WARWICK – Single-family home prices declined in all but three of the 71 Rhode Island zip codes where sales took place during the first half of this year, according to figures released today by the Rhode Island Association of Realtors.
The exceptions were the 02903 zip code in Providence, where the median price rose 168 percent; the 02829 zip code, which includes the village of Harmony in Glocester and in which the median price advanced 62 percent; and the 02898 zip code, which includes parts of the Hopkinton-Richmond village of Wyoming and where the median price rose 2.8 percent.
The steepest drop occurred in the 02858 zip code, which encompasses the village of Oakland in Burillville and where the median price fell 77 percent to $86,500 from $370,000. However, that was due to the sale of just one home.
The Realtors could not compute data for 20 zip codes because of a lack of sales.
“The new zip code data can help buyers and sellers see what’s going on in their own neighborhood – or the ones they’re interested in looking in,” Paul Leys, the organization’s president, said in a statement. “In this market, it’s extremely important to zero in on the facts of the specific area you’re interested in. Whether or not sales are down in Providence, has little impact on what sales are doing in Jamestown. Likewise, two neighborhoods in the same town can be markedly different.”
Median price is the midway selling price of all properties sold, meaning half the homes sold for more and half sold for less. The association said the median price is not necessarily an indicator of a property’s value over time.
The association added that the market appears to be recovering from a slump that saw median home prices fall by 23 percent to $189,000 during the first six months of this year, compared to the same period in 2008. “Thankfully sales and prices have started to increase in nearly all markets in the past few months with certain areas really beginning to take off,” Leys said.
He credited the increase in sales in part to low interest rates and the $8,000 federal tax credit for first-time homebuyers. The tax credit expires Nov. 30.
The Rhode Island Association of Realtors has more than 4,700 member Realtors, who in 2008 were involved in more than 10,000 transactions totaling $2.8 billion. The RIAR is one of more than 1,800 local boards and associations comprising the nation’s largest trade association, the National Association of Realtors. To learn more, visit www.riliving.com.