James Girardi

Warwick, RI,April 26, 2013 - The median price of single family home sales rose nine percent in March from a year ago, to $190,000 according to statistics released today by the Rhode Island Association of Realtors. The single family median sales price has also increased from month to month since January, when it was $175,000.

The price increase was accompanied by a drop of two percent in the number of homes sold. The number of homes available for sale decreased by 16 percent and the number of pending sales - or sales under contract declined .2 percent.

The imprint of distressed sales on the market continues to diminish, improving the overall health of the market. Foreclosure and short sales accounted for roughly one in three of all sales a year ago compared to one in four last month.

"We're ushering in the spring market with interest rates at historic lows and prices, though rising, are still extremely reasonable," said Victoria Doran, President of the Rhode Island Association of Realtors. "We still have a little way to go to a completely balanced market but were definitely on the right track."

Nowhere is falling inventory more apparent than in the multi-family market. The number of properties available for sale has fallen each month by double digit amounts for more than a year. March statistics show a 22 percent decline in properties for sale from the prior year and distressed sales accounted for 42 percent of all sales compared to 51 percent last year. The median price of multi-family homes dropped two percent in March from the year prior but rose 30 percent from February. Sales activity declined by 16 percent year to year, but rose 11 percent from the prior month.

The condominium segment of the market showed the most significant headway in the market recovery last month. The median price rose 38 percent to $177,750 from $128,750 in March, 2012. Sales activity also increased by 31 percent - the eighth consecutive month of sales increases. The number of condominiums under contract also rose by five percent and the number of units for sale fell by 14 percent - both strong indications of continued positive trends in the condo market.

"The condo market is bouncing back remarkably. It could be that people who rented condos that had been temporarily converted to rentals during the downturn, are now choosing to stay in place and own," said Doran.

Friday, March 29, 2013

Warwick, RI, March 28, 2013 - Rhode Island's single family home sales showed double digit price appreciation from a year earlier in February, with median price rising from $170,000 to $189,500. February marked the fifth consecutive month of increasing prices.

While median price rose 12 percent, sales activity seems to be slowing, rising just two percent last month from February, 2012. Sales under contract but not yet closed, considered by many to the most current market indicator, were down one percent. The supply of homes for sale dropped 18 percent from the prior year, a contributing factor in the slowdown in sales activity, according to statistics released today by the Rhode Island Association of Realtors.

"We've definitely turned the corner in terms of price," said Victoria Doran, President of the Rhode Island Association of Realtors. "The flip side of that is that sales are slowing down. It appears that many of the people that wanted to take advantage of low prices have already done so. We may need to wait until the typical factors that influence people to buy job changes or the need for a larger or smaller home for example motivate buyers before activity picks up."

Condominium prices rose an amazing 55 percent in February with median price rising to $193,400 from $125,000 twelve months earlier. The number of sales also continued to rise significantly, up 29 percent, despite a 17 percent decrease in the supply of condos for sale. Pending sales sales under contract remained up six percent, indicating continued strength in the condo market.

Multi-family properties, on the other hand, showed an eight percent decrease in median price, with sales activity moderating. Seventy-nine multi-family properties were sold in February, a three percent increase from the 77 units sold in February of 2012. Pending sales however, decreased, six percent, the first decrease since July, 2011, likely due to a 26 percent decline in for sale inventory.

Foreclosure and short sales among all property types fell to 31 percent of all sales last month from 37 percent of all sales 12 months earlier. Diminished distressed sales, coupled with a decreased supply of properties for sale, should cause a continued rise in prices in the months ahead.

Warwick, RI, February 1, 2013..While the median price of all 2012 single family home sales fell slightly from the prior year in 2012, the year closed on a positive note with both median price and sales activity on the upswing in December.  The price gains are a result of diminishing inventory which has led to a market balanced between buyers and sellers for the first time since the housing downturn began.  The supply of single family homes for sale dropped 18 percent in December, ending the year with a six-month supply of properties for sale, the typical measure of a balanced market. 

In 2012, distressed sales dropped markedly. In January, the year began with distressed sales accounting for 35 percent of all single family sales. By December, that number dropped to just under 27 percent.

For 2012 overall, single family median price fell three percent from 2011 to $190,000, though December alone showed an uptick in median price of three percent from December, 2011.  Sales activity jumped 20 percent in 2012 but began to move toward more normal levels by the end of the year, rising nine percent in December.  Pending sales sales under contract but not yet closed - also increased six percent in December, pointing to continued sales activity in the first quarter of 2013.

