Tag: Market Update

Portland Real Estate Appraisal Brief – Thursday, December 4, 2025: National Home Sales Show Modest October Increases

National existing-home sales rose 1.2% and pending sales rose 1.9% in October 2025, providing context for Portland metro appraisers amid elevated regional prices.

Portland Oregon skyline at dusk with NAR Existing-Home Sales & Pending Sales October 2025 Report banner – context for national housing trends and Portland metro appraisals
Portland Oregon skyline at dusk.
Photo: Razvan Orendovici via Wikimedia Commons (CC BY 2.0)

National Home Sales Overview

In October 2025, pending home sales across the U.S. rose 1.9% from September, reflecting a modest uptick in contract signings amid lower average mortgage rates(6.25%) for a 30-year fixed loan. Year-over-year, however, pending sales edged down by 0.4%. This monthly gain marks a continuation of buyer activity amid fluctuating economic signals.

Existing-home sales also increased, climbing 1.2% month-over-month to a seasonally adjusted annual rate of 4.10 million units. On a year-over-year basis, existing sales were up 1.7%, with single-family homes comprising the bulk at 3.71 million units annually. Condominium and co-op sales contributed 390,000 units, showing stronger monthly growth at 5.4%.

The national median existing-home price stood at $415,200 in October, representing a 2.1% increase from the previous year. Single-family homes had a median price of $420,600, while condos and co-ops were at $363,700. These price levels underscore ongoing affordability challenges in certain markets.

NAR Pending Home Sales Index October 2025 infographic – national pending sales rose 1.9% month-over-month with regional breakdowns and Portland Oregon metro market context
NAR Pending Home Sales Snapshot – October 2025
Infographic courtesy National Association of REALTORS®

Regional Variations & Inventory

Regionally, pending home sales showed mixed results. The Midwest led with a 5.3% monthly increase and a 0.9% year-over-year gain, attributed to better affordability. The South followed with a 1.4% monthly rise and a 2.0% annual increase. The Northeast gained 2.3% month-over-month but declined 1.0% year-over-year. In contrast, the West saw a 1.5% monthly decrease and a 7.0% annual drop, highlighting price pressures in higher-cost areas.

For existing-home sales, the Midwest again outperformed with a 5.3% monthly increase to 990,000 units annually, up 2.1% year-over-year. The South edged up 0.5% monthly to 1.86 million units, with a 2.8% annual gain. The Northeast held steady monthly at 490,000 units but rose 4.3% year-over-year. The West declined 1.3% monthly to 760,000 units, down 2.6% annually. Median prices varied regionally, with the Northeast at $503,700 (up 6.5% year-over-year), Midwest at $319,500 (up 4.6%), South at $362,300 (up 0.3%), and West at $628,500 (up 0.1%).

NAR Existing-Home Sales October 2025 infographic – national median price $415,200, 4.4 months supply, regional sales and price trends relevant to Portland metro residential appraisals
NAR Existing-Home Sales Housing Snapshot – October 2025
Infographic courtesy National Association of REALTORS®

Inventory and Market Conditions

Total housing inventory dipped slightly to 1.52 million units in October, down 0.7% from September but up 10.9% from the prior year. This equates to a 4.4 months’ supply at the current sales pace, a minor decrease from September’s 4.5 months but an improvement from 4.1 months a year ago. These figures indicate a gradual easing in supply constraints nationally.

NAR Chief Economist Lawrence Yun noted that sales advanced despite external factors, with buyers responding to lower mortgage rates averaging 6.25% for a 30-year fixed loan. He emphasized regional disparities, with the Midwest and South benefiting from more affordable inventory, while the Northeast and West face supply shortages and elevated prices. Yun also highlighted decelerating rents potentially aiding inflation control and supporting further rate cuts by the Federal Reserve.

Implications for the Portland Region

These national trends offer context for stakeholders in the Portland metro area, where market dynamics may echo Western region challenges such as higher prices and softer sales growth. For perspective, the median close price for single-family detached residential properties in the Portland region held at $600,000 through Q3 2025. While this is significantly above the national October median of $415,200, it is slightly below the broader West region’s October median of $628,500, suggesting Portland is performing comparably on price relative to its regional peers. For detailed local metrics through September, refer to our Portland region Q3 2025 market update.

Sources & Further Reading

Thanks for reading—I hope you found a useful insight or an unexpected nugget along the way. If you enjoyed the post, please consider subscribing for future updates.

CODA

Are you an agent in Portland and wonder why appraisers always do “x”?

A homeowner with questions about appraiser methodology?

If so, feel free to reach out—I enjoy connecting with market participants across Portland and the surrounding counties, and am always happy to help where I can.

