Over the past several years, the realty market has changed a lot when it comes to buying a home. And this change pertains heavily when it comes to cost of homes as well as inventory. Prices of homes have risen a lot, while there is less inventory.
For the year 2018 in Salem, Oregon, those people who have set their sights on purchasing a home in the current realty market, are encountering house costs that have gone up a lot in the past 2 years. This pertains to cities of large population including Seattle and Portland, plus it includes cities of medium size such as Salem. In the past 2 years, the annual increase in the cost of homes in the Northwest has greatly exceeded the United States average increase in the cost of homes.
At the finish of 2017, the house cost median increased to $260,000. In 2018, it is expected that the value of homes will continue to increase in Salem.
One source reported that the Salem home cost median increased 12 percent in the past twelve months, reported January 2018. That is a massive increase.
Historically in the United States, the cost of houses have the tendency to increase 3 percent to 5 percent on an annual basis. The large increase in Salem greatly surpasses the national average.
Even though houses are worth much more than they were several years ago, Salem is still held as a realty market that is fairly affordable when you make a comparison to the household median incomes of Salem.
On the positive side, for those who have the goal in Salem of purchasing a house, price increases look like they are lessening some. Some economists predict that the worth of houses will increase five to six percent in the following twelve months going into the beginning of 2019.
This is positive news for those who want to purchase homes in the Salem because this increase is quite a bit closer to national averages on a historical basis.
However, inventory is continuing to be very low. It is below normal. This low inventory is a problem in a lot of the Pacific Northwest. It is not satisfying the needs of home buyers.
There is shortage of inventory through a lot of the United States. However, for the big cities of Washington and Oregon, these shortages are particularly acute.
In Salem, Oregon, the household income medium is $46,273.