The home truth for Salem: First Quarter 2015, year over year
- Median home price up 10.4% to $187,750.
- Home sales are up 30.5%
- Days on the market is down 3% to 92 days on the market.
- Inventory is current at 5.9 months
- Market favors: Neither buyers nor sellers. Neutral market
Some of you reading that we are in an overall neutral market in Salem will be shaking your heads as you got aced out of a house for the second time during multiple offers. These statistics are for all of Salem and obviously some areas are more competitive than other areas.
In breaking down the mini-markets in Salem
Central Salem is at 5.9 months inventory and a neutral market.
NE Salem (Jan Ree, Hayesville, etc) is at 5.68 months inventory and in a neutral market.
SE Salem (Four corners, Houck area) is at 5.5 months of inventory and in a neutral market.
South Salem has 6.42 months of inventory and is in a neutral market.
West Salem is at 5.6 months of inventory and a neutral market.
These statistics are counter intuitive to what is felt in the marketplace, but what home buyers are feeling are the niche markets. South Salem homes under $200,000 are definitely in a sellers market, while overall south Salem homes are in a neutral market. Your opinion of what is happening in the market depends on what it is that you are looking for.
Due to the tight rental market, many people are entering the home buying market as they can have mortgages that are less than rental prices. Due to the tight rental market investors are also purchasing properties to increase their rental portfolios. This will continue to fuel the under $200,000 market and keep it in sellers favor for this year, in my opinion.
These statistics are crunched from data from the WVMLS and are for single family homes, non-acreage properties.