Published October 4, 2026 in Market Update

Forest Grove inventory stays tight as more buyers step in

By Tony Apa

Real estate, Forest Grove

As of October 4, 2026, the one number that changes what you should do right now is this: the Real Estate Data Aggregator counted just 2.7 months of supply in ZIP 97116 for the three months ending July 31, 2026. That is down 1.7 months from the same period a year before. Less supply means sellers face less competition, and buyers need to move with a clear head.

That tightness in Forest Grove runs against the national trend. Realtor.com reported 1.16 million active listings across the country, up 5.5% year over year. Nationally, inventory is growing. Here, it shrank.

Buyers showed up in bigger numbers

The Real Estate Data Aggregator counted 110 homes sold in ZIP 97116 in the three months ending July 31, 2026. That is up 20.9% from the same three months in 2025. Pending sales hit 100, up 12.4% year over year. More buyers closed, and more are in the pipeline.

Homes are selling faster and closer to asking price

The Real Estate Data Aggregator put the median days on market at 33 days in ZIP 97116 for the three months ending July 31, 2026. That is 12 days shorter than a year before. Sellers are not waiting as long. The average sale price came in at 99.9% of list price, up 0.4 points year over year. That means most sellers got nearly every dollar they asked for.

Speed picked up in another way too. The Real Estate Data Aggregator found that 38% of homes went under contract within two weeks of listing. That share is up 24.5 points from a year ago. Nearly 4 in 10 listings did not sit long at all.

Price dipped a little, and that is worth knowing

The Real Estate Data Aggregator put the median sale price in ZIP 97116 at $515,000 for the three months ending July 31, 2026. That is down 4.1% from the same period a year before. Prices slipped a bit, even as more homes sold. That can happen when more entry-level homes close than higher-priced ones. It does not mean the market is soft across the board.

Nationally, the Federal Housing Finance Agency reported U.S. house prices rose 2.6% from July 2025 to July 2026. The local dip in Forest Grove sits against a backdrop of modest national gains.

Rates are higher, and that is part of the picture

CNBC reported the average contract rate on a 30-year fixed mortgage at 7.30% as of September 30, 2026. Realtor.com noted rates topped 7% for the first time since January 2025. Higher rates make monthly payments bigger. That matters for buyers setting a budget and for sellers pricing to attract them.

Realtor.com also reported that 20.8% of listings nationally took a price cut in September, the highest share since October 2022. That is not what Forest Grove's numbers show locally, but it is a signal worth watching.

One ZIP code tells one story. One street inside that ZIP can read very differently. A few blocks can shift the days on market or the final price by more than the averages show.