CoreLogic: R.I. home cash sales declined in August

PROVIDENCE – Cash sales made up 31.05 percent of all home sales in Rhode Island in August, a decline from 33.26 percent that was recorded a year ago, according to data firm CoreLogic.
The declining pattern in Rhode Island is following the national trend, where 33.8 percent of total home sales in August were cash sales, compared with 36.4 percent in August 2013.
CoreLogic said the year-over-year share has fallen each month nationally since January 2013. But month-over-month, cash sales share rose by less than 1 percent. CoreLogic said cash sales comparisons should be made on a year-over-year basis due to the seasonal nature of the housing market. For 14 out of the past 15 years, the month-over-month cash share has increased.
CoreLogic said that prior to the housing crisis, cash sales averaged 25 percent of total home sales, adding that the peak occurred in January 2011 when cash transactions made up 46.3 percent of total home sales.
Real estate-owned sales (property typically owned by a bank after an unsuccessful sale at a foreclosure auction) had the largest cash sales share nationwide in August at 56.9 percent, followed by resales at 33.4 percent, short sales at 31.8 percent and newly constructed homes at 16.5 percent. Real estate-owned transactions made up only 7.2 percent of total sales in August, and as a result, CoreLogic said they did have a great influence on overall cash sales share.
In January 2011, real estate-owned sales represented 23.9 percent of total sales.
Florida had the largest share of cash sales out of any state in August at 49.8 percent, followed by Alabama (48.9 percent), West Virginia (45 percent), New York (44.4 percent) and Delaware (44 percent).
In New England, New Hampshire had the largest number of cash sales at 31.42 percent, followed by Connecticut at 31.09 percent, Rhode Island (31.05 percent), Massachusetts (23.53 percent) and Maine (20.69 percent). Data for Vermont was not provided.

No posts to display