Dallas Oregon, like Silverton, has a 13 month inventory of homes right now. Also like Silverton, this city has made good gains in cutting that inventory down. Not that 13 months is great by any means, but at least it’s coming down.
Dallas Oregon had a similar problem that Silverton had and that was the overbuilding that occurred. Now the homes built in Dallas were much more moderately priced than the Silverton homes which is why I think their real estate market is just a tad healthier than Silverton’s…not that that is saying a lot.
In 2009, the listed vs. sold percentage was 50.8%. This was a nice improvement over 2008’s 37.7% but still off from the early part of the decades 65%. Going in the right direction…yes, but things still have a ways to go. I don’t think this is a surprise to anyone that reads a newspaper or watches the news. Real estate is just going to take a bit to recover, like the economy. It was nice to see fewer listings hitting the market this year than last year in Dallas. While 14% less homes were listed in 2009 over 2008, that number really needs to get down another 15-20% to correct the supply and demand problem. So either home sales need to come up or the number of homes listed has to come down. Personally I don’t see home sales going up a whole lot more next year so the correction will need to come on the supply end. In other words don’t list your house if you don’t have to sell.
Not surprisingly with the supply and demand problem in Dallas, homes are taking longer to sell. Homes spent 11% more days on the market in 2009 over 2008. I really don’t have anything insightful to say about this so I’ll just move on…
Okay so what happened to home prices in Dallas Oregon?
Obviously they went down. It will be an earth shattering moment when I get to say that home prices went up. So the average home price dropped 8.7% to $191,874 from 2008, and the median shifted downward 4.1% to $185,000. I have to say I’m surprised that the drop wasn’t greater, but I think there is still a bit of denial on the state of the real estate market in Dallas. Based on the supply and demand problem, large inventory, lending difficulties, and oh yes…our ongoing unemployment rate, I would expect Dallas home prices to correct another 5 maybe 10% over 2010.
P.S. Statistics used in this post were calculated from the WVMLS.