The Redwood Real Estate Report is celebrating its one-year anniversary, and the Humboldt County housing market continues to show signs of gradual recovery as we move further into 2026. Inventory and buyer activity are both evolving as interest rates shift and confidence returns to the market.

In this month’s discussion, Ben Larson of Larson Home Loans and Annalise von Borstel of Hyperion Humboldt Realty break down what’s happening with home prices, mortgage trends, and buyer demand across Humboldt County, including the markets in Eureka, Arcata, McKinleyville, and Fortuna.

While the market still requires thoughtful pricing and preparation, activity is beginning to pick up compared to the slower pace seen in parts of 2025.

Market Trends & What We’re Watching

Several factors are influencing the real estate market this spring.

Mortgage rates have continued to fluctuate in response to broader economic conditions and global events. Changes in inflation expectations, international instability, and Federal Reserve policy continue to impact borrowing costs and mortgage demand.

Despite these fluctuations, mortgage applications have shown periods of improvement as buyers adjust to the current rate environment and explore financing strategies that improve affordability.

Lenders are also continuing to adopt new technologies and underwriting tools, including AI-driven systems that can help streamline the mortgage approval process and reduce the time it takes for buyers to secure financing.

Mortgage & Lending Update

Interest rates continue to be one of the most important factors influencing buyer activity in the housing market. While rates have fluctuated over the past year, many buyers are gradually adjusting to the current range and exploring financing strategies that can help improve affordability.

Here are a few key mortgage trends discussed this month:

• Mortgage rates remain in the mid-6% range, continuing to fluctuate as markets respond to inflation data and economic news.

• Small rate changes can significantly impact purchasing power, affecting monthly payments and how much home buyers can afford.

• Mortgage application activity has shown some improvement, suggesting buyers are beginning to re-enter the market as they adjust to current rates.

• Lenders are increasingly using technology and AI tools to streamline underwriting and speed up the loan approval process.

• Creative financing strategies, such as temporary rate buydowns or lender credits, are becoming more common to help buyers manage higher borrowing costs.

Across Humboldt County, February saw a total of 63 home sales with a median sale price of $420,000. Interestingly, the county’s four primary housing markets accounted for less than half of the total sales, which is somewhat unusual compared to typical months when these areas make up the majority of transactions.

See the full Humboldt County Real Estate Overview Presentation.

Eureka

• Number of Sales: 12
• Market Share: 19%
• Median Sold Price: $455,000

McKinleyville

• Number of Sales: 8

• Market Share: 12.7%

• Median Sold Price: $525,000

Arcata

• Number of Sales: 6

• Market Share: 9.5%

• Median Sold Price: $547,500

Fortuna

• Number of Sales: 5

• Market Share: 7.9%

• Median Sold Price: $420,000

As we celebrate the one-year anniversary of the Redwood Real Estate Report, we’re grateful to everyone who has been following along and staying informed about the Humboldt County housing market.

Each episode is designed to provide clear, local insight into what’s happening in real estate so buyers, sellers, and investors can make confident decisions.

If you have questions about the market, home values, or financing options, reach out to the team at Hyperion Humboldt Realty or Larson Home Loans.

Stay tuned for next month’s update as we continue tracking the trends shaping the Humboldt County real estate market.

Catch all of the episodes on  YouTube , Apple Podcast, or Spotify. Each broadcast includes detailed commentary, market snapshots, and neighborhood features.

For mortgage support, home valuations, or to schedule a free consultation, contact Larson Home Loans or a local agent through Hyperion Humboldt Realty. We’re here to help you make informed moves.