Current market conditions for Salem Oregon

You will always hear agents talking about the market in simple terms: it boils down to supply and demand. So lets look at Salem Oregon's current market conditions based on supply and demand for the first trimester of the year (January -April).

Demand :

• There have been 526 home sales in the first trimester
• There were 738 homes sold in Salem, OR in 2007 for the same time frame.
• This is a decline in demand of 28.7%.

Supply :

• There are 1466 homes listed during the first trimester.
• In 2007, there were 1537 homes listed in the same time frame.
• This is a 4.6% decrease in supply.
• At current market performance rates, it will take 10.6 months to sell all of the homes that are on the market in Salem,OR now.

Escrow :

• There are 167 homes in escrow at present.

Prices :

• The Average Sold Price appears to be stabilizing at present:
• The average sold price for the first trimester was $219,669. (7.2% decrease from 2007)
• In the last 180 days, the average sold price is $224,456.
• In the last 90 days, the average sold price is $220,805.
• In the last 30 days, it is $230,715.

Absorption Rates :

• The 30 day rate is 138 homes per month.
• The 90 day rate is 141 homes per month.
• The 180 day rate is 134 homes per month.

What does all of this mean if you are trying to sell a home in Salem, OR?

The absorption rate is holding fairly steady right now. Homes are selling. While prices have been steadily declining over the past few months, there was a price bump in April. I don't expect that trend to continue in future months. I would continue to expect too see another 5-10% decline in prices over the following months. I would also expect to see absorption rates go down as many people list their homes on the Spring market, only then finding out about the lack of qualified buyers to purchase homes.