Detached Homes Price Trends – Tips

When your mouse was on this tab, at the right you saw a selection of areas with information on average list prices and sale prices.  Average list prices typically exceed average sale prices by quite a bit (except east of the Willamette, where they are much closer), but don't be mislead by the difference.  If the average list price is $400,000 and the average sale price is $300,000, that does not mean that $400,000 list price homes are selling for $300,000. 

The reason is that the average list price is for all the many thousands of homes currently listed for sale in that area or neighborhood, while the average sale price is only for those which sold in the most recent month. 

While it is is a gauge for home price trends, it is best thought of as an indicator for which part of the market it selling the fastest. 

There is a chart showing average sold prices as a percentage of list prices on a per month basis, and I'd be happy to send you that for whatever area you like.  Just as an example, as I write this the average list price for Portland West/Raleigh Hills is $946,000 and the average sold price is $604,000.  Yet the average of sold price to list price – for the homes that actually sold there that month, was 98%.   98% of the average individual $946,000 list price home is $927,000, well above the average $604,000 sold price of all the homes in that sector..

I hope this has been helpful, but if I've only confused you, please contact me and I'll try to make it meaningful for you.