The number of homes sold increased consistently throughout 2012 but we didnt see price gains until the fourth quarter.  Median price has been up from the prior year for three consecutive months now.  Thats a strong indication that were heading out of the woods, said Victoria Doran, 2013 President of the Rhode Island Association of Realtors. 

The median price of condominium sales fell just one percent in 2012 to $175,000 while sales activity increased 11 percent. At the end of the year however, December showed a significant jump in the condo market, with sales up 14 percent and median price up 23 percent to $200,000. The sharp rise in sales left a 7.6 month supply of condos for sale at the end of the year.  Though inventory fell nearly 16 percent in December, the condo market appears to be tapering off as indicated by an increase in pending sales of just one percent in December.

The distressed market accounted for 17 percent of all condominium sales in December, down from 28 percent at the end of 2011, again a major factor in the rising median price.

Fourth quarter condo sales could have been motivated by end-of-year tax incentives or tremendous values in price and mortgage rates.  People are just beginning to realize that they can own just as cheaply as they can rent, if not more so.  And, with condo ownership, many homeowner responsibilities are taken care of, said Doran. 

Since 2010, the median price of multi-family properties has hovered around 2012s median price of $120,000, rising 33 percent from the markets year end price of $90,000 in 2009, an annual low.  Sales activity has been up and down in the multi-family market but ended up with a three percent gain in 2012 overall. 

Though the year closed in December with a four percent drop in multi-family sales, pending sales increased seven percent from December, 2011 - an indication that increased sales are likely in the beginning of 2013. As in the single family home and condo markets, inventory is tightening, falling 27 percent in December and leaving just over a five month supply of multi-family properties for sale. Distressed sales fell as a percentage of total sales to 48 percent from 59 percent a year earlier.

Pent up demand and great affordability are carrying into 2013. I think the spring selling season will be particularly robust, as long as Congress doesnt derail the recovery with further changes to the tax code that erode homeowner benefits, said Doran.  Any changes to the mortgage interest deduction, even if only to second homes, could derail the forward momentum were experiencing.  I hope our Congressional delegation realizes that, she said.

Warwick, RI, January 23, 2013Despite a quarter hampered by Hurricane Sandy, Rhode Island single family home sales soared and prices rose in the fourth quarter of last year according to statistics released today by the Rhode Island Association of Realtors (RIAR). Sales activity increased by 25 percent from the previous year and median price increased five percent to $195,000 from $185,000.

"Prices finally began some upward momentum this fall. Falling inventory put pressure on prices. At the end of December, Rhode Island had a six month supply of single family homes on the market so we've finally achieved a balance market. It's a great starting point for the New Year," said Victoria Doran, 2013 RIAR President. A six-month supply of homes for sale typifies a market balanced between sellers and buyers.

Condominium sales also made a strong showing in the fourth quarter, with median price increasing 24 percent to $192,250 and the number of sales increasing 27 percent. There was a 7.6 month supply of condos on the market at the end of the fourth quarter.

The median price of multi-family home sales rose ten percent to $120,000, though sales activity decreased three percent, following a flurry of activity which began in the fall of 2011 as investors recognized the bottom of the market. There is nearly a six-month supply of multi-family properties for sale which indicates that the investor market has also stabilized.

Foreclosure and short sales have fallen dramatically which also helped to boost median price in all three categories. (Median price reflects the midpoint of sales with half selling for more and half selling for less.) The number of distressed sales fell nine percent among single family home sales, 21 percent among condominium and 26 percent in multi-family homes in the months of October through December.

"We saw a lot of movement last fall, particularly in the higher price brackets," said Doran. "It appears that some may have been making a move in advance of anticipated tax code changes. As it turns out, the housing market was relatively unscathed during the fiscal cliff negotiations only the highest earners face a reduction in their deductions. Everything is up for grabs in the next few months though, as Congress tries to tackle the deficit. It's critically important that people let their Congressmen know that changes to the mortgage interest deduction or anything else that takes away key benefits of home ownership for that matter, could be extremely detrimental to the housing recovery."

Warwick, RI, August 21, 2012Rhode Island home sales continued to improve in July, increasing 22 percent from the year prior. Though median price was down one percent from July 2011, prices have shown continued improvement throughout the year. The one percent decrease marked the smallest annual decrease so far this year, a sign that prices are beginning to stabilize.

