PROVIDENCE – The home price index in Rhode Island increased 12.6% year over year in December, faster than the national rate of 9.2%, CoreLogic said on Tuesday.
Rhode Island had the fourth-fastest rate of increase in New England.
“At the start of the pandemic, many braced for a Great Recession-era collapse of the housing market,” said Frank Martell, CEO and president of CoreLogic. “However, market conditions leading into the crisis – namely low home supply, desire for more space and millennial demand – amplified the rapid acceleration of home prices.”
HPI growth in other New England states year over year:
- Maine: 15.2%
- Vermont: 13.2%
- New Hampshire: 13%
- Connecticut: 10.5%
- Massachusetts: 7.9%
“Two record lows are fueling home-price gains: for-sale inventory and mortgage rates,” said Frank Nothaft, chief economist at CoreLogic. “Prospective sellers with flexible timetables have opted to delay listing their home until the pandemic fades or they are vaccinated. We can expect more inventory to come available in the second half of the year, leading to slowing in price growth toward year end.”
