More Homes For Sale In Rhode Island But Market Is Still Hot

PROVIDENCE, R.I. (AP) — The median house price in Rhode Island is up 25% from what it was a year ago but slightly more houses are available for sale now than there were in May.

The median sales price for a single-family home reached a record high of $385,000 in June, the Providence Journal reported on Wednesday citing statistics from the Rhode Island Association of Realtors.

“The market is crazy here, but you can still get a lot more house for a lot less money than other places,” Luis Mateus, who owns a real estate company in East Providence, told the newspaper.

In May, the association said there were 900 single family homes for sale across the state, less than one month's supply. Now, supply has increased slightly to 1.7 month's supply. A six-month supply is considered the sign of a balanced market, the newspaper reported.

Leann D’Ettore, president of the association, said more homes are on the market in part because of rising vaccination rates and because federal mortgage forbearance is scheduled to phase out in September. That means many people who have not been able to make mortgage payments will be required to do so again, prompting some to decide to sell.

Competition for homes priced less than the median sales price of $385,000 is steep. The average number of days a home stays on the market is 27, down 50% from June 2020, the newspaper reported.