pending sales (5,254) increased 0.2%.
Comparing all of 2017 to 2016, the average sale price rose 9.2% from $263,700 to $287,900. In the same comparison, the median sale price rose 9.7% from $237,000 to $260,000.
As the overall economy continues to grow in 2018, the historically low interest rate level we have experienced for years will likely grow as well. Interest rates rising at modest levels should not be much of a concern, however, they remain a factor in affordability. The Lane County real estate market is very unique in that is has great opportunities for everyone. Sellers are benefiting from strong prices and buyers are benefiting from being able to lock in interest rates that currently are still well below historical averages.
We are encouraged by positive economic growth throughout Lane County and anticipate a healthy year with moderate growth in regards to homes sales and price appreciation.
Matt R. Powell
FLORENCE, Ore. — Windermere Real Estate/Lane County is responding to the Florence area’s expanding real estate market by relocating the local office to a larger space. The expansion marks the continuation of Windermere’s long history in Florence. The move, which took place last month, solidified the transition of ownership from Dale and Terrie Saari of Windermere/Florence Real Estate to Windermere Real Estate/Lane County.
Community members are invited to a grand opening party set for April 7th, 4 – 6 p.m., at the new office, which is located at 1625 12th Street. Boasting a remodeled exterior and spruced up interior, the new office location provides room for Windermere’s growth as a key player in the booming local market.
“We are excited to continue Windermere’s presence in Florence and expand our services across Lane County. As the county’s largest real estate company we hope our resources and systems will benefit the brokers and clients in the area,” said Matt Powell, Windermere Real Estate/Lane County Co-Owner. “The Florence real estate market is filled with potential. We envision being part of that growth and are excited to get involved with the community on a deeper level.”
Current owners of Windermere/Florence Real Estate, Dale and Terrie Saari, along with their brokers, will merge with the incoming team at the new Windermere Real Estate/Lane County office. Windermere Real Estate/Lane County now operates five offices spanning the entire county, which ranks sixth largest by area and fourth by population among Oregon’s 36 counties.
ABOUT WINDERMERE REAL ESTATE/LANE COUNTY
Owned by life-long Eugene residents, Matt and Tanya Powell and Elliott Wood, Windermere Real Estate/Lane County operates offices in Eugene, Vida and Florence, Ore. Windermere Real Estate/Lane County is the largest real estate company in Lane County.
ABOUT WINDERMERE REAL ESTATE
Windermere Real Estate is ranked the largest regional real estate company in the Western U.S. with over 300 offices and 6,000 agents serving communities in Arizona, California, Colorado, Hawaii, Idaho, Montana, Nevada, Oregon, Utah, Washington and Mexico. Last year, Windermere closed over 85,000 home sales for more than $33.2 billion in volume. The Windermere family has a proud heritage of serving our neighbors via the Windermere Foundation which funds services for low-income and homeless families. Since 1989, the Winder Foundation has contributed more than $33 million towards improving lives in the communities where we live and work. For more information, visit www.windermere.com.
Many people who have been looking to buy a home have been dismayed especially if their heart is set on Lane County’s $300,000, and below, sweet spot. Not only has there been record-low listings on the market, more and more buyers are entering it.
While the price that is offered on a listing is important, buyers may be surprised to learn that savvy sellers and their real estate brokers consider much more than price when sifting through an array of offers. Here’s how buyers can remain competitive, while attempting to stay sane, in a crazy marketplace:
Court the Seller
Knowing that they have a fighting chance is likely the first part of staying sane for buyers. Putting their best foot forward through the offer that is written on the home increases the odds. Beyond the offering price, buyers need to consider other sticking points in the offer, such as the terms, inspection details, timelines and more. They should examine everything from the seller’s point-of-view, working within the seller’s interests too.
Write a Clean Offer
A big part of writing a winning offer falls into the financing arena. Many buyers may need to get creative with the financing, such as obtaining FHA loans or wrapping in the closing costs. While convenient for those who need cash to pay closing costs, adding such costs to the financing increases the loan price, possibly making it harder for the home to meet the bank’s appraisal price. In a competitive market we advise our buyers to avoid these strategies so they are submitting the cleanest offers possible. This means not asking for items that go above and beyond an appropriate price.
