1. The Portland Metro area market continued to show decreases in activity in November.
However, while closed sales were the lowest since February of this year, they decreased by
only 1% from the previous month. Pending sales were also higher than November of the
past two years.
Closed sales were down 28.7% compared to November 2009, but pending sales were up
7.4%. New listings dipped down 1%. Comparing the previous month of October 2010 with
November 2010 shows closed sales decreased from 1,292 to 1,279 (-1%). Additionally,
pending sales fell from 1,632 to 1,426 (-12.6%) and new listings dropped from 3,119 to
2,437 (-20.7%).
At the month’s rate of sales, the 13,103 active residential listings would last approximately
10.2 months. Inventory in November is the lowest it has been since June of this year ... for
full RMLS report click here.
John & Melody Hatch
& Angela
Keller Williams Realty
Professionals
9755 SW Barnes Rd
suite 560, Portland OR
97225
503-748-8310
john@hatchhomes.com
www.HatchHomes.com

2. For more statistics go to www.HatchHomes.info
Inventory saw a drop which is positive for sellers. We have seen more showings on our
listings generally over the past 2 weeks as buyers sense the need to take advantage of
buying opportunities before interest rates rise as they are predicted to do. Looks like our
Brokerage will have a record December in sales despite the gloomy RMLS numbers!
We wish you a VERY HAPPY HOLIDAY and a GREAT NEW YEAR.
To celebrate Angela joining the team as a fully licensed broker and John loosing 35
pounds we took new team photos this month!!
We launched a new web site www.northportlandhomesearch.com and Angela has 2
transactions in escrow in her first month as a fully licensed broker.
The HatchHomes team will be celebrating new year at the beach with Melody's eldest
daughter who will be visiting from the UK with her family.
Interest rates are still at record lows - contact us if you are thinking of refinancing or
taking advantage of this great opportunity to buy an investment property and would
like an introduction to a great lender!
A lot of transactions this month with lots of offers.
Our new listing on the 21st floor of the Grant Tower of American Plaza is attracting attention
- spectacular views.
So nice we took a new team photo from this condo:-
Motivated sellers have reduced the price of our new listing in Cooper Mountain.

3. We have a price reduction on our listing on SW Anthony.
Also a price reduction on our listing with fantastic views over john's landing
Our listing on Oregon city now only $165,000 - make an offer!!
A new listing in Beaverton this month, 4 bed 3 full baths one level that is immaculate
$249,900
Look for more new listings coming soon at www.HatchHomes.com
Click here to go to our latest Real Estate Internet tips.
The housing market continues its uneven and gradual recovery without the aid of the tax
credit. Experts believe this will be the trend moving forward. Interest rates hit another record
low but have started moving back up as the overall economy improves.
Despite a less-than-expected employment report, consumers seem to be feeling brighter
about the future. While the Consumer Confidence Index about the Present Situation rose
only slightly, the Expectation Index showed substantial improvement. As we enter into the
holiday gift-buying season, consumers are expected to be out shopping and buying more
gifts for under the tree this year. Reports indicate a 13-24% increase in retail sales from last
year. Consumer spending accounts for about half of all economic activity in the US; as long
as consumers are spending and using debt responsibly, this is a positive indicator for
economic growth.
This march back up continues to provide excellent opportunities: an ample selection of
homes, affordable prices, and historically low interest rates. Experts anticipate both the
economy and the housing market will continue on a path to a complete recovery.
Home Sales
Home sales dropped slightly in October, compared with the previous month, despite a
temporary moratorium on foreclosures, which have recently represented more than one
third of sales activity. Sales were up 15% from July when the tax credit expiration caused a
drop-off in sales. The most significant indicator of a market rebound, however, appears to
be the October pending sales report. A 10.4% increase in pending sales, which measures
homes under contract, signals stronger home sales activity in the coming months as the
homes under contract close.

4. Home Price
Home prices have shown considerable stability when compared with the previous several
years. October’s median home price declined slightly, down less than 1% from the previous
month and year. A recent study shows an increased interest in smaller homes. Smaller
homes often mean smaller price tags, depending on location. While the market currently
provides many opportunities for buyers, sellers look forward to the general trending upward
of home price as the market’s stability without government support grows deeper roots.
Inventory
There are fewer homes on the market. Total inventory fell to 3.86 million in October from 4
million in September. The month’s supply* of homes on the market fell to 10.5 months.
While still at a relatively high level, months of inventory has shrunken substantially since
July’s 12.5 months. As lending standards continue to loosen and return to historical norms,
more people will be able to buy their first home, move up, or invest and take advantage of
the abundant opportunities in the current market – including historically low interest rates,
highly affordable prices, and an ample but shrinking selection of homes.
* Month’s supply of inventory measures how many months it will
take to sell all the homes that are for sale, if no new homes come on
the market and buyers continue to buy at the same pace or rate.
Affordability
Housing is at record affordability levels. Prospective home buyers stand to benefit from
the lowest mortgage rates in decades, as well as advantageous home prices. The home
price-to-income ratio, 13.5% in October, continues to remain well below the historical
standard. Stabilizing home prices and rising interest rates are anticipated to begin drawing
affordability back up toward more normal levels.
Source: National Association of Realtors - October housing data released November 23.

5. Mortgage rates hit another record low of 4.17% on November 11 after which they rose to
close to 4.4% for the remainder of the month. Historically low rates have contributed to real
savings for buyers who will continue to realize those savings for as long as they own the
home. As overall economic recovery gains traction, rates must rise to keep inflation in
check. Industry economist Lawrence Yun anticipates rates to be between 5.4% and 6% by
the end of 2011.
Type Rate
30 year fixed 4.46%
15 year fixed 3.81%
5/1-year ARM 3.25%
30 year average for a 30 8.9%
year fixed rate mortgage
Source: Freddie Mac, Rates as of December 2.
Homes Have Never Been More Affordable
For most individual home buyers, there are only a few factors that really matter:
• Can I afford this home?
• Is it a good investment?
• Does it meet my family’s needs?
So it’s a bit surprising that the most important housing statistic has gone largely unreported:
homes have never been more affordable. Affordability, measured by the median
mortgage payment on the current median-priced home ($171,000) as a percentage of the
median household income ($62,141), is lower than it’s been in a generation. The chart
below shows affordability at a record level, having significantly improved since the height of
the recent housing boom in 2006.

6. For more detail, check out Keller Williams Realty’s 7 Reasons Why Now Is a Great Time to
Buy a Home!
Sources: National Association of Realtors, KW Research