News

Prior to December 23rd, it was reported that Federal regulations required existing LLCs and corporations to be registered with the US Department of Treasurer by December 31, 2024, new entities to be registered within 30 days, and if you planned to form a new LLC or corporation in 2025, filing within 30 days after your entity is registered with the Rhode Island Secretary of State’s Office. However, on December 23^rd, a panel of the U.S. Court of Appeals for the Fifth Circuit stayed the registration requirements until further notice. This means that these and other entities are not required to file for now.   

Warwick, R.I. – December 18, 2024 – The Rhode Island Association of Realtors released November sales statistics today showing a 3.5% rise in year-over-year sales activity and a 17.6% increase in pending sales expected to close in the coming weeks. This year, monthly sales have risen year-over-year for six months, in contrast to falling every month from January 2022 to January of this year. Inventory has increased from the prior year each month since April, which has helped spark sales.

Starting on January 30, 2025, a new law will prohibit anyone but a licensed electrician from opening electrical panels; and performing other inspections that home inspectors have been required to perform, such as inserting a receptable tester into a wall plug. 

Warwick, R.I. – November 21, 2024 – The Rhode Island Association of Realtors recently released October sales statistics that show the median price of Rhode Island’s single-family home sales continued to climb year-over-year, rising 11.5% to $485,000. The number of closed transactions also saw an annual gain of 5.4%. Pending contracts rose seven percent, an indication that year-over-year sales activity will likely continue to grow through year-end.

Many landlords may need to address lead hazards identified during their inspection when complying with Rhode Island's rental registry, before they can pass an inspection and get a lead certificate. Property owners should know that this work is regulated by the RI Department of Health (RIDOH) and may need to be done by a licensed lead professional. Property owners can learn more about fixing lead hazards and what work they can do themselves on the RIDOH website, as well as what to eviction steps to take if a tenant is not paying rent while the property is not yet through the compliance procedure.

Warwick, R.I. – November 4, 2024 – Sales data released by the Rhode Island Association of Realtors indicates a jump in year-over-year single-family home sales in the third-quarter, compared to falling sales in the first two quarters of the year.  The number of closed sales rose 8.5% compared to July through September of last year.

Rental properties that are rented for 30 nights or fewer at a time on a hosting platform, which includes real estate brokerage sites, must be registered with the Rhode Island Department of Business Regulation (DBR).  A new law S2410Aaa.pdf (rilegislature.gov) will require the changes to the registration to take effect on January 30, 2025.

Starting on January 1, 2025, a new law will make it easier for tenants to understand the full cost of a rental.  Rhode Island Public Laws 308 and 309, which are identical, will require a landlord to disclose all fees to a tenant as part of a written rental agreement or a separate disclosure if there is no written rental agreement.  The fees must be mentioned in the same section as rent.

On October 17, 2024, the Rhode Island Association of REALTORS® sent updates that incorporate these changes to the forms vendors.  Keep in mind that different forms vendors post updates at different times.

Warwick, R.I. – October 17, 2024 – The median price of single-family homes sold in September climbed 6.6% year-over-year, continuing a trend in Rhode Island that began in February 2017. The Rhode Island Association of Realtors reported sales statistics today showing that last month’s median sale price of $485,000 was $30,000 higher than September 2023.

Do you plan to base your listing or cooperating compensation on a net sales price?   Make sure to explain clearly how the net will be calculated in your agreement, whether you’re negotiating a listing agreement, buyer contract or purchase and sales agreement.  Failure to do so can result in disagreements about what expenses will be deducted from the gross sales price.   Conflicting interpretations can delay the closing until all parties agree.