Misconception Around Appraisals
Appraisals can get tricky in a market where the houses are going for five to ten percent over asking price. We aren’t seeing this yet in Lane County. The multiple offers we’re receiving are typically a few thousand dollars over asking price.
But let’s say we are dealing with these high offers. Many buyers think that if the house doesn’t appraise (which means the buyers don’t get their loan), they’ve offered too much for the house. In most cases this isn’t true. The appraisal process simply hasn’t had time to catch up to the market. The market in general sets the value of any home, with appraisals typically lagging behind the market. If a home sells for much higher than other properties in the area, it will increase the value of the other properties, but it takes the bank’s appraisal process time to digest this.
Slow down in a fast market?
Its been said that buyers who are uncomfortable with the frenzied pace of the market just need to slow down. Solid advice but hard to do. Slowing down in this market can mean the loss of an ideal home. Much like in any sport, competitors must match the pace of the other players to have a fighting chance. However, buyers could have the luxury of slowing down if they obtain the right real estate counsel. Getting into temporary housing at month-to-month commitments can also help buyers remain selective during their home search so they aren’t forced to settle.
Let Go of Emotion
The emotional piece of buying a home presents another conundrum. How do buyers set emotion aside when residential real estate, especially for primary residences, is inherently emotional? Most people spend the majority of their time in their primary residences.
It’s impossible to be void of emotions when it comes to where we find solace, comfort and community. The key is managing those emotions. This type of emotional management comes with the help of good real estate counsel that assists buyers in identifying their wants and needs — and then most importantly guides them in understanding the difference between these two. Sleepless nights, incessant arguing and upset stomachs can be avoided when buyers work with these professionals to structure a solid game plan they diligently stick to. A good support system that arms buyers with financing, inspection and escrow connections can also help buyers sidestep tedious roadblocks.
Although real estate can be stressful, and some days even heartbreaking, I hope that Lane County buyers will try to enjoy this whirlwind of a process. Most buyers will only get to experience the exciting high’s and low’s that the market brings only a few times in their lives. If buyers understand they are in a fortunate position to have the means to buy a home — many people can only dream of this — it may be just what they need to march forward toward happy homeownership.
By, Matt R. Powell, Owner & General Manager
Eugene, Ore. — Windermere Real Estate/Lane County is pleased to announce the comeback of its popular benefit concert, with headliner Hit Machine. A portion of the proceeds from the event will benefit the Springfield/Eugene chapter of local nonprofit, Habitat for Humanity. Hit Machine — a Northwest band known for playing hits from all eras — will take the stage on Thursday, May 26, at Venue 252.
Windermere Real Estate/Lane County’s benefit concerts have been popular is years past — attracting everyone from real estate brokers and their clients to community partners and the public, raising more than $35,000 for local nonprofits.
A portion of the proceeds will benefit Habitat for Humanity’s Springfield/Eugene chapter.
WHEN: Thursday, May 26, 2016
Doors open at 7 p.m.
Concert goes from 8 – 11 p.m.
WHERE: Venue 252
252 Lawrence St.
Eugene, OR 97401
TICKETS: Purchase in advance for $20 at windermerebenefit.eventbrite.com
Purchase night of concert for $25
Call 541-484-2022 for more information
“Habitat for Humanity has been a long-time community partner of ours, and we are looking forward to raising funds and awareness for the nonprofit’s good work,” said Tanya Powell, co-owner of Windermere Real Estate/Lane County. “Habitat for Humanity is dedicated to providing low-income Lane County residents safe and affordable housing — mirroring Windermere’s mission, which extends beyond helping clients buy and sell homes into creating better communities.”
Windermere Real Estate/Lane County has a long-standing tradition of giving back to the community. In addition to the Habitat for Humanity benefit concert, Windermere brokers and staff also participate in annual community service projects and donate a portion of every commission to the Windermere Foundation. In the past, contributions have benefited a variety of Lane County programs, including: Looking Glass Youth Services, Committed Partners for Youth, HIV Alliance, Little Eagles Literacy Program, Campfire, Springfield CHORE Program, Relief Nursery, FOOD for Lane County and Shelter Care.
ABOUT WINDERMERE REAL ESTATE/LANE COUNTY
Owned by life-long Eugene residents, Matt and Tanya Powell and Elliott Wood, Windermere Real Estate/Lane County operates offices in Eugene and Vida.
