FOR IMMEDIATE RELEASE
Editorial Contacts:
Katie Curnutte
The Warren Group
617 896-5370
kcurnutte@thewarrengroup.com
R.I. Home Prices in January See Largest Drop in
More Than 20 Years;
Condo Prices and Sales Also Take Plunge,
The Warren Group Reports
Falls in Sales and Prices Continue to Deepen
BOSTON, March 10, 2008 – The January median price of single-family homes in Rhode Island fell by the largest monthly percentage since The Warren Group began tracking the state’s housing market in 1989. Condominium sales and prices also recorded fell in January, according to The Warren Group, which tracks real estate data across New England.
The median price of single-family homes fell 12.8 percent from $269,500 to $235,000 in January.
Sales of single-family homes also fell substantially in January, dropping 24.3 percent from 519 sales in January 2007 to 393 sales in January 2008. The last time monthly sales fell by a larger percentage was in September 2007, when they declined 27.5 percent.
“In a small state like Rhode Island, month-by-month numbers do not always indicate trends,” said Timothy Warren Jr., CEO of The Warren Group. “But we have seen declines in single-family home sales hover around 20 percent for the past five months, and monthly price drops leading up to January have been pushing toward 10 percent. It is apparent that many homeowners are waiting on the sidelines, probably worried that if they buy a home now, the price will drop even more. A turnaround is likely not imminent, but if the economy can fend off a recession, we could see some bright spots toward the end of this year.”
The Ocean State’s condominium market had a dismal month in January, with sales falling 26.2 percent from 172 to 127 in January 2008. The median price declined 13.1 percent from $237,500 to $206,500.
The Warren Group has recently revised its method of calculating statistics, and now excludes non-arm’s-length sales, or sales that occur between family members and sales that are substantially below the assessed value of a home. Also excluded are foreclosure deeds.
About The Warren Group
The Warren Group, based in Boston, is the publisher of Banker & Tradesman, The Commercial Record and a series of association publications. As the premier provider of real estate data in New England, The Warren Group offers a range of real estate products and services for professionals and consumers searching for real estate and financial information. For more information about The Warren Group, please visit www.thewarrengroup.com or call 617-428-5100.