New, Vacant and Desperate
Record Double-Digit Price Drops
For the first time, more than half of all the properties tracked by Portland’s Desperate Sellers Database are showing double-digit price drops. Not too long ago 20-30% reductions were the fate of a select few. However, in the wake of double-digit home value declines for the Portland-metro area (see most recent Case Shiller Report), a number of sellers have either started to accept reality or are simple down to the wire. Among these, Single-Family-Home flippers and owners of newer construction condos are showing particular signs of Despair.
Despair Engulfs The Shoreline
The high watermark of Despair, until recently the domain of McCormick Pier, has now reached the Shoreline Condos (no pun intended). This 2005 waterfront development currently contributes 5 properties to the Pearl District section of the Desperate Sellers Database, several of them are among the most Desperate for this group.
There are a record 11 condos/town-homes for sale at the Shoreline including four bank-owned units and several short sales. Here’s a sampling of what’s going down at this luxury development just north of Portland’s Freemont Bridge:
- 3-bdrm town-home, 3.1 bath, more than 2000 SF. Seller put it on the market in late ’06 for almost 900k (!). Not much happened. Price then dropped to 799k. As recent as mid ’08 seller said “price is firm”. In December the bank took over and has now re-listed this river-view beauty at a shocking $222/SF.
- Looking for a 2-bdrm condo in the Pearl for less than 400k? How about 1500 SF spread out over three levels? Not too long ago you would have been looking at 479k – and at virtually every other development in the Pearl you still are. Now you can enjoy that bathroom with jetted tub and glass enclosed shower for 399k.
100% Financing Makes a Comeback
Leave it to the condo developers to prove you wrong! Just when you thought all financing had dried up, 100% financing starts making the rounds again. After months of flat sales at this inner southeast condo project, this developer has returned to “old-fashioned” means to to attract buyers – no money down, 100% financing.