ABOUT WINDERMERE REAL ESTATE:
Windermere Real Estate is ranked the largest regional real estate company in the Western U.S. with over 300 offices and 7,000 agents serving communities in Alaska, Arizona, California, Colorado, Hawaii, Idaho, Montana, Nevada, Oregon, Utah, Washington, and Mexico. Last year, Windermere closed over 86,000 home sales for more than $31.7 billion in dollar volume. The Windermere family has a proud heritage of serving our neighbors via the Windermere Foundation which funds services for low-income and homeless families. Since 1989, the Windermere Foundation has contributed more than 30 million dollars towards improving lives in the communities where we live and work. For more information, visit www.windermere.com.
Gaining Perspective On The Real Estate Market
We are sure to hear much more discussion about the future of the real estate market, and many are eager to speculate – for better or worse – about what lies ahead. With so much information from which to draw, it can be challenging to stay focused on what’s best for you and your family. Despite all the chatter, it’s important to keep grounded perspective on your personal real estate situation and to make decisions that reflect your needs and enhance your life.
What’s Your Market DNA?
We hear a lot about the “national real estate market.” But how does this information affect us and our own real estate decisions? David Lereah, Former chief economist for the National Association of Realtors, outlines his answer in a book titled All Real Estate Is Local. Lereah debunks the idea of a “national market” and explains how each individual city, town and neighborhood has what he calls “it’s own DNA.” From proximity and aesthetics to the local weather and economy – there are unique characteristics that influence the desirability of any specific area, and conditions can vary from town and neighborhood to neighborhood.
This concept reminds us that while national housing news might give us a collective view of all real estate markets, it’s important to remember that each market is unique and what might be reported as a national average may not reflect what’s happening on your block. It’s crucial to understand the factors affecting your individual market in order to determine the best choice for you.
The Value of a Full-Service Broker
Real estate markets continually ebb and flow, and it’s natural for adjustments to occur from time to time. As these local and national fluctuations take place, it becomes even more essential to enlist an experienced, full-service real estate professional to help navigate your real estate moves. Windermere Real Estate/Lane County brokers know that your home is more than just a transaction – it’s your life. And the more complex the housing market gets, the more important it is to have a trusted partner on your side to help protect your interest and plan for your future.
Each one of our 120 brokers are committed to exceeding expectations through exceptional service. Our brokers understand your unique market and are there to guide you safely through the process with knowledge, understanding and compassion.
So market conditions may vary, but the experience you will receive from Windermere Real Estate/Lane County will not. We will exceed expectations.
The market continues to be very active with low inventory and rising average prices (a simple supply and demand issue). In Lane County, Oregon July was the best month for closed sales since August 2005. Closed sales were up 30%!
With possible rising interest rate, historical seasonal patterns, and the robust year-to-date activity, we are anticipating a slower fourth quarter with regards to number of closed sales.
However, anticipated continued price appreciation from 0-6%. It’s important to remember real estate is very location-specific and values vary neighborhood to neighborhood.
In addition to real estate being very local we are seeing more activity under $450,000 and a softer market above 450,000. As 2015 has moved along demand for “upper end” homes has seem to decline.
Lane County’s closed sales in July (542) increased 39.0% over the 390 closings that occurred in July 2014, and a 1.1% over the 536 closings from last month in June 2015. It was the strongest July for closings in Lane County on the RMLS™ record, and the best month for closings since August 2005, when there were 571 closings posted. Pending sales (524) were also strong, increasing 39.7% over the 375 offers accepted in July 2014, but falling 5.9% short of the 557 offers accepted last month, in June 2015. New listings, at 647, beat last July’s 646 new listings by just one (0.2%) and fell 4.9% short of the 680 new listings posted last month (June 2015).
Comparing 2015 to 2014 through July of each year, the average sale price rose 3.5% from $235,000 to $243,300. In the same comparison, the median sale price rose 4.3% from $211,000 to $220,000.
Note: Lane County excluding Florence, Oregon
Real estate activity in the Portland metro area saw increases across the board compared to July of last year. Closed sales outpaced all measures—the 3,452 closings bested last month (3,302) by 4.5% and last July’s 2,678 by 28.9%. In fact, it was the best July for closings in Portland on the RMLS™ record!
