Lane County home sales trailing last year’s pace, as market remains sluggish

Lane County’s housing market appears to be stuck in a rut.

Home sales in February continued what has been a sluggish start to the year, according to data released by the Regional Multiple Listing Service on Thursday. The 391 closed sales through the first two months of 2026 was down from 457 closed sales during that period last year, a 7.7% drop.

This year’s figures were also below the 419 closed sales in 2024 and 410 in 2023. The 2026 sales figures may be the lowest dating back years further. Interest rates didn’t start spiking until spring of 2022, and low rates before that supported brisk sales.

“With interest rates going down, things should pick up. But it’s kind of the same as last year,” said Kim Heddinger, co-owner and principal broker of Golden Realty in Eugene.

Interest rates on a 30-year mortgage fell from 7% at the start of last year to about 6% by year’s end. The drop has given realtors some hope that cheaper mortgages could bring would-be buyers off the sidelines.

But it hasn’t had much impact on sales or prices, RMLS data show. The median sale price in Lane County was $445,000 through the first two months of this year, up from $420,000 a year ago. The data doesn’t include sales in the Florence area.

With inflation remaining stubborn and the broader economy on shaky footing, and many long-time homeowners content with their 2% to 3% mortgages, several traditional segments of the housing market — first-time buyers and young families looking to move up — are essentially frozen out.

“I am pretty much listing people that are getting divorced, having a job retransfer, a death in the family or moving out of the area,” Heddinger said. 

Houses are taking longer to sell, as well. This year’s sales were on the market for an average of 82 days, up from 73 days last year.

There are some indications that buyers have a bit more bargaining power than in years past. Housing inventory — the amount of time it would take to sell every house on the market, based on the current sales pace — has averaged 3.7 months this year. In the first two months of last year, inventory was closer to three months. That translates to more options for shoppers.

But if buyers continue to be spooked by the economy, inflation and now the conflict with Iran and its uncertain impact on gas prices, they could stay on the sidelines, Heddinger said. She’s still expecting a strong spring overall, but rising prices could keep the lower end of the market shut out.

“There’s not a lot (of supply) anymore in the $200,000-to-$300,000 or $300,000-to-$400,000 range,” she said. “If they can get family money for a down payment, or really good jobs, they can make it work. But if they’re in an apartment, they’re paying a lot of money. It’s hard to save.”