Rhode Island Housing Market Shows Signs of Balance

News Summary

The housing market in Newport County, Rhode Island is transitioning from a strong seller’s market to a more balanced scenario for both buyers and sellers. Recent sales reflect steady demand, while the median home price has increased, although sales have slightly slowed. Properties effectively marketed are still seeing buyer interest, particularly in the luxury segment, while overpriced listings tend to linger on the market. As expert advice is sought, the future may bring more inventory and opportunities for buyers and sellers alike.

Rhode Island – The housing market in Newport County is showing signs of balance as demand remains steady, shifting from a strong seller’s market to a more even playing field for buyers and sellers. In the past week, 17 properties were sold, evidencing ongoing buyer interest in the region.

A highlight of recent transactions includes a notable $3.3 million sale of a condominium at The Waves on Ledge Road. This significant sale underscores that when properties are effectively marketed, even in the high-end segment, robust activity persists among luxury buyers. However, homes that are priced excessively without selling points are seeing longer market times, necessitating price reductions to attract offers.

The median home price throughout Newport County has experienced an increase over the past year with annual growth rates often surpassing 4% and sometimes exceeding 5%. Despite this price appreciation, the pace of sales has seen a slight deceleration, with inventory levels rising in the last month. Properly priced and well-prepared homes continue to draw significant buyer interest and receive offers shortly after entering the market.

However, properties that are listed at the higher end of their price range without sufficient justification are witnessing extended time on the market. This trend is particularly pronounced for homes priced between $800,000 and $1.2 million, where buyer expectations have heightened and the number of available listings has broadened.

To navigate the increasingly nuanced market, both buyers and sellers are encouraged to engage with local real estate professionals. This expert guidance can help make informed decisions based on current market trends and conditions.

Current Inventory Overview

The current housing inventory across Newport County includes a diverse selection of properties:

• Jamestown:
  • 85 Frigate Street – $1,000,000 (2 beds, 2.5 baths, 1,512 sq. ft., Contemporary, 34 days on market)
  • 400 Schooner Avenue – $515,000 (3 beds, 1 bath, 1,320 sq. ft., Cottage, 34 days on market)
• Little Compton:
  • 22 Pond View Drive – $1,550,000 (4 beds, 2.5 baths, 2,754 sq. ft., Ranch, 18 days on market)
• Middletown:
  • 433 Wolcott Avenue – $1,645,000 (3 beds, 2 baths, 1,865 sq. ft., Cape Cod, 47 days on market)
• Newport:
  • 45 Burnside Avenue – $875,000 (3 beds, 2 baths, 1,503 sq. ft., Colonial, Cottage, 27 days on market)
  • 57 Ledge Road Unit #2 – $3,300,000 (2 beds, 2 baths, 1,781 sq. ft., Town House, 4 days on market)
  • 78 Rhode Island Avenue Unit #5 – $1,500,000 (2 beds, 2 baths, 1,680 sq. ft., 68 days on market)
  • 421 Bellevue Avenue Unit #2A – $900,000 (2 beds, 2.5 baths, 1,439 sq. ft., Town House, 33 days on market)
  • 75 Pelham Street Unit #A – $600,000 (1 bed, 1 bath, 828 sq. ft., One Level, 55 days on market)
• Portsmouth:
  • 181 Prospect Farm Road – $2,875,000 (4 beds, 5.5 baths, 5,040 sq. ft., Colonial, 53 days on market)
  • 68 John Oldham Road – $1,100,000 (3 beds, 3.5 baths, 1,896 sq. ft., Colonial, 1 day on market)
  • 26 Cherokee Drive – $745,000 (4 beds, 2.5 baths, 1,482 sq. ft., Raised Ranch, 3 days on market)
  • 2 North Drive – $205,000 (2 beds, 2 baths, 1,217 sq. ft., Manufactured/Mobile, 27 days on market)
  • 62 Ferry Landing Circle – $949,000 (2 beds, 3.5 baths, 2,561 sq. ft., Town House, 62 days on market)
• Tiverton:
  • 436 Crandall Road – $550,000 (3 beds, 2 baths, 1,660 sq. ft., Ranch, 72 days on market)
  • 133 Warren Avenue – $445,000 (3 beds, 1 bath, 1,382 sq. ft., Ranch, 6 days on market)
  • 119 Evergreen Avenue – $415,000 (3 beds, 1 bath, 884 sq. ft., Ranch, 12 days on market)

Market Challenges and Projections

A key challenge for sellers is deciding on their next move post-sale, which contributes to current hesitance in listing properties. Looking ahead, it is expected that inventory levels could rise, potentially easing some competitive pressures faced by buyers. However, increasing mortgage rates may pose long-term challenges for home affordability.

Recent reports have indicated that Rhode Island ranks as the 10th least stable housing market in the United States, pointing towards volatility that could influence buyer confidence and market stability in the coming months. As 2025 approaches, it is anticipated that the housing inventory will further increase, resulting in a more balanced market with opportunities for both buyers and sellers alike.

Deeper Dive: News & Info About This Topic

• What Sold: A Look at 17 Homes in Newport County
• Wikipedia: Real estate
• The Reality of the Newport County Housing Market
• Google Search: Newport County housing market
• Nine Homes Under $600K: Aquidneck Island’s Housing Market Reality
• Google Scholar: Housing market Newport County
• What Sold: A Look at 14 Recent Sales in Newport County
• Encyclopedia Britannica: real estate