Eugene Market Report

Eugene’s median sale price was down 4% month-over-month in February as home prices continue to zigzag. The numbers suggest, though, that this isn’t the beginning of any kind of trend. Overall, homes spent significantly less time on the market than they did in January, down from a median of 32 days to just 19 days. Things are moving slower than they did a year ago, but compared to elsewhere, Eugene’s market is plenty brisk. &&&Additionally, homes sold in February for an average of 95.7% of their original list price, compared to 94.8% in January. Basically, there’s just more activity right now at the lower end of Eugene’s market, so even though prices appear to be dropping, home values aren’t necessarily decreasing. &&&February’s new listings hit the market at a median ask price of only $405k, so this trend could continue until we hit the spring months. Sellers with higher end properties are choosing to wait for the weather to turn, and that may be true of buyers as well. &&&Eugene’s luxury market is much less active than Bend’s, but with what little sale data we have over the past few months, there appears to be a big increase in time spent on the market - a 79 day median for $1 million-plus homes, to be precise. Apart from that, however, there isn’t a clear correlation between market segment and number of days on the market.

Pending sales and new listings were up in the first month of the New Year, and so were home prices, rising 2% month-over-month to a median of $447,000. But time spent on the market also rose significantly, up 52% month-over-month to a median of 32 days. &&&We're definitely not seeing a repeat of 2022, when buyers hit the ground running to start the New Year, competing fiercly for historically low inventory. In January, homes went for a median of just 94.8% of their original list price, a 3% month-over-month decline. &&&Homes are definitely still selling in Eugene - they're just taking longer to do it. Prices have dropped much less than they have in other markets, and certain kinds of properties are just as much in demand as ever. &&&But sellers may be asking a bit more than the market can bear at the moment: list prices rose 5% month-over-month in January. How high you should aim depends entirely on your location, your level of finishes, and the level of competition.

With the curtain closing on 2022, homes in Eugene are spending longer on the market than they have at any point since early 2020. Both buyer and seller activity are down significantly, and prices are about 9% from where they were in the late summer. &&& With all of that said, inventory is down under a month again after hovering at 1.2 months the past several months. Prices are up slightly month-over-month, and homes with updated finishes in the most desirable locations are still selling fast. &&& Buyer demand is not what it was, but with so few homes going on the market, buyers may be surprised by the level of competition on some properties. Oregon remains a popular relocation destination - and those who bought homes while interest rates were still low are holding tight.

After a number of months of holding steady, Eugene’s sale prices dropped significantly in October. That was due to a significant decline in activity at the upper end of the market. November saw somewhat of a reversal, with median sale prices climbing to $435,000. Homes sold for a median of 98.8% of list price, 2% better than a month earlier. &&& Properties are spending longer on the market, with the median rising to 15 days. That’s a typical seasonal shift, though, and homes are still selling relatively quickly in Eugene relative to many other markets. With inventory remaining flat at 1.2 months, Eugene’s market remains well insulated from the effects of a potential recession. 

In October, inventory remained flat month-over-month in Eugene. Buyer activity, as measured by pending sales, is down 19% year-over-year, but new listing activity is down almost as much. Meanwhile, the median time spent on the market actually decreased, falling to 10 days.&&& There's one big surprise in October's numbers, however: Eugene's median sale price plummeted to just $418,000 in October. That's a decline of 4% year-over-year and a whopping 13% month-over-month. &&& Prices have remained remarkably stable in Eugene over the past few months, even as mortgage rates have climbed higher and higher. So, what changed in October? &&& The answer: a significant drop in activity at the upper end of Eugene's market. In September, 43 $700k+ properties sold in Eugene. In October, only 17 such properties sold. &&& In other words, properties didn't sell for 13% in October than they would have in September. Rather, activity is shifting toward the lower and middle end of Eugene's market. This reflects, in part, the usual seasonal dynamic in Eugene's market. But it's also possible that would-be-buyers have simply hit a wall in terms of what they can afford. We'll be watching developments in Eugene's market with interest.

Prices are holding steady at all-time highs in Eugene. Meanwhile, buyer activity is down year-over-year, but not by a lot, and Eugene is still very, very much a low inventory market. Homes are staying on the market longer than in previous years, but 12 days is still plenty brisk, especially compared to a lot of other markets right now. &&& In other words, Eugene's real estate market remains largely insulated from the broader trends we're seeing across the country. Rates are up to an average of around 6.5% in Oregon for a 30 year fixed-rate mortgage. That's certainly kept some buyers out of Eugene's market, but there are plenty of others who haven't been fazed.&&& Things may start to shift in the fall months. Buyer enthusiasm could dry up further, especially with mortgage rates creeping upward. If you're selling, it might be tempting to make premature price reductions, even though Eugene's market conditions don't yet merit a drastic change of approach. It's still very much a seller's market here, but patience is now the name of the game.

Another month has gone by, and prices are still holding steady in Eugene. August's median sale price of $480,000 matches Eugene's record high (the preliminary data inflated July's numbers a bit).&&&Meanwhile, buyer activity is down significantly year-over-year, but new listings have dropped a similar amount. As a result, inventory stayed flat at 1.1 months.&&&Eugene's housing supply is extremely low, and that's why the market has been able to hold its value even as mortgage rates have surged during the past few months. Time spent on the market is up significantly, hitting a median of 11 days, but homes are still selling for an average of 98.7% of their original list price.&&&Sellers are advised not to panic if their homes don't go off the market immediately. Buyers are certainly hesitating more than they were earlier in the year, but most sellers are still seeing positive outcomes.

Yes, buyer activity is down a fair amount year-over-year in Eugene. But that didn't stop sale prices from reaching a record-high of $479,000, 3% higher than a month earlier.&&&There's a lot of talk going on about how high interest rates are keeping buyers out of the market. It's often overlooked, though, that high rates are also discouraging sellers from listing their homes, assuming they need to finance the purchase of a replacement property. New listings are down 14% year-over-year in Eugene.&&& Inventory is now up to one month, and Eugene's market feels a lot less tight now than it did in the late winter, when inventory dropped to all-time lows. One month is still super low, though, and there's still plenty of competition. &&&In June, Eugene homes sold for an average of 1.8% above list price. Bidding wars are still a thing here, in other words. If listing activity continues to be low, prices will continue to hover around $480k or even increase slightly.