Lebanon's residential real estate market gained significant traction in the first quarter of 2026, according to data from the Willamette Valley MLS as of March 31, 2026. Total home sales across both residential categories reached 75, a notable increase from 59 sales during the same period last year.
Residential Under 1 Acre
The core residential segment (homes on less than 1 acre) saw 57 closed sales in Q1 2026, up from 47 in Q1 2025. The average sold price rose to $377,115, a 3.4% increase from last year's $364,842. The average list price of $379,815 indicates homes are selling very close to their asking price, with just a 0.7% spread between list and sale prices.
Average days on market increased to 105 days, up from 78 days in Q1 2025. While this might suggest a cooling pace, it's important to note that Q1 is historically the slowest selling season, and the increase in total sales volume tells a more optimistic story about buyer activity.
Residential Over 1 Acre (Acreage Properties)
The acreage market was particularly active, with 18 homes sold compared to just 12 in Q1 2025, a 50% increase. The average sold price for properties on more than 1 acre jumped to $715,672, up significantly from $678,537 last year. These properties take longer to sell, averaging 182 days on market, reflecting the specialized nature of rural and acreage purchases in the Lebanon area.
Current Inventory
As of March 31, there were 46 active residential listings (under 1 acre) with an average of 58 days on market, and 42 active acreage listings averaging 123 days on market. Combined, Lebanon has 88 homes available for buyers, offering reasonable selection across price points.
How Lebanon Compares to Nearby Cities
Lebanon continues to offer the strongest value proposition in the mid-Willamette Valley. At $377,115, the average home price is significantly below Corvallis ($593,250) and more affordable than Albany ($446,343). Only Sweet Home comes in lower at $330,467, though that market saw a 4.8% price decline year-over-year.
Corvallis saw its average sold price rise 4.1% to $593,250 with 68 sales in Q1, while Albany posted 147 sales (the highest volume in the region) but experienced a slight 1.5% price decrease to $446,343.
County-Level Trends
Linn County as a whole recorded 280 total sales in Q1 2026 (up from 273 in Q1 2025), with an average sold price of $393,707. Benton County saw 133 sales with an average price of $556,679. Both counties show steady activity compared to the post-2022 slowdown years.
Historical Context
Looking at Q1 total sales over the past seven years, Lebanon's 75 sales in 2026 represent a meaningful recovery from the 59 sales in both 2023 and 2025, though still below the 2022 peak of 122. The market appears to be finding a sustainable rhythm after the volatility of the pandemic-era boom and subsequent correction.
What This Means for Buyers and Sellers
For buyers: Lebanon remains the best value in the region, with prices roughly 36% below Corvallis. The increase in active inventory means more choices, and the longer days on market provide more negotiating room than during the frenzied 2021-2022 period.
For sellers: Prices are rising, and the gap between list and sold prices is narrow, meaning well-priced homes are being received well by the market. The key is accurate pricing, as the longer average days on market suggest buyers are being selective.
Data sourced from the Willamette Valley MLS, as of March 31, 2026. For a personalized market analysis of your property or neighborhood, contact Team Gillott.
Data sourced from the Willamette Valley MLS, as of March 31, 2026. All information is deemed reliable but not guaranteed.
Current Lebanon Market Snapshot
$377,115
46
105
6.65%