The Corvallis real estate market experienced a surge in activity over October, which was fueled by a temporary drop in mortgage interest rates during September. Rates dipped into the high 5% to low 6% range, prompting many buyers to jump back into the market.
This surge in demand translated into strong sales figures, with the median sales price in Corvallis rising to $584,500 – an increase of 12.3% year-over-year and 18.1% compared to September 2024. Despite the robust sales in October, rising interest rates and seasonal slowdowns are beginning to impact buyer behavior as we move into November.
October ended with 38 closed sales in Corvallis, up 5.6% from October 2023 and an 8.6% increase from the previous month. However, the median days on market climbed to 74 days, reflecting a mix of eager buyers capitalizing on the lower rates in September and homes that are taking longer to sell.
Sellers received an average of 99.4% of their list price, a slight drop of 3.6% from the same time last year. The market saw just 37 new listings in October, bringing the total active inventory to 62 homes, a decline of 13.9% year-over-year. With only 1.6 months of inventory, the Corvallis market remains favorable for sellers.
The dip in interest rates in September provided a brief but notable boost in activity. However, mortgage rates rebounded above 7% throughout October, leading to a slowdown in new contracts as the market moved into November. This rapid rate increase, combined with typical seasonal trends and uncertainty surrounding the then upcoming election, has caused some buyers to hit pause on their search, opting to wait for more favorable conditions.
Looking ahead, the Corvallis market is expected to stay steady but less aggressive through the end of the year. Tight inventory levels should help support home prices, but the higher interest rates and cautious buyer sentiment may result in longer marketing times and more negotiations. Sellers should be prepared for a slightly slower market, while buyers may find new opportunities if they are ready to navigate higher borrowing costs. As we close out the year, working with a seasoned real estate professional will be key to making well-informed decisions in this evolving market – which is even more the case than usual.
Samantha Alley has 30 years of real estate experience and is a Principal Broker in the State of Oregon; she is a Team Leader and Office Advocate at REMAX/Integrity in Corvallis. She can be reached at sam@hometeamoregon.com
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