Is Housing Demand Back to Normal

Full Video Transcript Below

Is Housing Back to Normal?

[00:00:00] Hey, real estate fans. Alice Lema here, Broker John L Scott, beautiful Southern Oregon with another edition of the Weekly podcast. Today we're gonna talk about if the housing demand is back to normal or not. We've got an awful lot of opinions out there, but as always, we're gonna lean into the data cuz that's what helps us make good consumer decisions.

Right. Right. So before we get to that, let's give you a quick second to subscribe to the channel. Give us a like, thumbs up, send some questions, send it to your friends and family. It's an educational process we're doing here, so it's okay to send it to other people. We wanna help as many as we. And if you wanna talk to me privately personally about your real estate, 541-301-7980. Any time this weekend, reach out and we'll see what we can do in your real estate world, okay?

Okay. Onto the podcast. Housing demand back to normal, yes or no? Here's the data. So this is from one of my favorite websites. Talk about KCM a lot. Kcm, Keeping Current Matters, [00:01:00] and it was based on a report done by the National Association of Realtors.

But check it out. They're using the criteria of how many multiple offers the average seller getting in the United States. Well, you can see at the high point during the shutdown over 3, 5, 6, pretty common. But look at the average going back to in the twos, and that's about how it feels out in the field to a lot of us.

And if you scoot to the left and you can see the historical data, we're really hovering right about normal before the pandemic shut down. So what does that mean? That means that the sellers are adjusting their prices because of the interest. Kind of had to, to stay in the game. The buyers are still out there writing offers, so what this means is you can still get multiple offers and we just had one on a listing we [00:02:00] did in Central Point. They they got multiple offers. It wasn't five or six. And when it closes, we can talk more about it. But the point is they got some, and it does not happen on every listing now like it did in the high point a year ago, six months ago, beginning of the shutdown that whole timeframe.

We kind of need to slice it out and look at the normal practice of buyers, rent offers, selling houses, listings, going online, all that has a normal flow. And we're kind of back into that now. So having said that, let's talk about what's going on here in southern Oregon, cuz that's what matters to us.

And it's great to know what's going on in the United States, but Southern Oregon has its own market, has its own market elements, but here we are, end of October, middle of October, headed toward fall and winter. And did you know that already in Jackson County, we have 1.48 [00:03:00] billion in residential sales. Let that sink in. Little Jackson County in southern Oregon already has booked 1.48 billion with a B billion dollars in sales since the first of the year. It's really quite, quite amazing.

How about Josephine County in county 477 million of residential sales so far in 2022, right? That's almost half a million dollars in residential sales so far in 2022. And that's just Josephine County. Klamath County, 302 million in sales of residential properties just since the beginning of the year. So I keep saying we still have buyers out there and the sellers that are willing to go on the market now. It's not the [00:04:00] heyday that it was, but you know what, you have choices now of other addresses to go to. And that's been that's what's opening up the floodgates in my opinion. But we'll see how we close at the end of the year. I always say that.

But here we go. It's quite impressive that in Klamath County, we have $300 million in sales since the first of the year. Josephine County has 477 million in sales residential. Since the first of the year in Jackson County has 1.48 billion. So, you know, we're, we're holding our own here in, in little Southern Oregon. But our days on market are a little bit up. We're still averaging in Jackson County, 48 days on market.

Josephine County's 53 days on market in Klamath County is 47. None of those are, are bonafide buyer market, but you can see we're easing into a little longer. A little more time people are taking and yeah, so looking at two months on the average, [00:05:00] that's still, that's still considered a seller's market, but we're all feeling the shift happen even as we speak.

So just wanted to get that information out there. I am not trying to make it sound better than it is. I don't do that. Whatever it is, we'll deal with it. But here we go. The numbers are good. And in my opinion, the housing demand is just about back to normal and it'll take some time for the, the market to start understanding that.

But there you go. It's, it's already happening. So that's a little bit of good news and a sometimes not good news week. Also just a reminder in the state of Oregon, the rent control increases are really high for 2023. We're gonna start doing a lot of podcasts about that. If you've got people in your family or your friends sphere that are tenatns they wanna listen up cuz the landlords have a lot of stretch in 2023 to raise rates. I don't know any landlords that are actually gonna do it. I don't know if you heard, but it's a 14 [00:06:00] 1/2% total allowable rent increase for 2023. Again, don't know any landlords myself that are gonna do that, but they have the option and that is definitely gonna put more pressure on the rental market and it's already kind of a difficult, difficult situation out there.

So keep that in mind. Have a beautiful weekend. We'll see you next week. Hug the ones you love. Bye.