Should Buyers Be Scared That Mortgage Rates Are Rising?

28888 Hwy 97, Klamath Falls, OR 97621
Presented by Alan DeVries & Matthew Cook | Offered at $1,600,000 | MLS# 220120785

From REALTOR® Magazine

Mortgage rates are no longer at ultra-low rates below 3% as they were this summer, but housing analysts are reminding house hunters that borrowing costs remain relatively cheap. Freddie Mac reported that the 30-year fixed-rate mortgage averaged 3.14% this week.

“The yield on the 10-year Treasury note has been trending up due to the decline in new COVID cases, increasing consumer optimism, as well as broadening inflation and persistent shortages,” says Sam Khater, Freddie Mac’s chief economist. “Mortgage rates are also rising, but purchase demand remains firm, showing that latent purchase demand exists among consumers.”

Freddie Mac reports the following national averages with mortgage rates for the week ending Oct. 28:

• 30-year fixed-rate mortgages: averaged 3.14%, with an average 0.7 point, rising from last week’s 3.09% average. A year ago, 30-year rates averaged 2.81%.

• 15-year fixed-rate mortgages: averaged 2.37%, with an average 0.7 point, increasing from last week’s 2.33% average. A year ago, 15-year rates averaged 2.32%.

• 5-year hybrid adjustable-rate mortgages: averaged 2.56%, with an average 0.3 point, up from last week’s 2.54% average. Last year at this time, 5-year ARMs averaged 2.88%.

Freddie Mac reports average commitment rates along with points to better reflect the total upfront cost of obtaining the mortgage.

Full article on REALTOR® Magazine


Two Top Producing Brokers Rejoin Cascade Sotheby’s International Realty

Portland broker Alicia Selliken and SW Washington broker Marci Caputo have rejoined Cascade Sotheby’s International Realty. The firm has attracted an additional 55 brokers so far this year.

Cascade Sotheby’s International Realty is a full-service brokerage that offers a high level of marketing and sales support. This model is ideal for brokers who wish to focus on serving their clients rather than spending time on administrative and marketing tasks. It is for brokers who seek more balance in their work and life.

Alicia Selliken, based out of the NE Portland office, is proud to be part of a brokerage that has a growth mindset and values community. “CSIR is hitting their stride with the expansion of their incredible agent services and marketing team. Their renewed efforts to create a stronger community both inside CSIR and beyond is refreshing.”

A woman-owned firm, Cascade Sotheby’s International Realty has seen continued growth over the years. Backed by a highly experienced and agile local leadership team, the firm provides unmatched broker support fueled by powerful marketing initiatives.

Portland’s Regional Marketing Director, Amanda Knutsen, describes the firm’s collaborative culture. “Our brokers appreciate the power of a global brand, paired with a local family feel. We help each other succeed and thoughtfully give back to the communities in which we work and live.”

Brokers at Cascade Sotheby’s International Realty are part of a global referral network that generated over $2.9B in 2020. In September of 2021, The Portland Business Journal ranked Cascade Sotheby’s International Realty the fastest-growing real estate company and the third fastest-growing company across all sectors in Portland.

Marci Caputo, based out of the Vancouver, WA office is happy to be back. “I have owned my own brokerage in the past which helps me truly understand the great value in all that Cascade Sotheby’s International Realty offers for support, marketing, global networking, community engagement and so much more.”

Cascade Sotheby’s International Realty has 400 brokers and 17 offices serving Oregon and SW Washington. In addition to being ranked the fastest-growing real estate firm in Portland, the firm has achieved top market share in Central Oregon. The firm is also expanding in Southern Oregon, with the grand opening of its Ashland office scheduled for November 5th, 2021.


Looking To Move? It Could Be Time To Build Your Dream Home

3807 Old Lewis River Rd, Woodland, WA 98674
Presented by Brandy Pettet | Offered at $5,750,000 | MLS# 21300616

From Keeping Current Matters

While today’s supply of homes for sale is still low, the number of newly built homes is increasing. If you’re ready to sell but have held off because you weren’t sure you’d be able to find a home to move into, newly built homes and those under construction can provide the options you’ve been waiting for.

The latest Census data shows the inventory of new homes is increasing this year (see graph below):

With more new homes coming to the market, this means you’ll have more options to choose from if you’re ready to buy. Of course, if you do consider a newly built home, you’ll want to keep timing in mind. The supply shown in the graph above includes homes at various stages of the construction process – some are near completion while others may be months away.

According to Robert Dietz, Chief Economist and Senior VP for Economics and Housing Policy for the National Association of Home Builders (NAHB), “28% of new home inventory consists of homes that have not started construction, compared to 21% a year ago.”

Buying a home near completion is great if you’re ready to move. Alternatively, a home that has yet to break ground might benefit you if you’re ready to sell and you aren’t on a strict timeline. You’ll have an even greater opportunity to design your future home to suit your needs. No matter what, your trusted real estate advisor can help you find a home that works for you.

Full article on Keeping Current Matters


There’s No Sign Of The Typical Fall Slowdown In Home Buying

2238 NW Trout Ct, Camas, WA 98607
Presented by Connor Zuvich | Offered at $1,895,000 | MLS# 21062309

From housingwire.com

One-third of homes that went under contract had an accepted offer within one week of hitting the market, a new report from Redfin found. This is up from 30% during the same period a year prior and 2.2 points from a month earlier.

