[shanem]

We have had some friends who sold their house in Corvallis who said they had 10 offers in the first couple days and sold for $15K over ask. A younger guy who works for me said he's been trying to buy a house over in Vancouver but keeps getting outbid by cash buyers even with him putting 20% down and making his best possible offer.

As timing would have it, Melissa and I recently bought 5 acres out in the Gorge to build our permanent residence. To free up some cash for construction we decided to sell our current home and rent a place while they build. Monday night we put our house on market around 9pm. Tuesday at Noon our agent tells us he has showings scheduled every 30min from 2-6p. At 8p our agent calls us and says 'The showings went well today. And we have three offers coming within the hour. One of them is $5k over your listing price, the second is $25k and the third offer is $76k over listing price. All are cash offers.

Yes you read that correctly $76k over asking, no contingencies and will not ask for any repairs (not that the house needs any.) Not even 24 hours on the market. 🤯🤯🤯 #mindblown #peopleAREcrazy #sellersmarket

 

[Dave G]

We are trying to buy a second home, they are selling like hotcakes.

 

[ETR310]

Its crazy out there. My wife and I just did a refinance and, as part of the process, had an appraisal. We've had the place for less than four years . . . and already have accrued almost 30% in equity. I can't even imagine what would happen if we put it on the market.

 

[Don G Baldi]

US population is increasing at an alarming rate. Housing is in high demand.

 

[DogZilla15]

We'd kinda like to sell our Beaverton house but certainly not in the mood to buy anything right now. Crazy out there.

 

[twobullz]

Oregon is a popular place for people to move to right now. People are moving from all over the US to Oregon. With more and more people being able to work remotely they are relocating out of large metro areas to Oregon. I know over here in Central Oregon houses are going as soon as they are on the market with multiple offers. The problem is finding a place to go once you have sold. I am seeing lots that are requiring up to 90 days rent back after close.

 

[1pump]

I just had an appraisal done on my place in St Helens. It's value has doubled in 11 years. And this isn't exactly a high demand area. If it was in a hot location, it probably would have tripled.
I have a rental in PDX, but since I rent it to a friend, I don't charge enough rent. I'm going to have to dial down the compassion a bit. I'm not making enough money on it.

US population is increasing at an alarming rate.

Ya think? I've been screaming about this for years. Not just the US, but globally. And people wonder why we have pandemics.

 

[ohmytodd]

I've given up trying to buy a place at the coast, 3 times now I've gotten the call to go check a place out and it was sold by the time I got there for cash over asking. It's hard to compete with that, I'm looking to buy an RV instead and wait for things to settle down. It may be a very long wait, the whole region is nuts.

 

[lilnorthfork]

'over list price' is relative... what is it as a percent? Not saying this is the case with your's, as I don't know anything about your home or Realtor, but there are occasions when homes are being underpriced. Need to be looking forward 2-4 months when pricing and find out what current pendings will be closing at. And yes, it is a crazy market... for both homes and land.

 

[cchinook45]

We have had some friends who sold their house in Corvallis who said they had 10 offers in the first couple days and sold for $15K over ask. A younger guy who works for me said he's been trying to buy a house over in Vancouver but keeps getting outbid by cash buyers even with him putting 20% down and making his best possible offer.
5
As timing would have it, Melissa and I recently bought 5 acres out in the Gorge to build our permanent residence. To free up some cash for construction we decided to sell our current home and rent a place while they build. Monday night we put our house on market around 9pm. Tuesday at Noon our agent tells us he has showings scheduled every 30min from 2-6p. At 8p our agent calls us and says 'The showings went well today. And we have three offers coming within the hour. One of them is $5k over your listing price, the second is $25k and the third offer is $76k over listing price. All are cash offers.

Yes you read that correctly $76k over asking, no contingencies and will not ask for any repairs (not that the house needs any.) Not even 24 hours on the market. 🤯🤯🤯 #mindblown #peopleAREcrazy #sellersmarket

Bought ours in 1985 , 67,000$, near Hillsdale , 1 bathroom , 1600 sq. ft. no garage , Schools are Wilson , Bridlemile ,Robert Gray , got an offer for almost 600,000$. Insane !

