Rhode Island Housing Market Shows Signs of Recovery

Warwick, RI, July 19, 2011… June home sales data released today by the Rhode Island Association of Realtors show sales of single family homes up 16 percent from May to June but down 22 percent from June 2010.  Six hundred and ninety-nine (699) single family homes sold in last month.  The number of sales has more than doubled since February when 340 single family homes sold.

The median price of single family homes rose two percent from the month prior to $215,000, and was two percent lower than a year ago.  Median price has trended up each month since November 2009 with relatively few exceptions.  June’s median price was 15 percent higher than the 2011 low in March of $186,250.  Foreclosure and short sales decreased by 17 percent continuing a trend that began in late 2009.  Pending sales, homes under contract but not yet sold, rose 16 percent from a year ago.  Pending sales are typically viewed as a predictor of the strength of the future housing market.

Condo sales followed suit with sales rising 18 percent from May to June but declining 21 percent from June 2010.  The June median sales price rose 11 percent from the previous month to $200,000 and nine percent from the prior year when the median price was $183,000.  Distressed sales fell ten percent while pending sales rose three percent.

“Sales and median price have been rising steadily throughout the spring.  That, combined with a rise in pending sales, bodes well for Rhode Island’s traditional housing market. We’ve seen prices going up for more than a year and a half and now we’re starting to see some upward movement in sales activity as well.  It’s a slow but steady recovery,” commented Stephen Antoni, President of the Rhode Island Association of Realtors.  

The multi-family market, which tends to attract investors, slowed month to month and year to year, down 20 percent from May and 44 percent from June 2010.  The median price of $120,000 held steady from May to June but was down six percent lower than a year ago.  Slower sales are attributed to fewer foreclosure and short sales, which decreased 58 percent from June 2010 – another sign of a strengthening market.

Statistics from the Rhode Island Association of Realtors relay actual sales data collected through the State-Wide Multiple Listing Service only.  They do not include sales transacted through non-Realtor members or properties sold by owner.  The data is not seasonally adjusted or benchmarked in any way. Statistics represent Rhode Island sales only, not the RI Metropolitan Statistical Area of Rhode Island, Fall River and New Bedford.

Source: http://www.riliving.com/PressReleases/Archives/2011/July/2011-07-19.asp