The report is based on data from the four-week period ending October 10.

In addition, the number of homes that went under contract within two weeks of listing rose to 46% from 42% during the same period in 2020. While the median number of days a home is on the market rose to 22 days, which is a full week longer than the all-time low of 15 days in June and July, it is still 10 days less than a year earlier.

This increase in the share of homes selling this quickly is unexpected for this time of year when we typically see a seasonal slowdown.

“Most sellers who are on the market now are very motivated to move: landlords with vacant homes, families who already upgraded and need to sell their previous homes, couples splitting up,” David Palmer, a Redfin listing agent, said in a statement. “As home-buying demand declines into the fall, I’m only encouraging people who have urgency to sell now. Otherwise, I’m advising them to wait until the new year.”

Another sign of continued strong demand is the 4% year-over-year increase in pending home sales. This also represents a 46% increase compared to the same time period in 2019, according to Redfin.

While demand has remained high, inventory continues to drop with new listings of homes down 8% from a year prior and the total number of active listings down 21% from 2020.

As a result of this high demand and low inventory, the median home-sale price rose 13% from a year prior to $355,600. Asking prices of newly listed homes also rose, reaching a median of $362,047, marking a 12% increase from a year ago. However, this is 0.7% lower than the all-time high set during the previous four-week period ending Oct. 3. Decreases like this are typical for this time of year, according to the report.

Even with high asking prices, due to the highly competitive nature of the market, 46% of homes still sold for above list price, which is up from 34% during the same time period in 2020, but also the smallest share since April 2021. Additionally, the average sale-to-list price ratio fell to 100.7%, also the lowest level since April.

Although there are numerous indicators of a still red-hot market, one indicator of a possible seasonal cooling off is the percentage of homes for sale each week undergoing a price drop rising to 5.1%, the highest level it has been since the four-week period ending October 13, 2019.

Full article at housingwire.com


Early Autumn Weeks Remain the Best Time to Buy Despite Historically Low Inventory

5483 Herman Cape Rd, Florence, OR 97439
Presented by Amy Halligan | Offered at $2,495,000 | MLS# 21627728

From Mansion Global

September delivered a high number of homes on the market at least by this year’s standards, handing buyers a few more options

Early autumn typically signals the best time to buy a home in the U.S., and despite the frenzied conditions still encompassing the market, this year it’s still looking optimal, according to a report from Realtor.com.

“This week marks the best week to buy a home nationwide,” wrote Danielle Hale, Realtor.com’s chief economist, in Thursday’s report. “In September, inventory hit a record high (for 2021), and while this week’s data shows a continued slowdown in new listings, the fall season still holds promise for potential home buyers.”

Though September delivered a relatively high number of homes on the market for this year, inventory remains scarce by historic standards.

In the week ending Oct. 2, the number of new listings was down 8% from the same time last year, and new listing totals have declined in four of the last five weeks after increasing more often than not in the previous five months, the report said.

Overall inventory is down, too, slumping 22% from the same time in 2020.

Though the dearth of home supply persists, price gains have yet to pick up pace, according to Ms. Hale.

“We are continuing to see a gradual seasonal slowing of both indicators,” she said.

The median listing price rose 8.6% last week when compared to the same time last year, with the high “single-digit territory” showing “sticking power,” the report said.

Though homes typically sold eight days faster last week than they did at this time in 2020, a slowdown appears to be on the horizon, leaving home buyers with more time to act now than they did earlier this year.

Full article on Mansion Global


Inventory Hits 2021 High, Competition Remains Fierce

10720 S Moapa Ave, Portland, OR 97219
Presented by Matt Tercek | Offered at $1,599,000 | MLS# 21114701

From REALTOR® Magazine

Home buyers are finding more housing selections this fall, but they’re still up against some serious competition. Nearly one-third of the 50 largest metros saw increases in the number of newly listed homes compared to last year, according to a new report from realtor.com®.

“This September, buyers had more options than they’ve had all year and while that’s typical of early fall, that’s not what happened in 2020,” says Danielle Hale, realtor.com®’s chief economist. “Still, it’s important to remember that while buyers may have an easier time this fall than they did in the spring, the market remains more competitive than it has been historically at this time of year.”

“This September, buyers had more options than they’ve had all year and while that’s typical of early fall, that’s not what happened in 2020,” says Danielle Hale, realtor.com®’s chief economist. “Still, it’s important to remember that while buyers may have an easier time this fall than they did in the spring, the market remains more competitive than it has been historically at this time of year.”

The U.S. median home price continued to hold at August’s near record-high of $380,000. List prices are up 20.6% compared to pre-pandemic levels in 2019, realtor.com® notes. The top five markets with the highest price growth rate are in Austin, Texas (+33.6%); Las Vegas (+24.6%); Tampa, Fla. (+20.8%); Orlando (+16.9%); and Riverside, Calif. (+15.4%).

Some areas of the country are seeing more new listings added to the market than others. New listings have grown the most in competitive markets like Austin, Texas; Portland, Ore.; Jacksonville, Fla.; and Washington, D.C.—all with inventories up more than 10% year-over-year.

Meanwhile, the areas with some of the largest drops in newly listed homes in September tend to be in places that were affected by Hurricane Ida, including the Northeast (down 5.4%) and South (down 3.2%). New listings declined the most in the hard-hit area of like New Orleans, down 51.2%, according to realtor.com®.

Full article on REALTOR® Magazine