Experts: Metro housing meltdown could be over

Credit: AP

In this June 16, 2009 photo, a new home sign points to a home in Happy Valley, Ore. The government said Monday, July 27, new U.S. home sales rose by the largest amount in nearly nine years last month, in another sign the housing market is finally bouncing back from the worst downturn in decades.(AP Photo/Rick Bowmer)


by Joe Smith, KGW business reporter

Posted on March 26, 2013 at 5:55 PM

Updated Wednesday, Mar 27 at 9:36 AM

PORTLAND -- The latest housing numbers suggest Portland home values could be on the rebound.

The percentage of home sales in the Portland market has gone up 8.3 percent compared to sales in 2012, with an average selling price of $287,700.

“It's always market dynamics,  supply and demand. Supply is way down and demand is high,” said Brian Allen-Windermere with Cronin & Caplan. “Interest rates are low, so that's what's pushing prices up right now.”

Underwater mortgages were down to about 17.7 percent in the fourth quarter of last year. That's down slightly from 18.2 percent the previous quarter.

Also, the delinquency rate of mortgage loans 90 days or more past due has dropped.

Appreciation, on average, in the metro area is around five percent, analysts said. It's higher in neighborhoods located near Portland’s city center, at about ten percent.

Many realtors said they’re getting multiple offers on homes, which has also driven up prices.

The latest national figures for January showed sales and prices at their highest since 2006.