 

[Don G Baldi]

I bought the lot I'm sitting on in West Salem about 2012 and put a custom build on it in 2015. The current estimate on Zillow is double our cost. The guy that is now my neighbor said he was offered the last lot on this street for something like $32k and suggested we bought our lot. At the time, I wasn't that interested and passed on it since we still lived across town in my old house and was looking to move to the coast. A year or so later that lot sold for $43k. Last fall someone bought it for $105k and is almost finished building on it. In talking with him, he said he looked all over and was finding the price for a building lot with utilities at the curb to be in the $175k range so he didn't feel bad about getting it for $105k. And it is a small lot with part of it needing a lot of compacted fill to get enough footprint for the house. Shoulda, coulda but didn't buy it when the opportunity was there. Hindsight and all.

 

[Bladdershy]

Cash offers are there for a reason. All for them if they want to spring on it without an inspection.

 

[Buccaneer]

As you all know, supply is low and demand is high. I've been in the real estate valuation arena for over 40 years in the Portland market area. In my opinion, one of the major contributing factors in prices is the Urban Growth Boundary. This arbitrarily limits the supply of available land to develop. As such, site values (finished lot ready to build) have increased beyond any reasonable level. For you younger folks, back in my early career, one could find a lot in a new subdivision, buy it and hire their own builder to build the plan they want. Not anymore. Try to buy a lot in a new development to have your builder construct your new home. I would submit that this is pretty much impossible these days. You'll have to buy one of 4 or 5 plans the big players are building. There is a relatively new development near me on Thompson Rd. It might be Arbor, but I don't remember. These are 2,500 to 3,500 sf homes on small lots with maybe 5' side yards. They all look the same. The sign at the entrance states prices start just below $700,000. These are today's tract homes. The developers have essentially bought up or optioned all of the available land inside the urban growth boundary as well as land within urban reserve areas that may be next in line for boundary expansion.

Lenders want appraisers to complete a cost approach which requires a site valuation, and depreciation calculation among other steps. One can't find comparable site sales to estimate the site value from the market, so residual techniques are needed to figure out a reasonable site value estimate. However, in this type of market environment, typical methods of calculating accrued depreciation doesn't make sense. What I've observed is either older improvements (the buildings) haven't depreciated at all, or the site value to total value ratio is extremely high. Likely both.

Good luck. If you are like us (we own our home outright), we can't afford to sell our house and buy another in our area. We're stuck until we decide to move out of the area.

 

[4labs]

Shanem
Congratulations on your sale and the start of a new adventure
Hope your dreams come true

 

[lilugly]

250k in 13 now 560k in 2021 glad I bought when I did

 

[shanem]

'over list price' is relative... what is it as a percent? Not saying this is the case with your's, as I don't know anything about your home or Realtor, but there are occasions when homes are being underpriced. Need to be looking forward 2-4 months when pricing and find out what current pendings will be closing at. And yes, it is a crazy market... for both homes and land.

11% over what we listed it for. We have been in the house since 2008 but did a refi last May and it was appraised then. Sure prices could keep going up or they could stall or burst. But that extra $76k just bought me a driveway, well and septic at the house we’re building. We could have held out and tried to get a bidding war going but we break ground on the new house in 2 weeks so I’d rather have this sold and cash in the bank.

Having bought/sold a few houses over the years this is the first time we’ve ever had something go so quickly and for so much more than the comps in the area.

 

[1pump]

It's the old double-edged sword. Get a ridiculous offer on your house and do a happy dance. Then suddenly remember you still have to buy another place, and it's an anxiety attack.
The people who make out like bandits are the ones moving out of the area. I visualize them running to the bank, laughing maniacally, hauling an oversized suitcase stuffed with $100 bills, and the loose bills are sticking out and falling to the ground like breadcrumbs.
They better pray that they don't have to move back for some reason.

 

[Don G Baldi]

Made me look. The old tract house on the east side of Salem went on the market in 2015 for what the realtor and I both thought was an ambitous ask of $160k. Well above comparables. Within a week we had two offers of $185k so we picked the one proposal with the best financing company. Now, less than 7 years later, that house on Zillow is estimated at $324k. Hmmm.

 

[Captain Kirk]

$48.00 for a SINGLE sheet of 7/16 OSB plywood right now. Do the math on what it is costing to build a "She Shed" let alone a house. And a single 4x6x12 treated is the same $48.00 each

 

[uhmw]

Fools gold. Are incomes rising this fast? Rich people just cant find a home for sale and when they do the spend way too much for it. The foreclosure market is non existent. Of course no one wants too or is being forced to sell or move for a job. The foreclosure moratorium coupled with the generous unemployment benefits and cash bonuses are keeping people satisfied with not working or worrying about their housing. Have you seen the price of a 2x4 or plywood?? give a popper $1400 and a basic free income for a few years and watch the cost of everything go through the roof for every one else this is madness.