As we approach the end of November, there has been an increase in new home construction and builder confidence, while rates remain low and unemployment claims start to rise.
Summary: Location is perhaps the most important factor to consider when investing in real estate. In this article, we’ll go over the hottest real estate market in OR that you may want to consider investing in to maximize your ROI in 2020.
Are you looking to beef up your investment portfolio? If so, you may want to consider adding real estate to your repertoire, as many other real estate investors have already been doing. In fact, savvy investors who want to build up a strong investment portfolio always keep an eye out for hot real estate markets in order to pounce on when the time is right, which gives them a chance to snatch up properties to add to their portfolio value.
It should be noted, however, that hot markets often come with property prices that have already reached their peak, and sometimes mean the window of opportunity has already passed. Make sure there is still time for you to get in on the trend in order to benefit from price appreciation.
Smart real estate investors try to forecast markets that will heat up before they do so they can purchase properties before increasing values really take off. Selling properties in a hot market is how they realize the greatest profits.
The Hot Markets in Oregon
Where are the hottest markets in Oregon? Before investing your capital in this state, you’d be well-advised to first look at all of the cities and communities that are showing signs of gaining momentum in order to ensure that you realize the biggest return on your investment. In OR, the hottest real estate markets right now include the following:
The median home price in Eugene is $349,400, with values having increased 8.5% over the past year.
The median home value in Salem is $295,100, with values having increased 2.9% over the past year.
The median home value in Springfield is $295,500, with values having increased 9.1% over the past year.
The median home value in Portland is $467,600, with values having decreased 0.6% over the past year.
The median home value in Medford is $299,500, with values having increased 2% over the past year.
The median home value in Hillsboro is $402,000, with values having increased 3.5% over the past year.
The median home value in Gresham is $355,600, with values having increased 3.4% over the past year.
Hot Pockets In Cooler Markets
A great way to invest in an area is to choose one that is nearby to a really hot community. In centers where the real estate market is very hot, you’ll likely pay premium prices. But if you buy in an area that is adjacent to these hot centers in Oregon, you can take advantage of lower home prices and potentially benefit from appreciation in home values. Doing so will allow you to realize the best ROI.
Look for soft barriers that can be crossed with no issue, such as an area that is improving, which is adjacent to another block that is already improved. Hard barriers, like train tracks or a freeway, can make it very difficult for an improving area trend to pass across them.
Looking to Invest in OR in 2020?
Finding a hot market or a hot pocket comes from investigating potential growth areas and watching them. Get a feel for the trends. One strategy is to buy early when the prices are still low, rent the property for a while, and then sell later, once the market heats up.
If you are in the market for a new home or interested in refinancing your current property, be sure to consult with your trusted home mortgage professional.
Reach Out to Sammamish Mortgage
If you’d like to learn more about the home buying process, mortgage rates, mortgage programs, or other related topics, don’t hesitate to reach out to the professionals at Sammamish Mortgage today! Sammamish Mortgage is a family-owned mortgage company with experience since 1992 delivering mortgage loans to customers in the Pacific Northwest at competitive interest rates. States include WA, OR, CO & ID. Contact us to learn more!