As things begin to settle down, we are now getting a clear picture of the real estate buying trends that shaped this season. Most notably in Salem, we see a strong trend toward Central and Suburban east Salem, which both ended the selling season up 14 percent over sales prices in 2018. Central Salem is the last spot in the area where prices are still under $300k, so it’s likely that investors are zeroing in on those properties as it’s one of the last areas where big gains can be made. 

Prices in Keizer this year were up 8 percent over last year, but that’s down from a price gain of 12 percent from 2017 to 2018, so we are looking at a tiny bubble in that area that appears to be settling out.

Inventory in the Valley as a whole was up 13 percent to nearly 3.5 months, up from just three months last year. Still not close to a balanced market, which would be six months of inventory, but the steady gains are giving buyers some breathing room, which will help convince those who are on the fence to check out the market. The local price slowdown reflects national trends, including modifications to FHA loans in recent years which have made them more expensive to obtain.

What Do Buyers and Sellers Need to Know?

Although many consider the “buying season” to end in September, the fall can be a great time to find good deals. There are fewer buyers out, and it’s can be harder to lure prospective homeowners to open houses in the cold and the rain, so sellers are often more willing to bargain. In addition, many people selling in the off-season are under time constraints, such as job transfers, so they may be more willing to bargain than the casual seller. 

As always, talk to your real estate agent to ask about contingent situations that can be accounted for in your offer, such as preferred closing dates or other special needs of the seller that you can accommodate. Often, having these items included in the offer from the start can be an effective way to close the deal, even if you’re offering a slightly lower amount than another buyer. 

Key Salem Housing Market Statistics

Here are a few other key stats from the Willamette Valley Multiple Listing Service housing report for September 2019: 

Average Price for Single-Family Home Salem – $319,963
Average Number of Days on the Market Salem – 76
Average Price for Single-Family Home Keizer - $327,864
Average Number of Days on the Market Willamette Valley– 79
Single-Family Homes Sold Willamette Valley – 1,040
Total Dollar Volume of Homes Sold in Willamette Valley -- $2,752,259,081
Months of Housing Inventory Available in Willamette Valley – 3.49
Total Pending Sales Willamette Valley – 1,526
Active Listings Willamette Valley – 3,231
Active Listings Salem – 684
Active Listings Keizer – 95