Salem, AL—36874
Real Estate Data & Market Trends
Key Metrics at a Glance
Home Price Trends — Salem, AL
As of Oct '25, the median home price in Salem, AL is $319,000, with a year-over-year change of 4.0%. This indicates that home prices in Salem, AL are increasing. According to Zillow, the 1-year price projection is 1.5%, suggesting an increase housing market in the next year.
Cost per Home Type
| Home Type | Median Home Value | YoY % Change |
|---|---|---|
All Homes | $319,000 | 4.0% |
| Single Family | $319,000 | 4.2% |
| Condos | N/A | N/A |
Cost per Home Size
| Home Size | Median Home Value | YoY % Change |
|---|---|---|
1 Bed | N/A | N/A |
2 Bed | N/A | N/A |
3 Bed | $280,000 | 4.9% |
4 Bed | $399,000 | 4.7% |
| 5 Bed | N/A | N/A |
% of Housing Stock
Rental Trends — Salem, AL
As of July '25, Rentcast reports the average rent in Salem, AL is $1,350, with a year-over-year rent change of -22.9%. Per bedroom, the median rent as of July '25 in Salem, AL is 1-bedrooms: $1,400, 3-bedrooms: $1,300. The most common rental property sizes in Salem, AL are 3-bedroom and 4-bedroom, accounting for 77.5% and 12.1% of the rental stock.
| Type | Median Rent | Average Rent |
|---|---|---|
| Average Rent | $1,300 | $1,350 |
| Studio Rent | N/A | N/A |
| 1 Bed Rent | $1,400 | $1,400 |
| 2 Bed Rent | N/A | N/A |
| 3 Bed Rent | $1,300 | $1,300 |
| 4 Bed Rent | N/A | N/A |
% of Rental Stock
Property Listings — Salem, AL
As of Oct '25, Realtor.com reports that the median days on market for a home in Salem, AL is 57. This is a increase of 55.0% from last year, suggesting that homes are sitting on the market longer than last year. The percentage of listed homes with a reduced price is 9.0%, representing a small inventory and little supply pressure on home prices.
| Metric | Zip Code Average | Year over Year % Change |
|---|---|---|
Median Listing Price | $460,000 | 0.0% |
Listing Count | 64 | 10.0% |
| Listings as % of Homes | 0.5% | 10.0% |
Days on Market | 57 | 55.0% |
Demographics — Salem, AL
As of the latest ACS Survey released in 2023, Salem, AL has a population of 10,300, which has increased by 37.5% over the past 5 years. Salem, AL is a moderately popular place for families, as children make up 22.2% of the population. The area has a poorly educated workforce, with 19.8% of adult residents holding a bachelor’s degree or higher. There are few residents working remotely, with 6.7% reporting working from home.
| Metric | Latest Census | YoY % Change |
|---|---|---|
Population | 10,300 | 37.5% |
% Under 18 | 22.2% | 4.2% |
% Seniors | 23.1% | 45.3% |
% WFH | 6.7% | 42.6% |
% w/ College Degree | 19.8% | -26.7% |
As of the latest ACS Survey released in 2023, Salem, AL is a predominantly white area, with 77.3% of the population identifying as white. The white population has shrunk by 6.3% in the last 5 years. The second most common race or ethnicity in Salem, AL is black, making up 18.7% of the population. Foreign-born residents account for 4.2% of the population in Salem, AL, and this percentage has increased by 200.0% as of the ACS Survey 5 years prior, suggesting more immigrants are calling the area home.
Race and Ethnicity
| Metric | Latest Census | 5-Year % Change |
|---|---|---|
% White | 77.3% | -6.3% |
% Black | 18.7% | 62.6% |
% Hispanic | 2.8% | 21.7% |
% Asian | 0.2% | -80.0% |
% Foreign Born | 4.2% | 200.0% |
Mortgage and Risk — Salem, AL
According to HUD data as of 2023, there were 166 mortgage originations in Salem, AL, of which 56.0% of loans were conventional mortgages. The average loan-to-value was 78.0%, with 49.0% above 90% LTV (very high). This implies large mortgage risk in Salem, AL. Investor activity is low, as 1.0% of loans were by investors. 14.0% of loans were cash-out refinances, suggesting many homeowners are tapping equity.
Mortgages
| Metric | Zip Code Average |
|---|---|
Total Loan Originations | 166 |
% Conventional Loans | 56.0% |
% Government Loans | 44.0% |
% Investor Loans | 1.0% |
% Second Loans | 1.0% |
% Cash Out Refinance | 14.0% |
Loan Activity
Rentals and Section 8 — Salem, AL
Salem, AL lacks sufficient Section 8 program data for analysis.
Section 8 Market Size
Total Units under HUD | 21 |
Total Units Section 8 | 21 |
% Rentals under Section 8 | 6.7% |
% Occupied Section 8 | 71.0% |
Section 8 Opportunity
| Home Size | HUD Premium | Market Rent | Max HUD Rent |
|---|---|---|---|
| 1 Bedroom | -$290 | $1,400 | $1,110 |
| 2 Bedroom | N/A | N/A | $1,290 |
| 3 Bedroom | $380 | $1,300 | $1,680 |
| 4 Bedroom | N/A | N/A | $1,810 |
Affordability — Salem, AL
Home Price to Income Ratio
| Metric | Zip Code Average |
|---|---|
| Home Price to Income Ratio | 4.4 |
| Median Home Price | $319,000 |
| Median Household Income | $63,200 |