Greetings:
Nationally, existing home sales ticked up by 0.8% from April to a seasonal adjusted rate of 4.03 million, a median sales price of $422,800, and 4.6 months of inventory in May 2025. Year over year, sales have declined 0.7%. According to NAR Chief Economists Yun, “the relatively subdued sales are largely due to persistently high mortgage rates.” In the latest report by the Census Bureau, housing starts are at an annual adjusted rate of 1.256 million in May, its lowest level in over 5 years. The simple fact is that we need more housing nationwide as well as in Oregon. Nationwide, 28% of homebuyers decided to move to different areas with Florida leading the way, followed by Arizona, North and South Carolina, and Tennessee. California, New York, Illinois, Washington and Maryland were the top 5 states homebuyers moved from.
The Oregon Housing Market for June 2025 shows the average sales price of a home went up +0.4 to $525,800. The average number of homes sold was down -4.2%, and the number of homes for sale rose +10.9%. The direction and pace at which home prices are changing are indicators of the housing industry in Oregon. Oregon’s housing crisis continues not from the lack of homes for sale at over 19,911 but from the price of these homes. Only 41% of Oregonians can afford to buy their first home.
In Douglas County new listings decreased in June 2025 by -15.5% (180) from the 213 listed in June of last year. Also, new listings in June decreased by -17.1% (180) from the 217 listed in May 2025. Pending sales for the month of June were up +11.5% (146) compared to May 2025 at 131. However, they have declined -2.3% when you compare year-to-date 2024 (730) to year-to-date 2025 at (713). Closed sales were also down by -10.3% June 2025 at (96) which is lower than the 107 closings in May 2025. Year-to-date our closed sales are down -5.7% (601) in 2025 to 637 in 2024.
The average sales price for the month of June 2025 decreased -15.4% to ($338,500) compared to June 2024. Also, the average sales price for June 2025 is down from May 2025 -9.0% when it was ($372,000). Our year-to-date prices are down as well by -1.7% to ($344,100) from $349,900 in 2024. We currently have a 5.7 month of inventory of houses on the market for sale, which is the second highest level of inventory available in over 5 years.
The average price per square footage of homes now selling is $210, which is down slightly compared to May of this year when it was $230. This is an indicator that the sellers are willing to take less than the asking price to get their home sold. Currently, homes in Myrtle Creek/Southern Douglas County are the most affordable at $252,000, followed by North Douglas County at $277,400, then Green at $285,400. Glide continues to lead the average sales price of $549,400. These prices reflect the desire for buyers wanting to live on the North Umpqua River.
Many economists predicted that home prices for 2025 would be in a state of flux, decreasing from a year ago as buyers and sellers are adjusting to the market. We knew the low interest rates of 2.5-3.5% were not sustainable; and with the average interest rate of 7% on a 30-year mortgage, it’s pricing many buyers out of the market.
Please keep all our Armed Forces men and women who are serving, our First Responders, and Veterans in your thoughts and prayers for remember our “FREEDOMS ARE NOT FREE!” GOD BLESS THEM AND GOD BLESS AMERICA!
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