Rhode Island’s Housing Market Stays Strong in 3rd Quarter

The number of single family homes sold from July through September of this year increased 12 percent from the same time period of the prior year and median price rose nine percent to $234,500.  Median price – the midpoint of all sales prices – ranged from a high of nearly $1.6 million in Block Island to a low of $120,000 in Central Falls. The Rhode Island Association of Realtors reports median price rather than average price as extreme sales price outliers can skew the average considerably.

The number of foreclosure and short sales in the single family home market fell by 24 percent with Newport, Jamestown, Block Island and West Greenwich having no distressed sales at all during the third quarter.  Distressed sales accounted for nine percent of all single family home sold from July through September.

“We’re poised to go into the end of 2015 on a high note. Activity and prices have been rising, though not at an unhealthy rate.  As of now, factors like the improving economy and continued low interest rates should keep buyers in the market,” said Bruce Lane, 2015 President of the Rhode Island Association of Realtors.

The number of multi-family home sales rose 28 percent in the third quarter and the median sales price of those properties rose 13 percent to $175,000.  Often purchased by investors, the number of multi-family homes sold through foreclosure or short sale decreased 24 percent since third quarter, 2014.  Once the segment of the market predominately impacted by foreclosure and short sales, such sales made up just 15 percent of the total multi-family home sales in the third quarter of this year, down from a high of more than 80 percent during the housing downturn.

The condominium market also saw a significant increase in sales with the number of closings increasing 14 percent. Median price remained stable, rising .03 percent to $200,000 and distressed sales fell by 51 percent, accounting for  just under six percent of total condo sales in the third quarter.

“Homeowners have made solid gains in home equity so far this year.  We’ve been fortunate to see low interest rates maintained by the Federal government which in many cases, has helped to make home ownership even more affordable than renting,” said Lane.

Bruce Lane

2015 REALTOR®
State President

3rd Quarter 2015
& 2014 Comparison
Single Family

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3rd Quarter 2015
& 2014 Comparison
Multi-Family

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3rd Quarter 2015
& 2014 Comparison
Condominium

About the Rhode Island Association of REALTORS®

The Rhode Island Association of REALTORS®, one of the largest trade organizations in Rhode Island with more than 4,400 members in approximately 750 offices, has been serving Rhode Islanders since 1948. Advocating for Rhode Islands property owners, the Rhode Island Association of REALTORS® provides a facility for professional development, research and exchange of information among its members and to the public and government for the purpose of preserving the free enterprise system and the right to own real property.

The Association is one of more than 1,400 local boards and associations that comprise the National Association of REALTORS® (NAR). The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing over 1.2 million members involved in all aspects of the residential and commercial real estate industries and who subscribe to a strict Code of Ethics.

REALTOR® is a federally registered collective membership mark which identifies a real estate professional who is member of the NATIONAL ASSOCIATION OF REALTORS® and subscribes to its strict Code of Ethics.