Portland Housing Affordability 8-11-2022

Portland's housing affordability update for 8-11-2022

As of August 11, 2022, the average 30-year fixed mortgage rate in the US rose to 5.22%, up from 2.87% last year at this time.

The Portland housing market saw a major drop in the number of listings sold in July, and a number of our Portland colleagues are reporting fewer showings for their active listings. Is this just the usual seasonal back-to-school slowing, or might this be the opportunity that buyers have been hoping for?

Buyers, now is the time to refresh your pre-approval letters and be ready to make an offer while competition has eased and before interest rates become prohibitive. Need to be put in touch with a lender? Reach out to us. We're here to help you achieve your real estate related goals.

The calculation of the reduction in purchasing power shown above assumes a 5% down payment, uses the average 30-year fixed rate mortgage rates reported by Freddie Mac for the weeks shown, and uses the average single-family sales prices as reported by the Regional Multiple Listing Service (Portland, OR area MLS).  No taxes or insurance figures are included.  The change in purchasing power is a scenario showing the change in purchase price given that the monthly payment in the previous time period would be the same monthly  payment in the latter, with all else being held equal.  The figures used are for illustration purposes only to convey to readers the impact changing interest rates and real estate prices have had on buyers and sellers.  We are not mortgage lenders; this is not an offer to lend money.  Please contact your mortgage lender to obtain quotes and to discuss mortgage loan programs that might be a fit for your circumstances.