July statistics released by the Rhode Island Association of Realtors today show the median price of all single family home sales at $207,000 last month, while the median price of conventional sales only meaning those not sold through foreclosure or short sale - was $238,000.

Median price has continued to rise month to month since February. July was no exception, despite a sudden increase in the distressed market, which typically tends to lower the median as foreclosure and short sales generally occur in the lower price brackets. The number of homes sold through foreclosure or short sale increased from 21 percent in July, 2011 to 25 percent this July. The percentage of distressed sales also increased from the month prior. In June, foreclosure and short sales accounted for 23 percent of all existing single family sales.

"Overall, another favorable month for the Rhode Island real estate market," commented Jamie Moore, 2012 President of the Rhode Island Association of Realtors. "Sales are up, prices are rising, and despite a few ups and downs, the distressed market has become less significant throughout the year." Moore explained that though single family distressed sales were slightly higher in July, they accounted for less than one in four sales, a decrease from prior months early in the year when they accounted for one in three sales.

The multi-family market also saw a rise in year over year sales with 118 multi-family properties sold last month compared to 95 sold in July, 2011. Median price decreased four percent to $135,000. Distressed sales accounted for 43 percent of all July sales, compared to 58 percent last year. The median price of all conventional sales was $164,000.

Condominium sales did not fare as well last month, showing no change in the number of sales between July, 2011 and July, 2012. The median price dropped significantly, down 35 percent, most likely owing to a sharp increase in distressed sales. Such sales accounted for 25 percent of all condo sales last month, compared to 14 percent a year ago.

"Condominium statistics can be easily influenced. With less than 100 sales last month, one change in pricing strategy for a particular development can skew the numbers significantly," explained Moore. July's median condo price of $157,500 is just slightly above the $155,450 median price seen at the beginning of the year.

Warwick, RI, July 31, 2012... The housing market improved consistently in the second quarter, with single family home sales up 18 percent compared to the same time period last year. Rhode Island Association of Realtors home sales statistics showed that though the second quarter median price of $192,000 remained down six percent from the prior year, the price has risen each month since February and topped the $200,000 mark in June for the first time since August, 2011.

The percentage of sales through foreclosure and short sale decreased slightly from 27.5 percent from April to June, 2011 to just under 27 percent this year. Distressed sales also fell throughout the quarter, accounting for one in three sales in April to less than one in four in June. The market showed a significant improvement from the first quarter as well, which reflected that 34 percent of all sales were sold through foreclosure or short sale. The first quarter single family median price of conventional sales, which exclude distressed sales, was $235,000, 23 percent more than the median price of all sales including foreclosure and short sales.

"There's no question that we're moving in the right direction. We seem to have moved a large proportion of distressed properties off the market and conventional sales are becoming more prevalent again," said Jamie Moore, president of the Rhode Island Association of Realtors.

Condominium sales rose by 11 percent while median price fell less than two percent to $170,000. The first quarter median price of $135,000 had been 21 percent lower than the year prior so the second quarter price indicates rising values in the condominium sector. The percentage of distressed condominium fell from 24 percent in the second of quarter of 2011 to 22 percent this year. The median price of condo not sold under financial duress was $195,000.

The number of sales fell slightly in the multi-family market, from 340 from April through June, 2011 to 338 in the second quarter of this year. Median price held steady however, rising .4 percent to $120,500. Forty-seven (47) percent of all second quarter, multi-family sales were sold through foreclosure or short sale compared to 50 percent last year and 55 percent in the first quarter of this year. The median price of conventional sales was $150,750.

"Investors saw the bottom and got great deals on multi-family properties. Now as the number of distressed properties available for sale continue to decline, values are beginning to rise," said Moore. She added that the enhanced affordability of home prices coupled with the lowest interest rates ever, are creating great opportunities for buyers of all property types.

The number of single family homes sold last month rose 15 percent from a year ago according to the Rhode Island Association of Realtors, and pending sales - those under contract but not yet closed - rose by 22 percent. During the same period, the number of single family homes available for sale dropped 12 percent. The enhanced activity in closed and pending sales, coupled with the decline in the number of properties for sale, signifies that the market is reaching a healthier balance between supply and demand. Currently, there is an eight-month supply of single family homes on the market compared to a 10-month supply last year. A six-month supply typifies a balanced market.

