Amidst lagging supply levels, existing-home sales this spring have sprung!
The recovery of the housing market has supported the growth of our community and we are seeing development all around us. With the increase of minimum wage this July and new construction supporting steady job creation, Medford is keeping up with national trends. From a national level, sales of existing homes in May rose to their highest level in more than nine years with the median price climbing to an all-time high of $239,700.
Locally, our median price this May was $249,900 vs last May at $235,000-putting us close to the national average. In Jackson County, we have had a 5.6% price increase over last year, and homes are selling at a faster pace as properties are getting snatched up almost two weeks quicker than they were last year. Zillow estimates that home values in Medford have gone up 10.8% over the past year and predicts they will rise 3.5% within the next.
This summer we should see first-time home buyers and millennials enter the market and take advantage of the low-interest rates as they seek opportunities to avoid paying increases on rents, as Zillow has reported a 7% rise in median rent per month and a median rent at $1,495 per month for Medford. All this growth and change in our community comes with an increase in diversity, with the demographics of our area currently at 33% single residents, 61% homeowners, 40 as the median age, $44,188 median household income, and 27% are college-educated.
In addition, homeowners are also realizing they have built equity in their homes over the last few years and are considering trading up or downsizing. If you’re trading up, you’re in good luck as builders are focusing on bigger homes with more amenities and more square feet. According to the National Association of Realtors, “From 1999 to 2015, the number of new, single-family homes under 1,400 square feet fell by 75%, while the number of new homes 4,000 square feet or more rose 22%.” Ashland, Jacksonville, and East Medford continue to carry the higher price tags with the average price of a new home in East Medford at $358,897, resulting in a 35.9% price increase over the last five years.
What does it mean if that price range doesn’t fall within your affordability index? Don’t sweat! There are many programs available for Buyers with little or no down payment, just contact your favorite Financial Advisor, Mortgage Lender, or Realtor who is happy to sit down and discuss your options with you. Be sure to take some time this summer to get a good feel of your financial situation by mapping out your growth plan and setting your investment goals so you can make wise, long-term strategies for your future. And remember, no matter where you’re at in the process of renting, buying, or selling-be sure to educate yourself on the market trends so you can embrace this change and thrive in our great community as we continue to make progress.
Shanon Pewtress
Real Estate Broker, Licensed in the state of Oregon
Published July 16,
Shanon holds an MBA in International Business, has consistently received Top Realtor and President awards each year at John L. Scott (the Rogue Valley’s #1 firm), and loves writing in her “At Home with Shanon” column that has been delivered to 47,000+ homes in Medford since 2014, has appeared on the Real Estate Radio Show and was also featured on A&E TV network’s Real Estate Reality TV show.