Single-family home sales in Rhode Island jumped 11 percent in October from a year earlier, the first double-digit percentage gain in monthly home sales in four years and the first significant increase in sales this year, according to a new report from ""The Warren Group"":http://www.thewarrengroup.com.
However, home values continued to fall by double-digit percentages, with the median home price dropping 15.3 percent in October, compared to the same month in 2007, the research firm said.
""Lower prices are helping move properties off the market,"" said Timothy Warren Jr., CEO of The Warren Group, a provider of real estate data for the New England area. ""But it's important to note that the October data reflects home sales that were negotiated three to four months ago before the stock market collapse and before thousands of job layoffs were announced. The market woes have certainly had an impact on consumer confidence and people's eagerness to make a major purchase,"" Warren added.
Based on The Warren Group's market data, single-family home sales in the state rose to 653 in October, from 588 in October 2007. The increase is in sharp contrast to prior months this year when monthly sales were off year-over-year by anywhere from 17 to 26 percent, the company said. The last time Rhode Island's monthly single-family home sales climbed more than 10 percent was in November 2004, The Warren Group explained. Still, year-to-date home sales in the state are down 13.6 percent to 5,790, from 6,702 last year.
According to The Warren Group, Rhode Island's median home price in October plummeted 15.3 percent to $211,000, from $249,000 a year ago. It was the fifth consecutive month that home prices have declined by more than 10 percent. The median price for homes sold from January through October dropped 12.3 percent to $235,950, from $269,000.
While the single-family home market got a bounce in October, condominium sales continued to slump, The Warren Group said. Condo sales plunged 34.5 percent to 114, from 174 in October 2007. Year-to-date condo sales are off 33.3 percent, the firm said.
The median condo price in October dipped 9.3 percent to $199,900, from $220,500. The year-to-date median condo price slipped 4.4 percent to $215,000 from $225,000, based on The Warren Group's findings.