Let’s talk about the current residential inventory in Eugene.
René Nelson, Eugene commercial real estate broker
Marcia Edwards, Eugene residential real estate broker
René Nelson: Marcia, on the last show you mentioned that you’ve got three different properties with multiple offers on each one. First, congratulations.
Marcia Edwards: Thank you. That’s a big deal for those sellers.
René Nelson: Yeah, absolutely. So what are you seeing for inventory? If you’re seeing 10 offers on one property, wowza, what’s the inventory?
Marcia Edwards: Well, specific to single-family, detached residential property in Eugene in 97401 to 97408 with less than one acre, so typical residential in the Eugene area. Those are at 61% less inventory than this time last year. So there is a lot less from which to choose and the buyer demand, the pending sales only down 2%. So you’ve got a lot more pent up demand and that’s what’s creating these multiple offer scenarios.
René Nelson: I know everybody talks about this, but do you think it’s because so many people have been home with their kids or home officing that now they’re realizing, “Wow, I need more room?” Is that why people are moving and there’s less inventory?
Marcia Edwards: That’s great. That’s a great, repurposing of homes is a big reason for it. And migration in this area is becoming more and more appealing because the mild weather and some of the less of the protesting, the activity, civil unrest in other marketplaces. So there’s a lot of reasons that this seems like a cool, easy place to live. Also in addition, we’ve got earn interest rates. If you’re a first-time buyer, which 38% of the market was last year, if you’re a first-time buyer, you’ve got to take advantage of this and grab your, out of being a tenant and into being a homeowner moment.
René Nelson: Wow. All right. Let’s talk about inspections. So on these 10 offers, you whittle it down to your first one. I’m curious, are you going to put at least one in a backup position?
Marcia Edwards: Yes. Yes. So I would encourage buyers out there and buyers’ agents to consider putting their buyers in backup position. That’s not used enough, but there is a 30%, almost a 30% fallout right now because of the ready, fire, aim, market buyers go in a frenzy towards a house, they grab onto it, then they say, “What have we done?” So you want to be in backup for those.
René Nelson: Okay. So if I write a backup offer, can I continue to go look and then if I find something else that I want to make an offer on, do I just leave my backup offer in place? Because you’re going to call me if your first deal falls apart and then say, “Hey, do you still want to go forward?” Right?
Marcia Edwards: You don’t want to buy two houses, but short of that, yes, you can do what you’re suggesting. You can keep that offer out there and then disclose to the other opportunity that you are in backup position and then proceed with an offer and proceed all the way through close of escrow with a second home if you feel like that’s the opportunity you want to take. So you haven’t lost the opportunity.
René Nelson: Marcia, give them your phone number.
Marcia Edwards: I’m Marcia Edwards, (541) 221-1454.
Join Eugene, Oregon, real estate experts: Bob Nelson, Real Estate Investment Broker with Pacwest Real Estate Investments, and Marcia Edwards, Residential Real Estate Broker with Windermere Real Estate, daily at 5:30pm on KPNW for the “Real Estate Today” radio show.