Tag Archives: Aurora Oregon News

Aurora, Oregon’s Magic Housing Number

12 Feb

Aurora Oregon, Aurora Oregon Homes, Aurora Oregon Real Estate

Abundant Aurora Area Real Estate Information Can Seem Like Drinking Water From A Fire Hydrant

TMREI: Too Much Real Estate Information
Sometimes absorbing the sea of Aurora, Oregon real estate information is more like drinking from a fire hydrant. Yet, out of all the seemingly helpful real estate data bandied about, there is one especially helpful number, which when understood, can provide near-magical clarity to both Aurora, Oregon homebuyers and homesellers.

Aurora Oregon, Aurora Oregon Homes, Aurora Oregon Real Estate

You Needn’t Be a Magician to Understand Aurora, Oregon Home Inventory

What Is It?
What is this ‘magic’ number and what does it represent? Simply put, it’s the current figure for housing inventory, typically expressed in months of projected home supply.

Listen to the audio podcast presentation of this helpful program on Aurora, Oregon real estate by clicking here or on the above link.

Aurora Oregon, Aurora Oregon Homes, Aurora Oregon Real Estate

Aurora, Oregon Real Estate Inventory is Different Than Bingo

Housing inventory is also sometimes known as home inventory or housing backlog. Why is this number so important? Once you understand the single figure that defines our current supply of local available Aurora, Oregon homes for sale, you have an instant ‘snapshot’ on whether you’re in a buyer’s market, seller’s market, or more of a balanced real estate market. Armed with that information, you’re far more ready to do battle in the real estate trenches and more likely to avoid some usual minefields. 

Normal Home Supply
Among real estate experts, a ‘normal’ range for home supply in parts of Oregon-including Aurora-is frequently cited as somewhere between three to six months. For example, if the home supply figure is three, then hypothetically our market would be ‘out of homes’ in three months, provided no new homes were placed for sale. In other words, if our regional home inventory figure is within three to six months, we’re typically experiencing a normal market, meaning one not far from a balance of supply and demand, also called equilibrium. In a way, it’s kind of like an absorption rate for how fast supply is used up.

Aurora Oregon, Aurora Oregon Homes, Aurora Oregon Real Estate

Your Mileage May Vary
It’s helpful to understand that home inventory figures are more of an average for a region. In Oregon, major real estate regions include Portland, Bend, Eugene, Salem and the Oregon Coast. Aurora is equidistant between Portland and Salem, so the market might be considered a ‘hybrid’ of sorts. Schools can also be a driver for many homebuyers and given the Clackamas County/Marion County ‘divide,’ it makes sense to consider this factor when analyzing Aurora’s unique Oregon real estate market niche.

So if your property is located in or near Aurora within Clackamas County, the Portland area inventory figure is frequently cited as a bellwether for housing backlog. If your home is located in or near Aurora within Marion County, the Salem inventory figure provides an alternative approximation of local home supply. It’s also likely that your specific area could be somewhat different altogether, based on a variety of hyper-local factors affecting both demand and supply. That said, home inventory is an undeniable and convenient ‘thumbnail’ sketch to help assess what kind of market you’re in.

Aurora Oregon, Aurora Oregon Homes, Aurora Oregon Real Estate

What’s The Practical Impact of Housing Inventory?
Consider real estate and inventory like a pipeline. If more flows through it, the product is plentiful and therefore the cheaper it is to buy. So with a lower, dwindling home supply and the spigot turned down, the reverse is true. That’s when the local real estate environment favors sellers, because there are more buyers and it’s considered a ‘seller’s market.’ In that case, expect a short market time and an environment where homesellers receive multiple offers, often at or above listing price. If the supply of homes is higher, it’s considered a ‘buyer’s market.’ This means you can expect a longer market time, with homesellers seeing few, if any offers…and frequently for less than the asking price.  

 Aurora Oregon, Aurora Oregon Homes, Aurora Oregon Real Estate

Negotiation is Expected, But Most Aurora Homesellers Don’t Like ‘Armwrestling’ With Buyers

It’s routinely a good idea for buyers to get a ‘heads up’ before making an offer to determine how ‘hot’ or ‘cold’ the market is. Otherwise, if you ‘lowball’ a just-listed home in a seller’s market, you may be lucky to even get a counteroffer instead of an outright rejection by sellers experiencing lots of calls and showings on their property. Coming in with an offer that’s too low sometimes causes offended sellers to refuse to seriously consider a possible follow up offer.

