Silverton Oregon real estate…what’s going on?
Silverton has probably been one of the local Salem Oregon area real estate markets that has struggled the most. Where Keizer is almost at a normal state, Silverton continues to struggle coming down to reality.
Why do I say this? I mean the numbers are definitely looking better for Silverton, but here are the hard numbers.
1) 33.8% of what has listed this year has sold. Compare that with a more normal real estate year, like 2005 which was 48.8%. Sales volume is still off. 13 properties closed in August in Silverton, which is still down from more normal markets.
2) The median home price for August was $262,500 down from 2008’s $269,529, but still well over 2006’s $229,000. Silverton home prices are still too high. This is the reason for such sluggish sales there. People just can’t afford to buy homes there. Home prices will have to come down some more until the supply and demand is more congruent. Sorry home sellers.
3) Inventory is coming down and sits at 10.92 months right now. This is coming down nicely from last year where inventories were sometimes at 24 months.
4) 23% of sold homes (according to the WVMLS) in August were distressed properties. Like all the Salem Oregon metro towns, foreclosures and short sales are having an impact on our local housing market.
What does this mean for home buyers and sellers in Silverton? Sellers are going to have to continue to come down in price in order to attract a buyer that can afford the payments. Home buyers need to continue to watch the Silverton market knowing it needs some correcting. There are some well priced homes there buyers. Don’t assume that a well priced home is overpriced there. If you need help navigating the Silverton real estate market, give me an email and I’d be happy to talk with you about your real estate needs there.