Local Market Trends

Sales of single-family homes posted record gains throughout the foothills area in 2004. Fears over the potential for rising mortgage rates attracted buyers in record numbers.

Figures from local Realtors® show that the number of Realtor®-assisted sales in South Clackamas County rose from 1,055 in 2003 to 1,154 last year, an increase of 9.4 percent.

The number of sales wasn't the only indicator shooting upward. Prices climbed also.

Statistics from area Realtors® show that the median price for a home in Molalla went from $157,900 in 2003 to $164,975 by the end of 2004, an increase of 4.5 percent. A median-priced home is one whose price falls exactly in the middle of all homes sold, with half of the homes sold being priced higher, and half being priced lower. The number of Molalla homes sold in 2004 increased by 58 percent, from 181 to 286. The average home sold here was 17 years old, and had 1,599 square feet of total floor space. The average price per square foot was $114.60.

The median price in Mulino shot up 16 percent, closing out 2004 at $243,700. The number of homes sold was 39 in 2003, and 44 in 2004, an increase of nearly 13 percent. The average home sold here was 36 years old and had 1,951 square feet of total floor space. The average price per square foot was $138.35, and the average lot size was 7.86 acres.

Meanwhile, the median price in Beavercreek remained relatively stable, rising only $500. Beavercreek saw a 23-percent increase in the number of sales in 2004, from 47 in 2003 to 58 last year. The year here ended with a median price of $267,000. The average home sold was 34 years old and had 2,126 square feet of total floor space. The average price per square foot was $145.63, and the average lot size was 6.76 acres.

Unlike other areas of South Clackamas County, the number of single-family home sales in Oregon City fell slightly, from 788 in 2003 to 766 last year. Prices, however, continued to rise in this increasingly popular area, which saw the 2004 "Street of Dreams" open just east of the city limits, off Redland Road. The median price for a single-family home here was up 9.5 percent, from $210,000 in 2003 to $230,000 last year. The average home sold was 27 years old and had 2,062 square feet of total floor space. The average price per square foot was $124.86.

While federal officials who monitor and regulate the money supply took actions six times in 2004 to push interest rates higher in order to avoid having the economy get too strong, those actions had little impact on home mortgage rates. Mortgage interest rates in NW Oregon, including Clackamas County, ticked up only very modestly, and were about 1 percent above the record lows of 2003 as of the time of this writing. Relatively low mortgage rates should keep foothills area real estate sales strong in 2005.

The table below gives a broader view of real estate activity in South Clackamas County, Oregon, for the Year 2004. The chart includes data for properties with single-family dwellings, as well as with manufactured homes, townhouses, rowhouses and condominiums. South Clackamas County includes the communities of Molalla, Oregon City, Beavercreek, Mulino, Colton, Canby, Barlow, Marquam and other parts of unincorporated southern Clackamas County. For data regarding other parts of Clackamas County or the Cascade foothills, or for more detailed data, call Craig Loughridge at 503-632-8258.