Portland Condo Quarterly Q1/2010
Portland Condo Prices Ticking Up
For the first time since prices began to slide in late 2007, condo prices for Portland’s city center condos are trending upward. The median sold price for downtown Portland condos in Q1/2010 came in just under 300k, up roughly 25k over the last quarter. Twelve-month rolling averages have also been on an upward trajectory since the end of 2009.
One In Five Condo Sold Was Bank-Owned
Price points for Portland condos continue to be influenced by accelerated marketing programs, such as the recent John Ross auction, as well as bank repossessions. Roughly 20% of all condos sold in Portland’s downtown condo market were bank-owned, less than a dozen transactions were short sales. The Meriwether in Portland’s South Waterfront led the pack recording approx. one bank-owned sale per month over the last quarter. The foreclosure baton will likely soon be passed to the Civic Condos, which currently has the highest number of bank-owned condos for sale in Portland.
Eighty Percent Of All Condos Sold Close Below Asking price
The vast majority of condos for sale in Portland still close below asking price. In the first quarter of 2010, less than a quarter of all condos sold at or above asking price. With more than 600 new downtown condos left so sell, discounts have been highest among sellers of new construction inventory such as the 937 condos in Portland’s Pearl District or the John Ross Condos in the South Waterfront. In the re-sale category, some of the steepest discounts were achieved at the Eliot condos, where half a dozen buyers secured deals at 20k or more below asking price.
Sales Volume Down From Previous Quarter, Up From A Year Ago
Approximately 145 condos sold in Portland’s city center over in the first quarter of 2010. That’s about 50 units more than during the same period last year, but down from Q4/2009 by about 70 units. Bear in mind the year end quarter had been particularly strong, eclipsing Q3 (typically the strongest quarter) by 15 percent.
As has been the case over the last couple of quarters, the John Ross Condos have been among the top producers in terms of volume. More recently however, the Strand has begun to feature more prominently. This new construction waterfront development in downtown Portland is down to the last handful of units. In an effort to close out sales, the developer (who also built the Westerly) has been inclined to negotiate with buyers to a greater extent than the selling consortium at the Encore or Atwater Place.
Inventory Climbs Back Up In Seasonally Weak First Quarter
As expected, shadow inventory is increasingly being released into the market, as sellers who have been holding off are now putting their units up for sale. As a result, inventory for the quarter climbed back up to mid 2009 levels and stood at 17 months. Among Portland’s re-sale condos, the Civic currently has the highest number of condos for sale in Portland.
