The Oregon real estate market is starting to even out, but it remains fiercely competitive. Case in point, some buyers are paying hundreds of thousands over the asking price. Zillow data from January to November 2025 shows that standout homes and condos often sold for much more than sellers expected. This highlights that demand is still strong for unique, well-located, and move-in-ready properties.
According to Zillow, buyers in Oregon entered 2025 with more leverage than in recent years, following a long stretch in which limited inventory strongly favored sellers. While affordability challenges persist, market conditions have improved compared with a year ago.
“Affordability is still a hurdle for home buyers, but 2025 brought real progress,” said Kara Ng, a senior economist at Zillow. She pointed to a combination of moderating home values, easing mortgage rates, and gradual income growth as factors that helped buyers re-enter the market. Nationwide, average monthly mortgage payments declined by more than $100 compared with late 2024, giving some households the flexibility to move forward with purchases.
Mortgage rates, while still elevated by historical standards, also trended lower. As of mid-December, the average rate on a 30-year fixed mortgage stood at about 6.21%, down from 6.72% at the same time last year, according to Freddie Mac. That shift, Ng noted, has been meaningful for buyers sitting on the sidelines.
“For many households, that small change can be the difference between waiting and finally being able to buy or sell,” she said, adding that Zillow expects market activity to pick up further during the spring buying season.
Turnkey Homes Command Top Dollar
Even as conditions normalize, not all properties are benefiting equally. Portland-area broker Marisa Swenson said buyers remain selective, with a clear preference for homes that require little to no work.
“Homes with thoughtfully designed updates, strong marketing, and desirable locations are still selling with multiple offers,” Swenson said. In one Southeast Portland transaction she handled, a buyer ultimately paid $300,000 over the asking price to secure a turnkey home.
That premium reflects buyer hesitation to take on major renovation projects, especially amid uncertainty around construction costs and resale values. Still, there are exceptions. One fixer-upper in Southeast Portland’s Hosford-Abernethy neighborhood sold for $270,000 over list price, largely due to its scale, character, and long-term potential.
Homes That Sold Far Above Asking
Zillow’s data highlights the most extreme examples of bidding wars across Oregon in 2025. Among single-family homes, premiums ranged from roughly $265,000 to an eye-catching $850,000 above list price.
In Southeast Portland’s Sellwood-Moreland neighborhood, a contemporary three-story home sold for about $1.37 million, more than $265,000 above its original asking price. The six-bedroom residence, built in 2009, drew attention for its modern finishes, spacious layout, and third-floor primary suite with views of Mount Hood.
Another notable sale involved a 1910 Craftsman home on Southeast Ladd Avenue in Hosford-Abernethy. Though the house was largely unrenovated, its generous proportions and historic details sparked a competitive bidding process. The property ultimately sold for $920,000, exceeding its asking price by more than 40%.
Southern Oregon also made the list. Near Ashland, a Craftsman-style home with sweeping valley views sold for nearly $1.78 million, almost $279,000 above its list price. Set on more than six acres, the property included a guest house and modern accessibility features, making it appealing to a wide range of buyers.
Several Portland neighborhoods saw similarly strong results. In Richmond, a 1909 Craftsman with six bedrooms and updated interiors sold for nearly $1.28 million, roughly $285,000 over asking. In Arlington Heights, a historic Colonial Revival home designed by noted architect Morris H. Whitehouse fetched $2.25 million, about $300,000 above list, after receiving extensive renovations, including seismic upgrades and solar panels.
Architecturally distinctive homes also drew attention. A renovated midcentury modern residence in Sellwood-Moreland, known for its appearances on television shows, sold for $1.65 million, beating its asking price by $300,000. The home’s flexible layout, including an accessory dwelling unit and detached gym, added to its appeal.
Outside Portland, buyers paid substantial premiums for scenic properties. In Hood River, a contemporary ranch-style home on two acres sold for $2.1 million, roughly $300,000 above the list. Near Bend, a knolltop home on nearly 25 acres sold for $2 million, exceeding its asking price by nearly 18%.
The most dramatic over-asking sale occurred in Central Oregon, where the 59.5-acre MK Ranch estate near Bend sold for $3.35 million, an astonishing $850,000 above its $2.5 million list price. The property features multiple residences, expansive pastureland, and breathtaking mountain views, making it particularly appealing to buyers seeking privacy and space.
Condos Also See Competitive Bidding
While single-family homes dominated the highest premiums, condos and penthouses were not immune to bidding wars in 2025. Zillow identified several condominium sales in Portland that closed well above asking prices, particularly in walkable, amenity-rich neighborhoods.
In the Pearl District, a sixth-floor loft sold for $300,000, 20% above its most recent list price, after undergoing significant price reductions earlier in the year. Another Pearl District sale involved a penthouse that closed for $1.2 million, about $65,000 over asking, thanks to panoramic city and river views.
Irvington saw strong condo activity as well. A renovated early-20th-century unit sold for $500,000, exceeding its list price by more than $50,000, which reflects the continued demand for character-rich properties in established neighborhoods.
The largest condo premium of the year occurred in Portland’s Nob Hill area, where a luxury unit in a high-rise building sold for nearly $1.5 million, $245,000 above its asking price. The home featured expansive glass walls, a large private deck, and unobstructed views of the city and Mount Hood, elements that helped justify the aggressive bidding.
A Market in Transition
All in all, the data paints a nuanced picture of Oregon’s housing market in 2025. While buyers generally enjoy more negotiating power than in recent years, exceptional properties continue to defy broader trends. Homes that combine location, design, condition, and unique features are still capable of generating multiple offers and commanding significant premiums.
To Oregon buyers, the lesson is clear: opportunities may be improving, but competition remains fierce at the top end of the market. For sellers, the results suggest that strategic pricing, thoughtful updates, and strong presentation can still yield impressive returns even in a market that is gradually shifting toward balance.
