Home Insurance in Salem, Massachusetts

The median home value in Salem is $542,800, 12% lower than the Essex County median.

The median home in Salem was built in 1939 or earlier. About 61% of homes were built before 1960, about 11 points above Essex County's 50%. Because older housing stock often has aging wiring, roofing or plumbing, it can cost more to insure or rebuild.

The housing stock in Salem is 30% single-family homes and 32% apartments in buildings with 5+ units. The rest are 2-4 unit or other housing types.

In Salem, about 72% of owner-occupied homes have a mortgage - lenders require hazard insurance on every mortgaged home.

The vacancy rate is 6%; vacant or unoccupied homes typically need a different coverage form than an owner-occupied policy. About 50% of occupied homes in Salem are owner-occupied.

In Salem, 55% of homes are primarily heated with natural gas. Homes heated with fuel oil can carry added fire risk. Fuel-tank leaks and spills are often excluded from standard homeowners policies.

Essex County's top FEMA-rated hazard is coastal flooding (Very High), per FEMA's National Risk Index. Essex County had 8,754 active NFIP flood policies as of September 2026. See the full Essex County home insurance overview for all FEMA hazard ratings and flood coverage details. Flood damage is excluded from a standard homeowners policy.

According to the NAIC homeowners insurance report (2023 data), a standard HO-3 homeowners policy in Massachusetts carries a statewide average premium of $2,134 per year.

Key figures

Median home value$542,800
Median year built1939 or earlier
Owner-occupied share50%
Share of owner-occupied homes with a mortgage72%
Top county hazardCoastal Flooding (Very High)
Active NFIP policies in Essex County8,754
Home insurance premium$2,134 - statewide average (NAIC, 2023 data)
Key home insurance figures for Salem, MA

Nearby towns

Sources

Data last updated: 2026-09-29