And if you’re in need of appraisal services in Portland or anywhere in the Portland Region, we’d be glad to assist.

Portland Real Estate Appraisal Brief – Wednesday, December 3, 2025: FHFA Raises 2026 Conforming Loan Limit to $832,750

FHFA raises the 2026 conforming loan limit to $832,750. In Q3 2025 alone, 99 Portland-area sales (70 conventionally financed) closed $806,501–$832,750 and will now avoid jumbo status.

Picture of Constitution Center (400 7th Street SW, Washington, D.C.) – headquarters of the Federal Housing Finance Agency (FHFA).
Constitution Center (400 7th Street SW, Washington, D.C.) – headquarters of the Federal Housing Finance Agency (FHFA).
Photo: Ajay Suresh via Wikimedia Commons (CC BY 2.0)

FHFA Announces 2026 Conforming Loan Limit Adjustments

The Federal Housing Finance Agency (FHFA) has released its annual conforming loan limit values for 2026, effective January 1 for mortgages acquired by Fannie Mae and Freddie Mac. The baseline limit for one-unit properties increases to $832,750 — up $26,250 from the 2025 figure of $806,500 — reflecting a 3.26% rise in the national House Price Index from the third quarter of 2024 to the third quarter of 2025.

All counties in Oregon and the Portland-Vancouver-Hillsboro MSA remain at the baseline limit; no high-cost ceiling applies in our region.

FHFA Interactive Map

Appraisal Implications for the Portland Region

In Q3 2025 alone, 99 residential properties in the six-county region closed between $806,501 and $832,750. Of those, 70 were financed conventionally — transactions that would have required jumbo terms in 2025 but will now stay fully conforming in 2026.

Across the full quarter (4,682 total SFR detached-class closings):

  • 85.48 % (4,002 sales) closed under $900,000
  • Only 14.52 % (680 sales) closed at or above $900,000
  • The single busiest upper-tier band was $800,000 – $899,999 with 367 sales

Market Context from Q3 2025 Actual Sales

Price Band# of Sales% of Total MarketAvg Close PriceAvg CDOM
$800k– $899k3677.84 %$847,31351 days
$806,501 – $832,750992.11 %$820,86449 days
≥ $900k68014.52 %≈ $1,340,000+72+ days

For appraisers, lenders, realtors, estate planners, and attorneys, the 2026’s higher limit removes friction from one of the region’s most active price segments and keeps 85+% of transactions comfortably conforming.

Sources & Further Reading

Thanks for reading—I hope you found a useful insight or an unexpected nugget along the way. If you enjoyed the post, please consider subscribing for future updates.

CODA

Are you an agent in Portland and wonder why appraisers always do “x”?

A homeowner with questions about appraiser methodology?

If so, feel free to reach out—I enjoy connecting with market participants across Portland and the surrounding counties, and am always happy to help where I can.

And if you’re in need of appraisal services in Portland or anywhere in the Portland Region, we’d be glad to assist.

Portland Real Estate Supplemental Appraisal Brief – Sunday, November 30, 2025: Oregon vs. Washington Rent Caps for Income Properties

Oregon vs Washington rent cap and relocation rules create sharply different risk profiles for 1–4 unit (conventional) and 5+ unit (commercial) investors in the Portland and Vancouver metro areas.

Oregon State Capitol vs. Washington State Capitol illustrating differing rent cap laws for Portland and Vancouver metro income property investors
Via Wikimedia Commons

Why This Matters

In the Portland–Vancouver metro, rent regulations directly shape cash‑flow stability, refinance eligibility, and valuation. Appraisers rely on predictable rental streams for income approach comparables, while lenders model risk differently across state lines. For investors, the 4‑to‑5 unit threshold is pivotal: properties with 1–4 units typically qualify for conventional Fannie Mae/Freddie Mac financing, while 5+ unit buildings fall into commercial lending. Because rent‑cap rules and relocation‑assistance exposure diverge sharply at this threshold, understanding the cross‑border distinctions is critical before acquiring or refinancing multifamily assets.

