Sizzling Summer Sales Hit High in Rhode Island
Warwick, RI, September 20, 2013… According to sales statistics released by the Rhode Island Association of Realtors today, the median price of single family home sales was $225,000, up 10 percent from August 2012. Single family foreclosure and short sales dropped to 16 percent of total sales – excluding those distressed sales, the median price was $245,000. Sales activity also rose 22 percent in August from 12 months earlier, a pace not exceeded since last November. Pending sales – or sales under contract but not yet closed – fell seven percent since August, 2012 however, likely a result of rising interest rates.
"We're in a good place. Right now, we're running on pent up demand but things will likely begin to moderate a bit. That's not a bad thing because we don't want to see another run of unsustainable appreciation which was in no one's best interest. We're feeling that the recovery is on a good track right now," said Victoria Doran, 2013 President of the Rhode Island Association of Realtors.
Condo sales saw a massive 77 percent increase in the number of sales in August from twelve months prior, though median price dropped a scant two percent to $199,000. A median price of $234,200 represented those condo sales which sold through conventional means only, excluding foreclosure and short sales which comprised 16 percent of total August condominium sales. Pending sales fell two percent from August, 2012.
The multi-family market saw a 29 percent gain in median price last month, though sales activity slowed. Including foreclosure and short sales the median price was $135,500 - the median was $160,000 excluding those distressed sales. Evidence of a more temperate multi-family market to come was seen in a 14 percent decrease in properties under contract.
"This year was definitely a turnaround year for real estate. It was a long time coming but each month we move forward, we’re gaining more stable footing," said Doran.
There is approximately a six-month supply of properties for sale, tipping just slightly in favor of sellers in the single family and condominium markets and in favor of buyers in the multi-family market. Experts agree that a six-month supply is indicative of a healthy housing market.