Aurora Oregon, Aurora Oregon Homes, Aurora Oregon Real Estate

The Number of Competing Aurora, Oregon Homes for Sale Affects Market Time

What’s the Big Deal About Housing Inventory?
One reason housing inventory is so important is because it helps buyers and sellers to better manage expectations. Most buyers are interested in how long it may take to find the ‘right’ house. Inventory affects this. Alternatively, most sellers are interested in how long it may take to find a qualified buyer. Inventory affects this, too.

Aurora Oregon, Aurora Oregon Homes, Aurora Oregon Real Estate

Aurora, Oregon Homesellers Can ‘Jumpstart’ Activity With Accurate Pricing

That’s because a high home inventory tends to slow down the market time and low inventory frequently provides a ‘jump start’ to activity. One way sellers can help to avoid an excessively long market time is to review comparable local home sales information provided by their Realtor to ensure proper, market pricing.

Another reason housing inventory is crucial is because it can significantly impact so many other important factors. In other words, inventory is a ‘driver’ for market time, selling price, appraisal results, lendability and more.

Okay, So Inventory Is Important. What Does It Look Like?

Aurora Oregon, Aurora Oregon Homes, Aurora Oregon Real Estate

Portland Metro Sample Home Inventory

The above image provides a good example of fluctuating home inventory. As our Aurora, Oregon real estate market bounced back from the severe market downturn of the Great Recession, home inventory reduced from more than twenty months of housing supply to less than three.

Aurora Oregon, Aurora Oregon Homes, Aurora Oregon Real Estate

It’s Wise to Consult An Experienced Realtor Before You Leap Into the Market

Contact the Experts
Thinking about selling your Aurora, Oregon property? Know the market before diving in! Contact Certified Realty with your questions and for a free consultation on what your property could sell for today using the contact form below, or call (800) 637-1950.

Aurora, Oregon Road Safety Project

8 Nov

A recent announcement was made by the Oregon Department of Transportation (ODOT) affecting Aurora, Oregon residents. According to ODOT, the estimated cost is 7 million dollars, with construction to occur in 2020.

Included in the announcement is an Ehlen Road Safety Project and related Open House. Read the entire ‘OR-551 at Ehlen Road Safety Project’ information sheet here.

An Open House for the project is scheduled for Monday, November 21, 2016 from 4:30-6:30PM at the North Marion High School Commons, 2067 Grim Road NE, Aurora, OR 97002.

ehlenroad-page-001

Dancing the Aurora, Oregon ‘Two Transaction Tango’

31 Oct

Aurora OR, Aurora Oregon Homes, Aurora Oregon Real Estate, Aurora Oregon Properties, Aurora Oregon

Simultaneous/Consecutive Home Transactions
Selling your Aurora, Oregon home and buying a replacement property are frequently linked activities. In this article and related audio podcast, we reveal how to maximize the efficiency and minimize the bother when simultaneously home buying and home selling.

Click here or on the ‘play’ button below for the audio version of this presentation about homebuying while homeselling.


We’ll also examine options to help decide if either simultaneous or consecutive real estate transactions may be best for you.

Aurora OR, Aurora Oregon Homes, Aurora Oregon Real Estate, Aurora Oregon Properties, Aurora Oregon

Timing
The singular act of buying or selling a home is often the foremost concern of many. Whichever immediate task you may be considering, it’s common to have twice the activity anticipated, but in two steps. That’s because Aurora, Oregon home buyers often not just have a home to sell…in addition, Aurora, Oregon home sellers are frequently seeking a home to buy. So what’s the best way to navigate this potential real estate quagmire without getting entangled in a morass of stress and needless extra costs?

Aurora OR, Aurora Oregon Homes, Aurora Oregon Real Estate, Aurora Oregon Properties, Aurora Oregon

First Steps
To begin, it helps to examine three common dual home sale/home purchase options:

  1. Selling your existing house first, then buying your next house.
  2. Buying the next house first, then selling your existing house.
  3. Simultaneously moving from your existing house to your next house.

Your challenges, benefits and results will largely depend upon which of these three decisions you settle upon. Here are three quick takeaways for these three usual options:

Aurora OR, Aurora Oregon Homes, Aurora Oregon Real Estate, Aurora Oregon Properties, Aurora Oregon

Option #1.  Selling your existing house first, then buying the next house
This option usually requires a ‘double move.’ Yet one advantage of this approach is that you won’t have double house payments. One disadvantage is that you may have to move twice.  An added benefit of this ‘selling first’ approach can include negotiating with strength in the purchase of your next home. That’s because your purchase needn’t be contingent upon the sale or closing of your sold home. As a result, you are seen as a ‘cash in fist’ buyer, or at the very least, a buyer who is considerably more likely to qualify for a home purchase, given that you ostensibly now have access to the equity in your now-sold home. This helps you negotiate with more power in the purchase of your next home.

