Clark County’s housing market cools

Buyers looking to get into a house in Clark County for less than $400,000 are now in luck. Hundreds of homes are available here in that price range as the county’s real estate market cools. The local real estate market was very unhealthy during the pandemic — with high demand and low inventory — before balancing out, said Mike Lamb, a longtime broker at Windermere Northwest Living. “It looks like we’re definitely in a buyer’s market now,” he said. Lamb said the local market is showing some significant reductions “and we’re starting to see some really good prices.” Pending sales fell 13.2 percent in September compared with September 2025, according to the latest data from the Regional Multiple Listing Service. Closed sales fell 5.5 percent over that same time. Homes are sitting on the market on average five days longer, bringing the average total time on market to 70 days, according to RMLS. Clark County’s inventory is the highest it’s been in 13 years, Lamb said. Inventory is at 4.3 months, which means that’s how long it would take to sell all the homes currently on the market if no new homes were listed. Listing prices are falling as more sellers try to attract buyers. Clark County’s average listing price is currently $619,000, according to real estate website realtor.com. That’s roughly 4.5 percent lower than a year ago, according to the website. “Expectations always lag, but we are starting to see sellers who are becoming much more realistic,” Lamb said. The area’s median sale price is still hovering around $550,000, according to the RMLS report. Lamb suspects some homes were simply priced above their market value. Listings also include more houses that aren’t in good condition, while current buyers generally have higher expectations for homes. That’s a change from recent years, when most of the inventory was in good condition. “The good stuff that is priced well is selling at reasonable market time,” Lamb said. That, he added, is why the average time on the market is only 70 days when some homes are sitting there much longer. Lamb said there have been times in his career when that figure was closer to 90 days. “We have still not gotten to that point yet, but it’s going in that direction,” Lamb said. Mortgage rates over 7 percent are also a factor. “I think it’s safe to say that interest rates have had a cooling impact on the market,” Lamb said. “Where it hits hardest is the first- and second-time homebuyers.” Those with more equity and smaller loans are more insulated from higher mortgage rates, Lamb added. He stressed that 7 percent used to be a good mortgage rate. Housing, however, is more expensive now. Interest rates have a huge impact on what a buyer’s actual monthly payment will be, regardless of the home price, said Brett Norris, vice president of portfolio and wealth management at Portland-based financial firm Ferguson Wellman. Average payments The average payment for a $400,000 house on a 30-year loan at pandemic-era rates, which were around 3 percent, would have been $1,500 a month, assuming a 20 percent down payment, Norris said. That payment would have been $2,000 per month this time last year, when rates were around 6 percent. The same payment now would be closer to $2,300 per month with interest rates surpassing 7 percent. “Because interest rates have increased, your monthly cash flow and your ability to make the mortgage payment have changed drastically,” he said. There’s a secondary effect at play, as well, Norris said. Would-be sellers may be inclined to keep their homes and protect those low mortgage rates. Some homebuyers are concerned rates could climb higher as the U.S. Federal Reserve is expected to raise the overnight rate later this year. But the connection between that action and mortgage rates isn’t direct, Norris said. Mortgage rates more closely follow 10-year Treasury notes traded on the bond market, which take into account that overnight rate, but also things like the national deficit and higher-than-normal inflation. If the Federal Reserve is widely expected to raise the overnight rate, Norris said, the 10-year Treasury note likely has already priced that in. That could mean mortgage rates remain flat, despite an overnight rate increase, he said. An abundance of homes for sale under $400,000 wasn’t often seen in recent years, Lamb said. But those reductions may be influenced by a home’s condition or its changing neighborhood. “I’m not doom and gloom about this at all,” Lamb said. “I think it’s a healthy adjustment that we’ve been long overdue for.

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