PORTLAND, Ore. (KOIN) — The latest monthly report from real estate firm RE/MAX shows that Portland experienced one of the largest year-over-year decreases in home sales from May 2022 to 2023.
On a national scale, the company says home sales grew by 20% from April to May, although numbers had still declined from the year prior. There was also an 8.7% rise in new listings.
According to company president and CEO Nick Bailey, the month-over-month increase marks the beginning of a ‘peak selling season.’ However, the housing shortage continues to trouble buyers.
“With the vast majority of homeowners having a mortgage rate under 5% – and a good chunk of those are under 3.5% – we’re not seeing as much move-up activity as usual,” Bailey explained in a statement. “That means fewer available listings for buyers to choose from – and most likely some continuing bumpiness in the market.”
Seattle was the No. 1 U.S. city with a steep year-over-decline in home sales, with a 33.9% drop from May 2022 to 2023. Seattle real estate broker John Manning says the majority of residents who bought homes prior to 2022 saw ‘historically-low interest rates,’ an advantage that has turned people away from selling their homes.
Anchorage, Alaska, followed closely after Seattle with a 32.5% decrease.
Portland ranked at No. 3 overall, with a 31.8% drop in closed transactions. U.S. News and World Report added that ‘consumer sentiment’ had already been on the decline for Portlanders since last year.
RE/MAX looked ahead to the home sales months of June and July, which could be a peak for the market.
Read More: Portland, OR sees third-worst drop in year-over-year home sales