Aurora OR, Aurora Oregon Homes, Aurora Oregon Real Estate, Aurora Oregon Properties, Aurora Oregon

Option #2.   Buying the next house first, then selling your existing house
When first buying a house, then selling yours, one advantage is that you know where you’ll be moving. The reduced stress of ‘knowing where you’ll land’ is empowering.

Unless you’re a cash buyer, you’ll likely need to qualify with a lender. And if you have an existing loan in place on the house you’ll be selling, this may mean you need to qualify for two loans, your current home loan and the loan on the house you’re buying.

As long as your current Aurora, Oregon home sells in a timely manner, added financial obligations can be minimized.  For more information about bridge loans, see the below ‘A Bridge Too Far?’ discussion.

Aurora OR, Aurora Oregon Homes, Aurora Oregon Real Estate, Aurora Oregon Properties, Aurora Oregon

Option #3.  Simultaneously moving from your existing house to your next house
This situation is very common. Provided your activities are clearly thought out, well-executed and contingencies are in place for protection, it’s also one of the more affordable options.

Think far ahead and shoot for impeccable timing, in order to make your move the smoothest possible. In order to have sufficient time to move out soon after closing on your current home’s transaction, you will need to locate your next home, write an accepted offer, have the home inspection and if you’re getting a home loan, likely an appraisal…all before you close on the purchase and can actually move in.

One advantage of this approach is that you won’t have double house payments. You also know where you will be landing, and you won’t likely have to move twice. One disadvantage is that your timing needs to be good and possibly have a little extra ‘cushion’ to allow for emergencies, like delays with appraisals, inspections and repairs. Otherwise it’s easy to feel ‘squeezed’ by your being in the middle of two time-sensitive transactions.

That’s one challenge of going this route; It’s complicated by not knowing with precision the timeline of certain key activities. That’s because while home inspections can usually be completed within a set time frame, like 10-14 business days, other requirements like appraisals, can take much longer, with less certainty of the completion date. On top of that, most transactions involve two appraisals, one on the house you’re selling and another on the house you’re buying. So if you plan on a simultaneous sale/purchase, huddle up with your Realtor to create a well planned timeline, then build in some extra breathing room, as necessary.

Aurora OR, Aurora Oregon Homes, Aurora Oregon Real Estate, Aurora Oregon Properties, Aurora Oregon

A Bridge Too Far?
One way to do purchase a house without first selling your Aurora, Oregon home is with what’s called a ‘bridge loan.’ This is effectively a loan against the equity on your existing home. There are plenty of added details, but for the sake of simplicity, just understand that if you use a bridge loan to buy your next home, until your current home is sold, you will likely have double house payments. So if your current home doesn’t sell in a timely manner, hopefully the squeeze on your wallet won’t be more stressful than if you were to have simply sold your existing home first. 

Aurora OR, Aurora Oregon Homes, Aurora Oregon Real Estate, Aurora Oregon Properties, Aurora Oregon

Tools of the Trade
To accomplish the job of simultaneously buying and selling homes, among the most common protective tools is called a contingency. Consider contingencies as akin to safety goggles. They’re designed to prevent a mishap, only in this case, the mishap could be losing your earnest money.

Aurora OR, Aurora Oregon Homes, Aurora Oregon Real Estate, Aurora Oregon Properties, Aurora Oregon

Earnest Money
Earnest money is usually a certain dollar figure placed on deposit as a sign a buyer is earnest, and later applied to the home purchase. This helps convince sellers that a buyer is serious and take their property off the market. Earnest money essentially helps to ‘hold’ a property for a buyer. Earnest money is not often the total down payment, although it can be applied as part of the down payment.  Earnest money is important to homesellers, because without it, a buyer could otherwise tie up the seller’s property with virtually no obligation.

A large part of contingencies relate to a buyer keeping their earnest money, or the initial deposit showing the buyer is ‘earnest’ in proceeding to closing on a home sale. If a homebuyer does not have a sufficient contingency in place during a home sale, forfeiture of a buyer’s earnest money becomes possible. It’s not terribly common, but it can and does sometimes happen.

Types of Contingencies
Home inspection contingencies provide buyers with the right to have a house inspected for a variety of conditions, all within a specified time frame. Another common contingency is the loan contingency, so if for some reason a lender does not approve a buyer or the property for a home loan, the earnest money deposit is returned to the buyer. Buyers have lost out on qualifying for a home loan because they went out and bought a car during the home purchasing process, thereby disrupting their loan ratios.

