As we head into the summer market, Portland's housing data tells a story of imbalance—one that's affecting both buyers and sellers.
Let’s look at the facts from the May 2025 Market Action Report:
📈 More Homes Hitting the Market
In May, new residential listings climbed to 3,651, up 4.1% year-over-year and nearly 9% over last month. It’s the most active May we’ve seen in years. As inventory continues to climb we currently have over 6,400 active listings on the market today.
🏠 But Pending Sales Aren’t Keeping Up
Pending sales actually fell 2.7% year-over-year to 2,299. That growing gap between supply and demand has pushed inventory up to 3.3 months—compared to just 1.9 months a year ago. That’s a 74% jump in available housing supply.
This signals a shift: while more homes are for sale, fewer are going under contract. The market’s cooling beneath the surface.
💵 Price Growth Has Slowed
The 12-month rolling average sale price is up just 1.5% to $612,100, while the median sale price rose 2.0% to $547,500. That’s modest appreciation by Portland standards and shows buyers are pushing back on price.
And sellers should take note—closed sales fell 5.7% year-over-year.
🧮 Affordability Remains a Pressing Issue
With mortgage rates averaging 6.8%, even a household earning the Portland-area median income of $124,100 can only afford 91% of the monthly mortgage payment on a median-priced home. That’s assuming a full 20% down—something fewer buyers can manage today.
💡 What This Means
For sellers: Pricing and presentation are everything right now. The days of “list and sell” are behind us, especially with more homes on the market and buyers being rate-sensitive.
For buyers: You have more choices and slightly more leverage—but monthly payments are still high. Strategy and negotiation matter more than ever.
This isn’t the overheated seller’s market of 2021, nor a full buyer’s market. It’s a high-stakes balancing act between affordability and inventory.
If you’re planning to move this year—buying, selling, or both—let’s talk through a strategy tailored to this moment.
– David Caldwell
Principal Broker, Hillshire Realty Group
