Good News in the Neighborhood

The median price of single family home sales rose 14.3 percent in Rhode Island from January 2009 to January 2010 according to sales data released today by the Rhode Island Association of Realtors.

Median price, which reflects the marketing mix (size and type) of properties sold and not the value of the same property over time, rose to $200,000 from $175,000 in January 2009. Last month marked the third consecutive month of increased prices.

The price increase correlates to a drop in the rate of distressed sales. Thirty-two percent of all sales last month were sold through foreclosure or short sale, compared to 47.8 percent 12 months earlier. The median price of conventional single family sales - those not sold under duress - was $227,500.

For full story and accompanying statistics, visit riliving.com/pressreleases.

For more information or real estate assistance, call me at 401-338-5102.

Third Quarter 2009 Housing Sales

The National Association of Realtors reported that sales of existing homes were up 27.2% during the last three months of 2009 compared to the same period a year earlier, hitting a seasonally adjusted rate of 6 million homes sold.

That's a 13.9% increase from the 5.29 million annual rate seen during the third quarter, as home buyers moved to take advantage of low interest rates and a tax credit that was set to expire but was ultimately extended and expanded by Congress.

Sales increased from the third quarter to the fourth in 48 states and the District of Columbia, with 32 states seeing double-digit gains, NAR said. Year-over-year sales were higher in 49 states and Washington, D.C., and all but three states had double-digit annual increases.
Distressed property accounted for 32 percent of fourth-quarter transactions, down from 37% a year earlier.

The national median existing single-family price fell 4.1% year-over year to $172,900 -- the smallest price decline in more than two years, said NAR chief economist Lawrence Yun.

However, Rhode Island saw an increased in houses sold in December 2009. The number of single-family houses sold in Rhode Island and the median price for those houses rose when compared with December 2008, according to figures tabulated by the Rhode Island Association of Realtors. That followed a November that also saw prices and numbers sold increase from the same month a year ago, which broke a 39-month streak of lower prices.

December sales rose 19%, from 492 houses in 2008 to 583 houses in 2009, according to the Realtors Association. At the same time, the median sales price rose 5%, from $190,000 to $200,001.

Let's hope this trend continues and that it means that the Rhode Island residential real estate market may be recovering after a three-year slump.

For all your Real Estate questions and need, contact me at 401-338-5102.

Four Reasons to Sell Now

Everyone is hearing that selling a property in this tough market seems like a challenge. If you are on the fence about putting your house on the market now, the National Association of Realtors give these reasons not to wait:

1. Sell low and buy low. Because all property values are down, the loss on the property a home owner sells is really only a paper loss because the next property he buys also will be a bargain. If he buys smartly, when prices come back up in a few years, he’ll be in better shape. It's all about percentages.

2. Down-payment help is widely available. While nothing-down loans have disappeared, it is easy to find down-payment assistance for lower-income and first-time home buyers. Programs vary all over the country, but one good way to find them is to search online for “down-payment assistance programs” and the name of your region. There are many first-time buyers out there as well as 'move-up' buyers, both of whom may be able to qualify for the tax credit.

3. Besides the tax credits for buyers, there is an array of energy tax credits that can make home improvements pay off in cash.

4. Good help is available. Really talented real estate practitioners, contractors, and designers are available and eager for business.

Don't wait, if you are considering selling call me at (401) 338-5102.

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