Some Portland homes could sell under purchase price
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More than 6% of Portland homes listed in May risked selling at a loss, according to Redfin.
The big picture: There are a lot more sellers than buyers in the U.S. real estate market, a report from the real estate site found.
- A small but growing share of sellers nationwide could potentially sell their homes for less than they paid for them.
By the numbers: Nearly 6% of U.S. homes for sale risked selling at a loss in May, up from 4% a year earlier, though still historically low, per the report.
- Portland is still doing better than other high-priced metros on the West Coast. San Francisco (20%) and Oakland (11%), for instance, were both in the top three for share of homes at risk.
Between the lines: Homes purchased after July 2022, as prices soared to new highs, are more likely to sell at a loss than those bought during or before.
With prices now softening, "sellers are in a position where they may need to choose between accepting a lower price, or taking the home off the market," Redfin senior economist Asad Khan said in the report.
Reality check: There is still a difference between taking a loss and being underwater, or owing more money to your lender than the house is worth.
- Nearly all sellers hold enough equity in their homes to sell them for more than what they still owe on their mortgages, according to Redfin.