The median price of the Single Family homes sold in Salem increased 42% from $431,250 in 2019 to $611,000 in 2022, and eased back to $589,000 YTD Q3 2023. Sales dropped slightly from 2019 to 2022, but fell sharply in 2023, especially in Q3.
The median price of the Condos sold increased by 27% from $355,000 in 2019 to $450,000 in 2022, and further to $485,000 through Q3 2023. Sales started to fall in the second half of 2022 and were also down sharply in 2023.
The many attractions of Salem continue to attract buyers, especially younger buyers moving out of Boston. Perhaps surprisingly in a time when mortgage rates have more than doubled, sales have continued to be brisk, and in most months more than 60% of sales have taken place over list price.
Fluctuations in median prices can and do occur from quarter to quarter, based upon those properties which actually sell in any quarter, which is why the trend is more important than the exact numbers.
If you are thinking of selling, please contact me for a current market analysis for your property.
This report analyses the Median Price and Sales per quarter since 2019, along with the Sales by Price point, Price per Sq.Ft., and the Days properties were on the market before receiving an offer (DTO).
Median numbers are used in all calculations.
The chart and table below show how the percentage of sales (of SFHs and Condos) dropped in the last few months of 2022 and early months of 2023, befre recovering strongly from the spring of 2023 onwards.
Note that the actual numbers in some months are quite small which can lead to fluctuations – but the overall message is clear: most properties continue to sell over list price.
One of the features of the housing market boom of 2020-2022 was the very high number of sales above list price, an indication that there were multiple offers resulting in bidding wars.
And a logical consequence of the market returning to more normal conditions would be to expect a decline in bidding wars, leading to fewer sales taking place above list price.
Has this actually happened?
Let’s look at the sales in last 12 months in Marblehead, Swampscott and Salem. Here is the chart: (more…)
With all the chatter about home prices nationally declining or about to decline, October sales in Marblehead and Swampscott seem to be saying NIMBY – not here please.
12 of 19 SFH sales in October were at or over List price, with 2 sales at 35% and 36% over list:
5 of 10 SFH sales in October were at or over List pice
While sales continue to be strong – and often strongly above list price – it is interesting to note that 8 of the 19 SFHs currently available for sale in Marblehead have had price reductions, while 4 of the 11 in Swampscott have also seen price cuts – or “adjustments’ or “improvements” as we like to call them.
Notably also, the inventory of SFHs for sale in Essex County has not seen the usual seasonal decline so far, an indication perhaps of the consequences of the doubling in mortgage rates this year, with buyers reluctant to pay the much higher rates – and sellers reluctant to move and surrender their low-rate mortgage.
As we approach Thanksgiving and the holiday season, I suspect both buyers and sellers – unless their need is urgent – may decide to focus on planning time with their families and friends – and then take another look at the housing market in 2023. (more…)
The median price of the Single Family Homes (SFH) sold in Salem reached $600,000 or more in each of the first three quarters of 2022, and increased 10% to $617,500 in the first 9 months (YTD Q3) The median condo price increased 7% YTD Q3 to $450,000.
Single Family Homes (SFH)
The median price of the SFHs sold in Salem in the first 9 months of 2022 (YTD Q3 2022) increased 10% to $617,500 on sales exactly in line with the 3-year average.
As the percentage of sales over $600,000 increased from 39% YTD in 2021 to 58% YTD in 2022, so the median price moved from under to over $600,000. Sales over $1 million YTD increased from 5 to 11. (more…)
Sagan Harborside has published my Fall Market Report this week. The report includes stats on every city and town in Essex County, with more detailed analysis of the markets in Marblehead, Swampscott, Salem, Beverly, Gloucester, Nahant, Manchester-by-the-Sea and Rockport.