The 42-year-old's wife then died during a police operation as officers tried to rescue her from 25-year-old terrorist Larossi Abballa.
The knife-wielding killer lived locally and was a convicted Islamic extremist, who was sentenced to three years in 2013 for "association with criminals preparingterrorist acts".
However despite his conviction he only spent a few months in prison.
He is thought to have maintained his links with a group sending jihadists to fight in Afghanistan.
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The only survivor of a police raid in the early hours of this morning was the Salvaing’s three-year-old son.
The child was "extremely shocked but otherwise unharmed," according to a spokesman for the Paris Interior Ministry.
French President Francois Hollande is holding a crisis meeting this morning, to try and work out how yet another known terrorist was allowed to strike again.
Many of those responsible for the Isis and al-Qaeda attacks on Paris last year, in which up to 150 people died, were also on the files of the French and Belgium security forces.
Isis meanwhile used their propaganda arm to claim responsibility for the murder of Mr Salvaing.
A statement issued in Arabic by the Amaq News Agency, which is linked to the Islamic State, said: "Islamic State fighter kills deputy chief of the police station in the town of Mureaux and his wife with blade weapons."
It comes while France is on the highest state of security alert during the Euro 2016 football championships, and just days after a gunman claiming allegiance to Islamic State killed 49 in Orlando, in the USA.
The bloodbath in France started soon after 9pm when Abballa launched the onslaught.
Mr Salvaing, a captain with the judicial police at nearby Mureaux, died at the scene before Abballa threatened his wife, who worked as a police secretary.
Read more: 'ISIS fighter' stabs top cop and wife to death in Paris home before commandos gun him down
An elite unit from the Raid and BRI police commando units arrived when the alarm was raised by near neighbours.
Negotiations started, and a police source claimed that Abballa began to "swear his allegiance to Islamic State".
He is also said to have posted threats towards Mr Salvaing’s wife on social media, prompting the officers to launch the raid.
Shortly after midnight, two loud explosions were heard, and officers with machine guns were seen storming the property.
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The police source claimed that the words “Allahu Akhbar” – Arabic for "God is the Greatest" – were heard, before Abballa was shot dead.
It is not yet known whether Mr Salvaing’s wife was killed by the murderer, or by the police during the raid.
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