We’re not in 2007 anymore. Case Shiller Index numbers for Portland real estate were released this morning. Since the market peaked in July of 2007 Portland has given back 27.7% according to the Index. The Case Shiller Index was set to 100 in 2000. Portland, at 135.8, is still well ahead of that but Las Vegas, Atlanta and Cleavland have joined Detroit in the sub-100 category.
Depending on where you sit determines your outlook. As I’m writing this as a commercial for the Pacifica Condominiums ran on the evening news “Auction prices 67% below original asking…” As a buyer, that’s great news/an opportunity. The Pacifica Auction takes place April 10th.
Those of us that bought property after February 2005, all other things being equal, have negative equity according to the Index. The Index reports on a seven county MSA and areas in the outer areas have been harder hit. Short sale and foreclosures will remain a part of our market for quite some time.
If you’re moving up (selling and buying bigger) you’re going to take a hit selling low but make that up on the buying bigger property. Downsizing is tougher as the loss on your sale will outweigh the “gain” on the purchase. Those are broad statements so looking at the individual situation remains as important as ever. The reasons the real estate market hasn’t stopped is that each person has individual needs in the market and there are still opportunities for some.