The Reality of Earnest Money Deposit Risk
As long as appropriate contingencies are in place and they’re followed in a time-conscious manner, it’s relatively uncommon for buyers to lose their earnest money. It’s always a good idea to keep an eye on your timeline.

Aurora OR, Aurora Oregon Homes, Aurora Oregon Real Estate, Aurora Oregon Properties, Aurora Oregon

Buying And/Or Selling?
Use the form below to contact Aurora, Oregon veteran Realtor Roy Widing with Certified Realty for a FREE consultation. Whether your real estate situation involves homebuying, homeselling, or if you simply have questions about our current Aurora, Oregon real estate market, Roy can help!

Sold: 86+ Aurora, Oregon Acres

20 Oct Aurora Oregon, Aurora Oregon Farm, Aurora Oregon Acreage

This now-sold Aurora acreage property is located east of I-5 at near Exit #278, north of Ehlen Road.

Aurora Oregon, Aurora Oregon Farm, Aurora Oregon Acreage

Soils include desirable Class II Amity Silt Loam. Also included is Oregon irrigation permit for 78 acres.

Aurora Oregon, Aurora Oregon Acreage, Aurora Oregon Farm, Aurora Oregon Irrigation

This property features mostly level ground.

Aurora Oregon, Aurora Oregon Acreage, Aurora Oregon Farm, Aurora Oregon Irrigation

Buying or selling Aurora property? For more information, contact Roy with Certified Realty, our AuroraOregon.com sponsor, using the convenient form below, or call (800) 637-1950.

Aurora Marijuana Grow & Processing Site Proposed

16 Jun

A recent application for a proposed ‘marijuana grow and processing site’ was recently submitted before the Aurora planning commission. 

Aurora Oregon, Aurora Oregon News, 97002

Click to Enlarge Hearing Notice

The proposed property location is on Ottaway Road NE, not far from the Aurora post office.

The hearing is scheduled at the Aurora City Hall on July 5, 2016 at 7:00pm.

Aurora Country Living-Sold!

31 Mar

Aurora Oregon, Oregon Acreage, Hobby FarmThis now sale-pending spacious and attractive 3+ bedroom home is located on 1.58 level acres just minutes to Wilsonville, Portland and Salem.
Aurora Oregon Real Estate, Aurora Oregon, Oregon Hobby Farm, Oregon Real Estate, Willamette ValleyThis home has been lovingly maintained and includes both a fireplace and pellet stove.
Aurora Oregon, Willamette Valley, Real Estate, Oregon Hobby Farm, Horse Property, Wilsonville Horse Property, Canby Oregon Hobby FarmThe home includes tasteful carpet, tile, and laminate flooring.Oregon Hobby Farm, Willamette Valley Real Estate, Oregon Acreage, Oregon Horse Property, Wilsonville Oregon, Hobby Farm Horse OregonThe master bedroom features a bathroom and indoor sauna.Aurora Oregon, Oregon Horse Property, Equestrian Oregon, Aurora Oregon Real Estate, Oregon Homes, Hobby Farm OregonAdded features include front and back decks, plus plenty of room outside for animals. With plenty of level ground, this property definitely has equestrian appeal and is horse-friendly.Aurora Oregon, Home on Acreage, Hobby Farm Oregon, Oregon Acreage, Oregon Equestrian, Oregon Horse PropertyThe home has more than 2,200 square feet of living space, plus living and family rooms, so there is plenty of room for entertaining, inside and outside. Possible 4th bedroom could also be an office, den, computer room or sewing room.Aurora Oregon, Oregon Horse Property, Willamette Valley, Oregon Homes, Wilsonville Horse Property, Oregon Horse Property, Oregon Aurora, 97002This property is located in the desirable Canby school district and includes a spacious 36’×48′ 3-bay shop with 10′ doors & openers.
Aurora Oregon, Oregon Homes, Oregon Aurora, Willamette Valley, Oregon Farm Property, Rural Horse Property, Horse Land, Wilsonville Horse, Oregon Hobby Farm
The shop includes a cement floor and power.
Aurora Oregon, Oregon Aurora, 97002, Oregon Horse Property, Oregon Horse Land, Small Acreage Oregon, Horse 97070Also included is a sturdy 35′ x 14′ x 12′ covered RV shed .

View Home Tour Video

This property was sold by our AuroraOregon.com sponsor, Certified Realty. Thinking about selling your Aurora, Oregon property? For a free consultation on what your Aurora area property could sell for in today’s real estate market, contact Certified Realty using the convenient form below, or call 503-682-1083.