Real Estate News: Good Word on Housing
Wednesday, April 28, 2010
Good news for economic rebound-watchers: according to figures recently released by the Rhode Island Association of Realtors, sales of single family homes were up 8.5 percent from the first quarter of 2009 and the median price rose 7.2 percent, from $180,000 last year to $193,000 this year. “We’re pleased with what we’ve been seeing," says Karl Martone, President of the Rhode Island Association of Realtors. "Consumer confidence is growing and the tax credit has helped as well, especially in March when sales increased almost 20 percent. It’s still critically important for sellers to be realistic in pricing in order to keep this sales momentum going and achieve a balanced market.”
The condo market also saw increased sales of 13 percent, with a slight growth of one percent in median price to $177,000. Twenty-five percent of all sales were sold through short sale or foreclosure compared to 32 percent a year ago. The median price of non-distressed condo sales was $209,000. “Double digit growth in sales volume is important in the condo market because we still have an abundance of units for sale," says Martone. "Rhode Island had a 16-month supply of condos for sale at the end of March."
The multi-family market was the only category to see a downturn, with sales figures down 26.3 percent from January through March 2009. Median price however, rose substantially, up 34 percent from $80,000 in the first quarter of 2009 to $107,150 this year. With foreclosures and short sales flooding the market, prices bottomed out (86 percent of all multi-family sales in the first quarter of 2009 occurred through foreclosure or short sale. That statistic fell to 67 percent this year, and March monthly sales data shows that number dropping as low as 63 percent and median price hitting $120,000 with a seven-month supply of properties for sale.
GET THE LATEST BREAKING NEWS HERE -- SIGN UP FOR GOLOCAL FREE DAILY EBLAST“Clearly, the multi-family market is stabilizing in Rhode Island," says Martone. "We saw a feeding frenzy last year when prices were plummeting but it appears that the fire sale mentality is over. We’re getting back to business as usual."
