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.

Despite more homes now available for sale, the level of supply remains low due to the increase in sales. With no new listings hitting the market, the current supply of single-family homes would be depleted in 1.9 months at the current pace of sales, compared to the six-month supply typically representative of a balanced market. As a result, the median price rose 11.4% from November 2023 to $480,000.

“More inventory and increased sales are trends we desperately need on our way to a more balanced market.  However, seeing the median price climbing by double-digits in all but two months this year is still troublesome.  Affordability will not come back into line in Rhode Island until we start building more homes and creating more jobs with growth opportunities. Those should be key issues of concern for all Rhode Islanders as we head into the 2025 legislative session,” said Whitten.

In other areas of the housing market, condominium sales also showed upward movement. Closed activity rose by .9%, the number of listings on the market rose by 12%, and the median price rose to $390,000, a 9.1% gain from the prior year. Only pending sales dropped for the fourth consecutive month, foretelling tempered sales in the weeks ahead.

A slowdown in sales activity is also evident in the multifamily home market. Last month, sales decreased by 13.8% and pending sales dropped by 2.5% from November 2023. The median price of those sales rose to $563,500 compared to $492,000 last year. 

“As we move into the New Year, we expect to see more activity in the housing market. Since the beginning of 2022, the 'lock-in effect’ has most homeowners hanging onto their low interest rates causing stalled sales and lessened inventory.  Therefore, life changes that typically precipitate a move like divorce, babies and job relocation have been put on hold.  But we anticipate with the equity gains homeowners have made along with many getting used to the 'new normal' in mortgage rates, that inventory will continue to grow as the new year progresses.” said Whitten.

The Association’s sales statistics reflect all Realtor-assisted sales transacted through its subsidiary, State-Wide Multiple Listing Service.