Oregon Statewide Framework (ORS Chapter 90, SB 611)

  • No rent increase permitted during the first 12 months of tenancy
  • Cap: 7% + CPI (West Region), maximum 10% annually
  • Notice: 90‑day written notice required for any increase
  • Relocation assistance: applies only if landlord owns 5+ units statewide
    – One month’s rent paid to tenant for no‑cause terminations (ORS 90.427)
  • Exemption: units with certificates of occupancy issued within the prior 15 years

Portland City‑Specific Rules (PCC 30.01.085 – effective Jan 1, 2025)

  • Applies regardless of landlord unit count
  • Portland City‑Specific Rules (PCC 30.01.085 – effective Jan 1, 2025)
  • Applies regardless of landlord unit count
  • Any increase ≥5% in a rolling 12‑month period requires 90‑day notice
  • Increases ≥10% give tenants the right to terminate with reduced notice and receive mandatory relocation assistance
    – $2,900 studio/SRO
    – $3,300 1‑bed
    – $4,200 2‑bed
    – $4,500 3+ bed
  • Exemptions require advance approval from the Portland Housing Bureau (e.g., week‑to‑week tenancies, owner‑occupied duplexes)
  • Enforcement: non‑compliant landlords face liability for up to 3× monthly rent, damages, and attorney fees

Washington Statewide Stabilization (HB 1217 – signed May 2025)

  • No rent increase in the first 12 months
  • Cap: lower of 7% + CPI or 10% through Dec 31, 2025
  • Manufactured homes: 5% cap
  • Notice: 90 days for residential units; 180 days for mobile‑home parks
  • Relocation assistance: no statewide mandate (though RCW 59.18.440 allows local governments to adopt programs)
  • Exemptions:
    – New construction (<12 years old)
    – Nonprofit affordable housing
    – Owner‑occupied 2–4 plexes
  • Enforcement: Washington Attorney General; penalties up to $7,500 per violation. August 2025 saw inaugural fines against landlords for unlawful increases.

Key Investor Takeaways

  • 1–4 unit owners: favorable treatment in both states; no mandatory relocation payments (except inside Portland city limits, where PCC 30.01.085 applies)
  • 5+ unit owners: Oregon relocation exposure (one month’s rent on no‑cause moves); Portland relocation exposure even for small landlords if increases ≥10%; Washington no statewide relocation mandate, creating a material cash‑flow difference across the Columbia River

Comparison Table

IssueOregon StatewidePortland (overlay)Wash. HB 1217Impact 1–4 UnitsImpact 5+ Units
First-year increase allowed?NoNoNoSame both statesSame both states
Rent cap (2025)7% + CPI ≤10%Same statewide cap≤10% (5% Mobile/
Manufact.
parks)		Effectively identicalEffectively identical
Relocation assistance required?Only if landlord owns 5+ unitsYes on ≥10% increase or qualifying no-causeNone statewidePortland exceptionOregon yes / WA no
New build exempt15 yearsSame12 yearsWA slightly shorterWA slightly shorter
Owner-occupied 2–4 plex exempt?NoPossible with PHB approvalYesWA more favorableWA more favorable

Regional Implications for Appraisals

  • Both states prohibit first‑year increases and require ample notice, promoting predictability in rental streams.
  • Oregon’s relocation rules (especially Portland’s) stabilize occupancy in high‑turnover areas, dampening vacancy risk.
  • Washington’s broader exemptions favor newer developments, potentially accelerating value growth in Clark County compared to Oregon’s focus on small‑landlord relief.
  • Enforcement differences matter: Oregon emphasizes tenant remedies via damages, while Washington’s AG fines signal robust compliance.

Further Reading & Resources

  • Oregon Revised Statutes Chapter 90 – Residential Landlord and Tenant: 2023 Edition
  • ORS 90.427 – Termination of tenancy without tenant cause (relocation assistance): ORS 90.427
  • Oregon Law Help – Eviction & Termination Notices: Guide
  • Portland Renter Additional Protections (City Code 30.01.085): Official City Page
  • Portland Mandatory Relocation Assistance Brochure (PDF): Download
  • Portland Housing Bureau Relocation Rules & Exemption Form: HOU-3.05
  • Washington HB 1217 – Rent Stabilization: 2025 legislation
  • Washington Residential Landlord-Tenant Act: RCW 59.18
  • Washington Attorney General: File a Tenant Complaint

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Thanks for reading—I hope you found a useful insight or an unexpected nugget along the way. If you enjoyed the post, please consider subscribing for future updates.

Question: Do you think other states will follow Oregon’s and Washington’s rent control laws?

CODA

Are you an agent in Portland and wonder why appraisers always do “x”?

A homeowner with questions about multifamily income properties, GRMs, or income calculations?

If so, feel free to reach out—I enjoy connecting with market participants across Portland and the surrounding counties, and am always happy to help where I can.

And if you’re in need of appraisal services in Portland or anywhere in the Portland Region, we’d be glad to assist.

Portland Real Estate Appraisal Brief – Sunday, November 30, 2025: Oregon Rent Laws vs. Portland’s Tenant Protections

Oregon’s 9.5% rent cap for 2026 combines with Portland’s relocation assistance rules, creating distinct valuation considerations for rental properties across the metro area.

