Portland's REO Hotspots

Posted on 06/26/09 10:49 AM

REOs Account For One In Five Sales In Portland

As of the end of June there are roughly 450 REOs listed in the Portland-metro area, representing a mere 4% of the total inventory. However, REO sales accounted for almost 20% of the area’s sales last month. REO sales are particularly dominant in Clackamas county where more than a quarter of all transactions involve property that is bank-owned. In Multnomah and Washington county, where land constraints and more rigid planning authorities have curtailed housing growth, one in every six homes sales is a REO.

- Share Of REO Sales vs. Total Sales By County (June 2009) -

REOs Sell Faster Than The Norm

On average 50 properties are repossessed each week across the Tri-County area (see Foreclosure Files). Once they hit the market most REOs tend to move a lot faster than the norm. Thus, in Multnomah county where there are 216 REOs listed for sale towards the of June, more than 116 bank-owned properties closed over the last month. Although REO inventory in Clackamas and Washington county is roughly half that of Multnomah county, both counties racked up more than 75 REO sales (each) in the month of June.

- REO Listings vs. REO Sales For June 2009 -

Top Ten REO Hotspots

Although delinquencies and defaults are moving up the food chain, the bulk of the current REO activity (both listings and sales) remains a suburban phenomenon. Not surprisingly several Clackamas county areas are among the top REO locations based on the number of current REO listings and sales.

- REO Listings For June 26 vs. REO Sales Last Month by Area -

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Happy Valley’s Bella Casa Subdivision alone supplies more REO inventory than several inner southeast zip codes combined. However, unlike neighboring Pleasant Valley or Lake Oswego, REOs are moving at a healthy clip in places like Happy Valley and Lents – the latter now provides more than 125 homes priced below 175k.

Portland’s Weekly Real Estate Repos