Your official guide: First-time home buying in Southern Oregon

Local Market Trends: Southern Oregon (Medford, Ashland, Grants Pass, & surrounding areas) has steadily increased home prices in recent years. Research specific areas you’re interested in to understand market conditions.
Buyers vs. Seller’s Market: As of February 2025, the real estate market in Southern Oregon is exhibiting characteristics of a balanced market, with conditions that can favor both buyers and sellers.
Rural vs. Urban: Areas like Ashland and Medford offer more urban amenities, while smaller towns like Rogue River and Grants Pass may offer more affordable homes but less convenience.

Loan Options: Like everywhere else, first-time Southern Oregon buyers can access various loan programs.
- Conventional Loans: Requires a higher credit score and down payment but offers flexibility.
- FHA Loans: Great for first-time buyers with lower credit scores (down payment as low as 3.5%).
- VA Loans: If you’re a veteran or active military, you can get a loan with no down payment.
- USDA Loans: For rural areas, many parts of Southern Oregon qualify for USDA loans, which require no down payment.
Down Payment Assistance: State programs (like Oregon Housing and Community Services) often offer down payment assistance for first-time buyers.

Pre-Approval vs. Pre-Qualification: Pre-approval is a more in-depth process and shows sellers that you’re serious and financially ready to buy.
Choosing a Lender: Many local banks and mortgage brokers in Southern Oregon exist. Compare rates and terms to find the best option for your needs.

Medford: The largest city in Southern Oregon with easy access to amenities and transportation. Home prices here can be higher, but it’s great for those who want more urban living.
Ashland: Known for its arts scene and proximity to the Oregon Shakespeare Festival. Homes here may come at a premium, but the quality of life is a big draw.
Grants Pass: A quieter, smaller town with more affordable options and many outdoor activities.
Rogue River: Offers more affordable homes and a small-town vibe, which is excellent for nature lovers.

Consider what’s important to you—access to schools, work, transportation, or outdoor spaces like the Rogue River.

Why a Local Realtor? It’s critical to work with an experienced local realtor. They will know everything about Southern Oregon’s unique neighborhoods, schools, and market conditions. Ultimately, helping you find the best deals and your preferred property. To connect with local realtor Chris Pfau —> Click Here
Get Recommendations: Ask friends, family, or colleagues for recommendations, or check local reviews.

Offer Price: Your realtor will help you decide on a competitive offer based on comparable sales in the area.
Contingencies: This might include an inspection, financing, or appraisal contingency. These protect you if the home doesn’t meet your expectations or if financing falls through.

Importance: Home inspections are crucial to uncover any hidden problems (e.g., foundation issues, roof damage, electrical problems). During this process, if there are any issues, you can negotiate the price or ask the seller to fix the problems before finalizing the deal.
Special Inspections: In areas like Southern Oregon, where wildfire risks and older homes are common, you may want additional inspections (e.g., checking for mold or structural integrity).

Closing Costs: These can range from 2-5% of the home’s price and include title fees, lender fees, and inspection costs. Make sure to budget for these on top of your down payment.
Walk-Through: Before closing, do a final home walk-through to ensure everything is in order.
Signing the Paperwork: Once everything is in order, you’ll sign the paperwork, pay your closing costs, and get the keys!

Home Maintenance: Regular maintenance is key in Southern Oregon, where weather can be extreme (hot summers and cold winters). Keep an eye on things like gutters, HVAC systems, and roofing.
Utilities: Set up your electricity, water, and gas with local providers. In Southern Oregon, Pacific Power and Avista are standard providers.
Insurance: Homeowners insurance is a must, and you might also want additional coverage for wildfire or flood risks, depending on your location.

Factor in Weather: Southern Oregon’s climate can affect your home search. Homes closer to the mountains or hilltops may be exposed to wildfire risk, so consider that when buying.
Look at Schools: Southern Oregon has good schools in many areas, but school quality can vary. Suppose you have or plan to have kids, research school districts. For all information on schools in Jackson County, visit my blog: Schools in Jackson County.
Explore Community Programs: Some Southern Oregon communities offer first-time home buyer workshops and assistance programs. Take advantage of local resources to better understand the market.
Check Property Taxes: Property taxes can vary by location. Make sure to research the area’s tax rates to avoid surprises.

Oregon Housing and Community Services: Offers down payment assistance programs for first-time homebuyers.
USDA Rural Development: If you’re buying in a rural area, you might qualify for USDA loans.