The number of homes sold in Portland in August was down slightly from July, breaking a six month “up” streak.
2013 has been a very good year for Portland home sales. February saw about 500 homes sold, and each month since then has seen a dramatic increase — peaking in July at more than 1000 homes sold.
Real estate agent, Nick Krautter, thinks the lower August numbers show the market may be cooling off as mortgage rates climb.
“Interest rates go up one percent, you have to buy something 10 percent less expensive to have the same payment. And on top of that, the buyers lost buying power because of prices just going up. In a lot of the close in markets we’ve seen prices go up probably 30 percent from the bottom in just 18 months,” Krautter says.
A low inventory of homes in Portland has been responsible for pushing up prices. But Krautter says the August figures show inventory is now up 9 percent over last year as people see their home values bouncing back and they become more willing to move.