Find out what’s happening in the Portland rental market during the first quarter of 2024.
Hi, I’m Coty Thurman, licensed Oregon Broker and President of Living Room Property Management. I’m here to tell you what you need to know about Portland’s rental market for March 2024.
The Tale Of Two Cities
If you’ve been keeping an eye on Portland Rentals, you’ve probably noticed quite the rollercoaster ride lately. Much like the real estate sales market, Portland’s rental scene is a tale of two cities. Some homes fly off the shelves within days, while others take weeks to get scooped up. Properties boasting yards, walkability, and pet-friendly policies continue to steal the show, but only if they’re priced just right.
In the latter half of 2023, the rental market served up a buffet of options for renters on the hunt. Homes lounged on the market for 3-5 months- until the January frenzy hit. Even the great ice storm of 2024 couldn’t chill the enthusiasm, with Living Room welcoming in 2 and a half times more renters than we did in January of 2023.
We were not alone. ShowMojo, our trusty tool for scheduling rental tours, reveals that nationally, home rentals sat on the market for 43 days, that’s the longest streak in over 6 years.
Rent Drops & Concessions
During this slow time, single-family landlords borrowed a page from the apartment diaries and began offering concessions and reduced rates to make these vacant rentals more attractive to the few renters who were out searching.
At Living Room Property Management, we saw rents drop by an average of 7%, mirroring national trends which were led by Idaho, Washington and Oregon metro markets. This time around, it’s not new laws driving the market shift, but good old-fashioned supply and demand. Folks were simply not moving.
Bounce Back
Was it a glitch in the system or an extended case of seasonal lulls? Our crystal ball tells us the rental market is beginning to bounce back. By February 2024, inventory was already moving much faster. 22 days faster as a matter of fact and with this increase in speed rent prices are stabilizing.
The pressure to lower rents is easing up as more mom & pop investors cash out and single-family rental inventory dwindles.
With multifamily construction slowing down, and population GROWTH predicted for the first time in two years, the forecast hints at a return to the upward trend in rental prices.
Leverage The Opportunity
For existing homeowners who have been looking to move, this is an incredible opportunity to leverage the low interest rate of your existing starter home to make monthly cash flow and climb the property ladder to your next home.
Give the Living Room Property Management team a call for A rental assessment and let us help turn your starter digs into a savvy investment.
By renting your home rather than selling it, you help create more rental inventory, which in turn helps balance the market. And a balanced market benefits everyone—landlords and tenants alike!
Make A Move
If you’re ready to make a move, call us today, we’d love to help you find your next living room.
