Housing Sales Up in July

Housing Sales Up in July

Warwick, RI, August 18, 2011… July single family homes sales increased 22 percent in Rhode Island from the year prior, an expected increase due to the slow sales activity in July of last year following the anticipated expiration of the federal home buyer tax credit.  The credit expired on September 30, 2010 but was previously set to expire on June 30th of that year.  Sales soared prior to the June deadline which exhausted buyer demand in the following months, beginning in July, 2010. According to the Rhode Island Association of Realtors (RIAR), July signifies the first time sales have increased year over year since June 2010. Pending sales - those under contract but not yet closed - also increased, up eight percent  compared to the same time period last year. Though the number of sales rose to 643 last month from 526 a year earlier, they remained below the July, 2009 level of 795.

The median price of single family homes was $210,000 last month; eight percent below last year's median of $227,500 and equal to the median price seen in July 2009. The median reflects the mid-point of sales, where half sold for more and half sold for less.
The number of distressed sales rose from a year ago, to 136 this July from 110 last year. However, as a percentage of total sales, foreclosure and short sales accounted for only 21 percent of all single family sales last month, the lowest percentage so far this year.
"While sales increased from a year ago, we're looking forward to even stronger growth in the next couple of months. Pending sales began rising for the first time in 16 months in June and the trend continued in July. Most likely we won't see those sales closed until August or September," commented Stephen Antoni, President of the Rhode Island Association of Realtors.
In other categories, multi-family sales declined 11 percent while the median price increased by the same percentage, to $141,000.  The number of foreclosure and short sales declined 15 percent from a year ago.  Sales were down just two percent among condo sales while the median price rose five percent to $242,000.  The number of distressed condo sales fell 22 percent from July, 2010.
"The effects of the current economy remain to be seen but we’re hopeful that we'll continue to see increased pending and closed sales throughout the fall," commented Antoni.  "Home affordability is excellent right now but consumer confidence could make or break the continued recovery of the housing market in the second half of the year," he added. 
Sales statistics from the National Association of Realtors (NAR) will also be released today. NAR statistics reflect seasonally adjusted data from the Rhode Island, New Bedford and Fall River markets while RIAR statistics reflect Rhode Island only and are not benchmarked in any way.
Statistics from the Rhode Island Association of Realtors relay actual sales data collected through the State-Wide Multiple Listing Service only.  They do not include sales transacted through non-Realtor members or properties sold by owner.  The data is not seasonally adjusted or benchmarked in any way.