Oregon City, Oregon Real Estate Market Update and 2026 Forecast

Each month, our Portland Suburb Real Estate Market Reports give readers a closer look at housing conditions in specific areas of Portland. This month, we’re focusing on Oregon City, a community 13 miles south of downtown Portland in Clackamas County. Known as the first incorporated city in the western US, Oregon City offers residents a blend of rich history, easy access to the Willamette River and Willamette Falls, 26 parks, and over 250 acres of grounds. 

The city also has a wide range of local amenities, including local food in the form of restaurants, cafés, and bakeries. It is also home to beer. Oregon City Brewery, Arch Bridge Taphouse, and a McMenamins call the area home.

Oregon City attracts buyers who crave an outdoor lifestyle with local conveniences, small-town charm, and easy access to Portland, making it an area with healthy demand. Let’s take a closer look at how the market is shaping up in Oregon City this year.

Oregon City, Oregon Housing Inventory Continues to Rise Year Over Year

As of September 5th, the supply of homes is higher this year and continues to grow year over year: The current total is 134 vs. the 2024 total of 124 and the 2023 and 2022 totals of 91 and 93, respectively. This trend has been true of Portland overall, which has seen steady inventory increases since 2023. 

Oregon City, Oregon Inventory Chart. Courtesy of Fidelity National Title

The 134 total is lower than the 151 spike that occurred one month prior, and slightly lower than 139 the month before that. When looking at the last four years, a brief spike takes place between late July and late August, and this August total of 151 was during the spike. After these rises, the inventory falls quickly before continuing the seasonal trend of rising from September to November. It decreases from November to April the following year, and rises again until November.

This overall pattern matches the broader Portland metro area. For buyers, the higher supply means more options than in past years, while sellers face greater competition as the market heads into the slower season.

Oregon City, Oregon Real Estate Prices have Held Steady since 2022

As of September 5, 2025, the average home price in Oregon City—measured by price per square foot—is $323, up slightly from $320 in August and $319 in July. It is also up from $302 a year ago. Looking back, a dip in value from September 2023 through May 2024 (bottoming at $288 in December) was uncharacteristic for this market, so it’s notable that the September 5th reading is still in line with 2023 and 2024 September totals, indicating a possible recovery from the downturn. As in the last two years, we anticipate a seasonal softening from September through year-end.

Oregon City, Oregon Price Per Square Foot Chart. Courtesy of Fidelity National Title

Overall, Oregon City’s values are typically higher and less volatile than those of Greater Portland, which shows ongoing demand from buyers. Portland has seen a decline from $322 per square foot in 2024 to $311 as of September 5, 2025. Oregon City’s reduced volatility means fewer valuation swings for buyers and sellers, even when considering cooler selling periods. 

Oregon City, Oregon Average Days on the Market Continue to Rise

As of September 5, 2025, the average days on the market is 100, up from 89 in August and 86 in July. Compared to the same time last year (82 days), homes are sitting longer before selling. Looking even further back, homes averaged 74 days in 2023 and only 53 days in 2022, highlighting how much slower the market has become.

Oregon City, Oregon Average Days on the Market Chart. Courtesy of Fidelity National Title

Historically, there is a rise in average days from August to April of the next year across Portland. There is also an increase in average days year over year. In terms of contrasts, again, the metro shows greater volatility in highs and lows throughout the year, with sharper swings month to month. 

Sellers in Oregon City this year should expect longer listing periods, benefiting buyers by providing additional time and steadier expectations when making offers. Sellers also won’t have to contend with sudden extreme lows in values. 

Oregon City, Oregon Homes for Sale

Browse all Oregon City, homes for sale using the interactive map on stephenfitzmaurice.exprealty.com.

Oregon City, Oregon 2025 Real Estate Forecast

Oregon City’s housing market appears to follow familiar seasonal patterns, but this year we’re seeing slight changes. Inventory is even higher than in past years, giving buyers more options, while sellers face increased competition. Prices have stabilized after last year’s unusual dip and may lead to fewer surprises moving forward, aligning more closely with regional trends while maintaining more balance than Portland overall.

As we move further into 2025, average days on the market will likely stay up. For 2026, a return of more vigorous buyer activity in spring will shorten listing times. Interest rates will play a big part in how things shape up. Lower rates will be a welcome treat for buyers, which will boost sales and property values for sellers. Alternatively, steady or higher rates may extend selling timelines. As for now, Oregon City should remain steady, with gradual shifts rather than dramatic swings and potentially stronger activity in the prime spring and summer months. This fall is a good time for buyers. Sellers can be prepared by being patient for sales without drastically losing value compared to Portland overall. Given the likelihood of lower rates in 2026 along with Oregon City’s general stability, we forecast Oregon City homes to increase 3% in value by the end of that year.

Ready to Buy or Sell a Home in Oregon City, Oregon?

Whether you are looking to buy or sell a home in Oregon City, we would love to be a part of your success story. Our experienced top 1% buyer’s agents are experts at negotiating on behalf of our clients. And our top 1% seller’s agents will employ our optimized marketing strategy to give your home the most exposure for the fastest, most rewarding selling experience (not to mention we charge less than most). We have extensive sales experience in Oregon City, with over 2,000 homes sold overall. Give us a call at 503-714-1111 or chat with the bot on this site. We’d love to connect today!