Elise Loschiavo's Annual Portland Condo Report is here! The report is packed with insightful and in-depth information that includes Portland condo inventory, the pace of the marketplace, what’s selling, new development, and forecasts where condo sales are headed in the coming year. Below is brief overview. Click HERE to view the full report.
2024 CONDO MARKET REVIEW
- Portland’s condo market showed surprising strength in 2024, both in activity and value. The number of units sold was up 28% across all of Portland.
- Off peninsula, prices increased 10% on a price per square foot basis while peninsula price/SF was relatively flat.
- Despite high interest rates and a mid-year slowdown ahead of a divisive election, only 5% fewer condos were sold in 2024 versus pre-COVID 2019.
- Condos were also less likely to sit on the market. While days on market went up by a week, there were 22% fewer unsold listings than the year before.
- Luxury condos appear to have fueled the market with 70% of buyers paying cash for condos priced over $800,000.
MUNICIPAL UPDATES
- Another city-wide tax reassessment is in the works for 2025 to ensure property values accurately reflect current market conditions.
- Portland has hired a consulting firm to take the next steps on the Franklin Street redesign. This project, in the works for nearly 20 years, focuses on transforming the car-centric thoroughfare into a more walkable and bikeable urban space.
- Portland completed the ReCode initiative. This is the first major overhaul of the city's land use and zoning regulations in over 50 years. The effort aimed to modernize the city's development code, making it more user-friendly and aligned with Portland's 21st-century goals for affordable housing needs and promoting sustainable growth.
2024 DEVELOPMENT NEWS
- Last year, 129 brand new condos were sold, primarily at Hobson’s Landing, Daymark, Stevens Square, and 218 Washington.
- At least three condo developments plan to break ground this year that incorporate workforce housing (income restricted) units. All 190 units are located in residential neighborhoods outside of Portland’s peninsula.
- Portland has recently increased its condo conversion fee to $42,500 per unit. The fee aims to mitigate the loss of rental housing stock and encourage the development of purpose-built rental units.
PREDICTIONS FOR THE PORTLAND CONDO MARKET
- Demand for condos in desirable locations, particularly those offering walkability and access to amenities, will remain strong.
- Prices will not increase in any significant way, but low inventory will keep values at their current level.
- More units will be sold by remote workers called back to their offices in other states.
- Portland will see an increasing number of climate refugees, forced to leave other regions of the US due to the increased frequency and intensity of hurricanes, floods, wildfires, and storm surges.