Median price, though down seven percent from a year ago, increased 11 percent from the month prior. May's single family median sales price was $195,000.

Single family distressed sales, comprised of short sales and foreclosures sold at deep discounts, accounted for 25 percent of all sales in May, down from 27 percent in the prior year. The median price of conventional sales only, held relatively steady at $234,500, down only one percent from the year prior.

"I think we're finally seeing the last push of foreclosure and short sales moving through the market. Once they are cleared out of the system, we'll see prices start to rise," said Jamie Moore, an appraiser and President of the Rhode Island Association of Realtors. "The problem we're seeing now is getting appraisals to reflect what's happening in the market. Since appraisal estimates are based on past history, low appraisals are sometimes hindering full price sales. I think we would be seeing even more robust sales, if this weren't the case."

Sales of multi-family properties dropped 13 percent and the supply of multi-family properties for sale fell 18 percent. Pending sales however, continued to increase, up 16 percent. The multi family median sales price also decreased, down four percent to $115,100. Distressed sales continued to drop, accounting for fifty percent of all sales, down from 53 percent last year. The median price of non-distressed sales was $148,000, a two percent increase from May, 2011. There is currently a 13-month supply of multi-family homes on the market.

"The multi-family market is typically the investor's market and I think they anticipated the bottom before everyone else," said Moore. "Sales for investment appear to be slowing and the rush to grab bargains is subsiding." May signified the first time multi-family sales have declined since last August Moore explained.

In the condominium sector, sales rose significantly, up 26 percent from May 2011 to May 2012, and pending sales rose seven percent. The number of condos for sale fell 14 percent from a year ago while median price fell five percent to $171,000. Twenty-five percent of all condo sales were sold through foreclosure or short sale, up only three percent from a year ago and the median price of non-distressed sales only was $195,000. There is an 11-month supply of condominiums on the market.

"The number of condo sales has increased month to month all year long. May sales were more than double the amount of sales seen at the beginning of the year, so the condo market appears to be regaining its footing as well," said Moore.

Warwick, RI, May 22, 2012 - According to the Rhode Island Association of REALTORS, Rhode Island home sales were up 24 percent from the previous year. April marked the 10th consecutive month of rising sales. Sales under contract but not yet closed, deemed the most current indicator of the market, were also up 28 percent.

Though activity in the market has increased, the median price of existing home sales was down in 25 of Rhode Islands 39 cities and towns, and down eight percent statewide to $175,000. Seven towns however Tiverton, Portsmouth, Warren, Johnston, Cumberland, Hopkinton and Westerly - saw double digit appreciation.

The number of foreclosure and short sales in the single family market rose 35 percent from a year ago and accounted for 34 percent of total sales. The median price of homes not selling through foreclosure or short sale was $224,750, just $250 less than a year ago. Statistics indicate that the biggest loss in value occurred among distressed properties and that the price of those selling through conventional means remained relatively stable.

Were definitely seeing the distressed sales getting pushed through the pipeline to closing as banks are getting more efficient at processing them. Plus, more buyers seem to be jumping into the market to take advantage of the fantastic prices and low interest rates. As supply gets pushed down, prices will go up,

The multi-family market saw improved trends in all areas. Sales rose six percent and pending sales increased 13 percent. Median price was up three percent to $127,499 and the median price excluding distressed sales rose six percent to $172,500. The number of distressed sales remained relatively stable from a year ago, up only two percent, but still accounted for 49 percent of all multi-family sales.

Sales in the condominium market increased 19 percent from 12 months ago and pending sales increased nine percent. The April median sales price of $140,000 represents a six percent drop since April 2011 and the median price of properties not selling under duress decreased two percent to $190,000. The volume of distressed sales in the condo market went down three percent and accounted for only 27 percent of total sales, the lowest volume of distressed sales of all three categories.

Condominium owners and developers have had means to avoid foreclosure that many single family homeowners didnt have, They were able to weather the struggling market by converting condos to rental units.

The number of properties on the market went down in all three categories, indicating a market that is beginning to reach a healthy balancing point between supply and demand. The inventory of single family homes for sale fell nine percent while the number of available multi-family properties and condominiums, fell 16 and 14 percent, respectively.

None of the categories saw a decrease in median price from the month prior, a hopeful sign for homeowners that prices are beginning an upward trend.