Via Wikimedia Commons

Oregon’s statewide rent stabilization framework under the Residential Landlord and Tenant Act provides a uniform baseline for rental increases and evictions across the state, including the Portland metro area. Oregon was the first U.S. state to enact comprehensive statewide rent control in 2019 (via Senate Bill 608), followed by California later that year (via AB 1482) and Washington in May 2025 (via HB 1217). These statutes establish annual limits on rent increases for most residential properties, with exemptions for new construction and certain subsidized housing. However, within the city limits of Portland, local ordinances add layers of tenant protections that require relocation assistance for certain terminations and rent hikes. As a certified residential appraiser serving homeowners, lenders, realtors, estate planners, and attorneys in the region, understanding these distinctions is crucial for accurate property valuations, especially for income-producing rentals where regulatory constraints directly influence projected cash flows and market discounts.

Key provisions include rent increase limits under ORS 90.323 and their annual calculation under ORS 90.324.

Statewide Rent Stabilization and Eviction Basics

Under ORS 90.323, landlords cannot raise rent during the first year of tenancy or more than once every 12 months thereafter. The maximum allowable increase for calendar year 2026 is capped at 9.5%. Violations expose landlords to liability for three months’ rent plus actual damages.

Just-cause eviction requirements under ORS 90.427 prohibit no-cause terminations after the first year. Qualifying landlord reasons (major remodel, owner/family move-in, etc.) still require proper notice and, in some cases, one month’s rent as assistance. Exemptions from these protections include units less than 15 years old from the date of the certificate of occupancy, federally subsidized or regulated affordable housing (where the tenant’s portion does not rise or the increase is program-mandated), owner-occupied duplexes or triplexes (where the landlord resides in one unit), and certain short-term rentals.

Portland’s Local Overlay: Enhanced Relocation Assistance

Portland builds on these state protections through City Code 30.01.085 – the Renter Additional Protections ordinance. The city applies Oregon’s statewide cap but adds relocation assistance obligations when rent increases reach 10% or more (for units otherwise exempt from the statewide cap, such as newer construction or subsidized housing). Relocation assistance is also required for:

  • Non-renewal of fixed-term leases
  • Qualifying landlord reasons under state law
  • Substantial changes to lease terms beyond rent or utilities

Payments (due 45 days before termination or within 31 days of tenant request) are scaled by unit size:

  • $2,900 (studio/SRO)
  • $3,300 (1-bedroom)
  • $4,200 (2-bedroom)
  • $4,500+ (3+ bedrooms)

Landlords must file exemption forms with the Portland Housing Bureau when applicable and notify the Bureau of payments within 30 days.

Valuation Implications for the Portland Metro Area

For estate planners and attorneys handling inherited rentals, these combined rules often lock in below-market tenancies. Homeowners converting properties to rentals must project income conservatively. Realtors listing income properties typically disclose scheduled rents via RMLS. A listed property with units significantly below market rent levels may receive low offers and usually sells at a substantial discount.

Lenders benefit from reduced turnover risk but must recognize higher operating costs inside Portland city limits. For appraisers, the dual framework means statewide rent caps set the ceiling, while Portland’s relocation obligations add another layer of financial consideration.

Geographic Scope

Oregon’s statewide rules apply in the Portland Region (Columbia, Clackamas, Hood River, Multnomah, Washington, and Yamhill Counties). Portland’s relocation overlay is city-specific. Properties in the Vancouver Region (Clark, Cowlitz, Klickitat, and Skamania Counties) fall under Washington’s separate statewide stabilization law (enacted May 2025), which exempts new construction for 10 years and caps annual increases at 7% + inflation, not to exceed 10%.

Further Reading & Resources

  • Oregon Residential Landlord and Tenant Act (full chapter): ORS Chapter 90
  • Rent Increase Limits & Notice Requirements: ORS 90.323
  • Annual Rent Cap Calculation: ORS 90.324
  • Termination of Tenancy without Tenant Cause: ORS 90.427
  • Portland Renter Additional Protections (City Code 30.01.085): Official City Page
  • Portland Mandatory Relocation Assistance Brochure (PDF): Download
  • Portland Housing Bureau Relocation Rules & Exemption Form: HOU-3.05
  • Oregon Law Help – Eviction & Termination Notices: Guide
  • Oregon Senate Bill 608: PDF
  • California AB 1482
  • Washington HB 1217

Thanks for reading—I hope you found a useful insight or an unexpected nugget along the way. If you enjoyed the post, please consider subscribing for future updates.

Question: Do you think other cities in Oregon will add relocation assistance provisions?