Pending sales (3,494) fell 3.1% short of the 3,605 offers accepted last month (June 2015) but surpassed the 2,802 offers accepted in July 2014 by 24.7%. The last July with more pending sales in the Portland metro area was in 2005, when 3,792 offers were accepted. Similarly, new listings (4,273) were 0.2% cooler than in June (4,280) but outpaced July 2014’s 3,954 new listings by 8.1%.
Inventory increased very slightly in July, and currently sits at 1.7 months. Total market time increased just as slightly, now standing at 45 days. There are currently a total of 5,708 active residential listings in the Portland metro area.
Prices continue to rise in 2015 compared to 2014. Comparing each year through July, the average sale price rose 6.1% from $331,400 to $351,600. In the same comparison, the median sale price rose 7.0% from $284,900 to $304,900.
Information in this report is provided through data and information by RMLS (Regional Multiple Listings Service), RLID (Regional Land Information Data), and Trengrahix Statistical Analysis.
Matt R. Powell is the Co-Owner of Windermere Real Estate/Lane County, Windermere Commercial, and Trinity Real Estate Services located in Eugene, Oregon. Real Estate companies providing residential, commercial, and REO asset management services throughout Oregon.
RECORD-BREAKING CROWD SHOWS RECORD-BREAKING GENEROSITY Habitat blows past $70,000 goal to raise $105,000 in one hour!
EUGENE, Ore.—April 28, 2015 “Today, we are here to build a house in an hour!” These were the words spoken by Jean Stover, Resource Development Director for Springfield/Eugene Habitat for Humanity, at the 2015 Benefit Breakfast. This year’s theme was “Rise to the Challenge: Build a House in an Hour!” At the end of the hour, the sell-out crowd built 1 ½ houses.
In an unbelievable show of generosity, 380 people RSVP’d to attend the breakfast at the Hilton Hotel, donating a record-breaking $105,000! The goal was $70,000, as that is the amount Habitat needs to purchase materials and supplies to build a house.
New to the event this year was the Challenge Team, composed of seven young business leaders who pledged a total of $35,000 prior to the event, representing half of the goal. They “laid the foundation”, then challenged the community to “raise the walls and roof to finish the house”. The response was overwhelming, as people opened their hearts and wallets to help families live in a decent home of their own.
The seven Challenge Hosts were:
Jordan Pape, CEO, The Pape Group
Jason Pellegrini, CEO, Quantum Health
Matt and Tanya Powell, Elliott Wood, Owners, Windermere Real Estate
The crowd was inspired by Guest Speaker, Mr. Clive Rainey, who joined Habitat International in 1977 as its very first volunteer. He brought the concept of “sweat equity” to Habitat, which is a key element of Habitat’s successful program. During his 35 years of service, Clive helped make Habitat for Humanity one of the most recognized brands in the world.
Guests also heard from the daughter of a Habitat family. Rosalba Montes told the story how her parents frequently travelled between Mexico and Oregon with three young daughters, searching for work. Finally settling in Oregon, eventually they were accepted into the Habitat program. With the stability of their Habitat home, all three daughters excelled in school, each earning their Master’s Degree. Rosalba is currently the Spanish teacher at Churchill High School.
Recognizing the powerful impact Habitat has on families and on our community, guests reached deep to build hope and change lives for people like the Montes family. “It is truly inspiring to see our guests rise to the challenge to lend a hand up, not a hand out, to those in need” said Ms. Stover.
The Challenge is still open. With a few more donations, enough could be raised to build TWO houses from this one exciting event. To donate, visit www.sehabitat.org or call (541)741-1701.
About Springfield/Eugene Habitat for Humanity
Habitat is an ecumenical Christian ministry dedicated to eliminating poverty housing. The Springfield/Eugene Habitat for Humanity affiliate is one of 2100 affiliates worldwide that have built, rehabbed, and repaired over 800,000 houses serving over four million people in need of safe, decent, affordable housing. Springfield/Eugene Habitat’s ReStore accepts donated new and used building materials , furniture and home improvement items for resale to the public with proceeds supporting Habitat’s work in increase affordable housing in the community. Call Habitat at (541)741-1707 for more information and to learn how you can help.
Jean Stover, Springfield/Eugene Habitat for Humanity