Warwick, RI, May 2, 2012... Rhode Island's housing market showed signs of recovery in the first quarter with single family home sales rising 22 percent from last year.  Fifteen hundred (1500) single family homes were sold last quarter, the highest number of first quarter sales since 2007.

The number of single family sales sold through foreclosure or short sale accounted for 34 percent of all sales, having increased 32 percent from the year prior.  The prevalence of these distressed sales led to a decrease in median price of overall single family resales.  Single family homes sold for a median price of $173,250 last quarter, down from $195,000 in the first quarter of 2011.  Foreclosure and short sales, which generally occur in the lower priced market, tend to drag down the median price. 

The first quarter single family median price of convention sales, which exclude distressed sales, was $215,000, 24 percent more than the median price of all sales including foreclosure and short sales.   Though Rhode Island foreclosure sales are on the upswing, industry researcher Realty Trac recently reported that foreclosure filings decreased during the first quarter compared to the same time period in 2011.  That trend indicates that foreclosure inventory could be diminishing.

Newport, Jamestown, Charlestown and Westerly saw an increase in both sales volume and median price of single family home sales in the first quarter, indicating that the second home market may be coming to life.  Realtors are concerned that a proposal to impose a 13 percent tax on short term private home rentals could dampen Rhode Islands housing market, particularly month-to-month, student rentals, and the second home market, believed to be a substantial component of the state's housing supply.

" Rural areas like North Smithfield, Foster, Burrillville, North Kingstown, Coventry and West Greenwich, also saw both rising sales and prices in the single family home market.

The multi-family market saw a 13 percent increase in sales and a four percent drop in median price, from $120,000 to $115,000. Like the single family market, prices were affected by an increase in the number of distressed sales year to year, of eight percent.  Fifty-five percent of all multi-family sales involved distressed properties from January through March.

Warwick, RI, March 20, 2012Single family home sales were up from the prior year for the eighth consecutive month in February. Sales increased 28 percent last month, from 340 single family homes sold in February, 2011 to 434 this year, according to statistics released by the Rhode Island Association of Realtors (RIAR). A lower median price of $170,000, down from $205,000 last year, indicates that sales are increasing due to closings on distressed sales, which are typically in the lower priced sales bracket.  Median price has not been this low since April, 2002 and is indicative of a market in which one in three sales has been sold through short sale or foreclosure.

While RIAR, which reports sold properties, noted that the number of distressed sales increased 37 percent from a year ago, industry researcher, RealtyTrac, recently reported that foreclosure filings in Rhode Island were down 39 percent in February.  These statistics, which show a decreasing number of properties entering foreclosure with an increasing number of such properties sold and therefore exiting foreclosure, could indicate that the inventory of distressed properties on the market is being depleted.

Pending sales which refer to properties under contract, not closings, were also up by 27 percent. Pending sales are considered to be the most current indicator of the market. The number of single family homes on the market rose one percent from a year ago, the smallest increase in inventory since last March. The key to market stability is a reduction in the supply of homes for sale.

The increased sales correlate to a release by the National Association of Realtors which noted that its Housing Affordability Index rose to a record high in January. The index is based on the relationship between median home price, median family income and average mortgage interest rate. The higher the index, the greater the household purchasing power. This is the first time since record keeping began ( in 1970) that the national Housing Affordability Index has broken the two hundred mark.  An index of 200 means that the typical family has roughly double the income needed to purchase a median-priced home.

Condominium sales followed the same trends as single family homes with sales up 12 percent and median price down 26 percent to $125,000.  The number of distressed sales among condominiums increased from 14 in February, 2011 to 22 last month. 

Multi-family sales were the only property type with increases in both sales and median price. Seventy-seven multi-family homes sold last month, up 20 percent from the same time last year. The median sales price of $104,000 was eight percent higher than a year ago.

"Rents are rising so investors and first time buyers are taking advantage of fantastic affordability for home ownership. The low price point, low interest rates and indications of a good return on investment is enticing buyers to get off the fence,".

Pending sales rose nine percent among condos and multi-family homes, and the number of condos and multi-family properties for sale fell, down nine and 13 percent respectively. Diminishing inventory in the multi-family sector has led to rising prices and the condominium market appears poised to follow the same trend.

"Many of the major trends are going in the right direction, or if they're not now, it appears that they soon will be. Extended periods of increased sales are typically followed by rising prices. It seems that we are definitely in a period of market correction and will move further along in the recovery as financially distressed homes are removed from the market,"