CODA

Are you an agent in Portland and wonder why appraisers always do “x”?

A homeowner with questions about multifamily income properties, GRMs, or income calculations?

If so, feel free to reach out—I enjoy connecting with market participants across Portland and the surrounding counties, and am always happy to help where I can.

And if you’re in need of appraisal services in Portland or anywhere in the Portland Region, we’d be glad to assist.

Portland Real Estate Appraisal Brief – Saturday, November 29, 2025: Oregon Sets 2026 Rent Cap at 9.5%

Oregon’s 2026 rent cap is set at 9.5%. See the key details and implications of this policy for Portland metro rental valuations, property owners, and investment strategies.

Portland appraisal brief graphic for Oregon 2026 9.5% rent cap official announcement.

The Oregon Department of Administrative Services (DAS) has released the official rent stabilization percentages for 2026, offering clarity for landlords, tenants, and housing professionals statewide. As a certified residential appraiser serving the Portland metro area, I track these updates closely because they influence rental market dynamics, which in turn affect property valuations for homeowners, lenders, realtors, estate planners, and attorneys.

This annual adjustment, governed by ORS 90.323 (maximum rent increase) and ORS 90.324 (calculation and publication), ensures rent increases align with inflation while offering predictability in a volatile housing market. Published on September 30, 2025, the announcement ties directly to the state’s rent control measures enacted to protect tenants from excessive hikes.

For most residential tenancies in the Portland region, the maximum allowable rent increase will be 9.5% starting January 1, 2026. This figure represents the lesser of 10% or 7% plus the Consumer Price Index for All Urban Consumers (CPI‑U) for the West Region, All Items, based on data from the previous 12 months. The calculation reflects a measured response to rising living costs, down slightly from the 10.0% cap in 2025.

Key Details on the 2026 Rent Cap

Understanding the nuances of this cap is essential for anyone involved in residential leasing or valuation in Oregon. The 9.5% limit applies broadly to tenancies under ORS 90.323, which covers most single‑family homes, apartments, and multifamily units in the region. Landlords must provide at least 90 days’ written notice for any increase up to this threshold, and the cap applies per 12-month period and increases may only be given once in any 12-month period.

Exemptions and special cases:

  • Smaller facilities (≤30 spaces): Manufactured dwelling parks or marinas follow the same formula—10% or 7% + CPI (9.5% in 2026).
  • Larger facilities (>30 spaces): Parks or marinas face a stricter 6% maximum increase under ORS 90.600.
  • Exclusions: New tenancies in the first year, fixed‑term leases without renewal, and exempt properties (e.g., subsidized housing). Utilities and fees may rise separately from base rent.

These provisions help maintain stability in the Portland metro area’s rental landscape, where median asking rents have hovered near $1,987 for a two‑bedroom unit according to RentCafe’s Portland rental market report (Nov 2025). Zillow places the overall average asking rent across unit types at $1,772 (Zillow Portland Rental Market; snapshot date 11/28/2025). Neighborhood‑level data shows two‑bedroom rents ranging from $1,800 to $2,400, underscoring the variability across the metro.

For appraisers, knowing the precise rent cap helps model the timeline required to bring a property or multifamily project back to market rents, especially when current leases are below prevailing rates. This allows for more accurate income projections.

Implications for Portland Metro Property Owners and Professionals

  • Homeowners: Must factor the 9.5% ceiling into rental conversion ROI, especially when evaluating single‑family properties for lease. The cap limits upside potential in a demand‑heavy market and affects long‑term income projections.
  • Realtors: Benefit from being able to project realistic rental growth figures in listings, particularly for multifamily properties (2+ units). The cap provides a clear ceiling for annual rent increases, which helps set buyer expectations and avoid overpromising future income.
  • Lenders: Gain greater clarity into a property’s income potential, allowing for more accurate underwriting and valuation.
  • Investors: Stay aligned with prevailing market rates while complying with legal pacing. For multifamily portfolios, knowing the exact rent cap helps plan staggered increases and avoid underperformance due to below-market rents.

Sources & Further Reading

Thanks for reading—I hope you found a useful insight or an unexpected nugget along the way. If you enjoyed the post, please consider subscribing for future updates.

Question: Do you think the annual cap will ever drop significantly, or will persistent inflation keep the annual increase at about 10%?

CODA

Are you an agent in Portland and wonder why appraisers always do “x”?

A homeowner with questions about multifamily income properties, GRMs, or income calculations?

If so, feel free to reach out—I enjoy connecting with market participants across Portland and the surrounding counties, and am always happy to help where I can.

And if you’re in need of appraisal services in Portland or anywhere in the Portland Region, we’d be glad to assist.