Eighteen homes traded hands across Newport County last week, another reminder that despite a changing real estate environment, people are still buying, selling and making moves throughout our communities.
The pace, however, feels much different.
We are no longer operating in a market where nearly every new listing is met with immediate urgency, multiple offers and buyers willing to overlook conditions simply to get their foot in the door. The market is still moving. It is just moving with considerably more patience and intention.
Across Newport County (and Rhode Island, and much of the country for that matter…), homes are now spending a median of ~60 days on the market, according to September data from Realtor.com. Active inventory is up more than 11% from a year ago, and homes are selling for approximately 98% of their asking price, on average.
Financing has become more expensive again. Freddie Mac reported the average 30-year fixed mortgage rate at 7.03% as of September 24, up from 6.66% at the end of August. That combination, paired with the increased expenses of everyday living, is changing the psychology and urgency of the local market.
Buyers are fatigued from years of top-line pricing and, increasingly, they are more work-averse than ever before. Sweat equity is a thing of the past in the eyes of most consumers. When someone is already absorbing a significant purchase price, a mortgage rate around 7%, property taxes and rising insurance and maintenance costs, there is considerably less enthusiasm for immediately taking on another $100,000 in renovations.
That does not mean buyers will not purchase a home that needs work. It means the price increasingly needs to recognize that work. We are seeing more price adjustments. We are seeing properties accumulate additional days on market. We are seeing sellers become more realistic about where the market is actually responding to their property. We are starting to see sellers listen to the advice of their brokers, which is always welcomed.
That adjustment is healthy.
Rhode Island remains undersupplied. The Rhode Island Association of Realtors reported just 2.8 months of single-family inventory statewide in August, compared with 4.9 months nationally. The statewide median single-family sale price was also up 6.7% from a year earlier, reaching $544,000. So this is not a market where values are suddenly collapsing or buyers have unlimited leverage. Instead, we are in a market where expectations are beginning to normalize and balance is being restored more than the last few years.
For buyers who are ready, willing and financially able to make a move, that can create opportunity. A property that has been sitting for 30, 45 or 60 days deserves another look. A seller who rejected an offer several weeks ago may have a different perspective today. A home that initially felt overpriced may become compelling after a price adjustment.
There is simply more room for a conversation than there has been in recent years.
The broader takeaway is that there is still plenty of traction and transition happening throughout Newport County. It is simply happening at a slower pace and without some of the ferocious competition that defined the market over the last several years.
I am taking on additional buyer and seller clients this fall. If you are considering a move, curious about the value of your property or simply trying to understand where you fit into the current market, I am happy to have a confidential conversation about your position. You can reach me directly at 401-241-1851.
Here’s a look at what sold across Newport County last week.
Jamestown – Recent sales
82 Clinton Avenue, Jamestown. Cape Cod.
Sold Price: $2,250,000
4 beds | 3 full baths | 2 half baths | 3,128 SF
Little Compton – Recent sales
60 Snell Road, Little Compton. Cape Cod, Historic.
Sold Price: $1,800,000
3 beds | 2 baths | 1,732 SF
47 Peckham Road, Little Compton. Cape Cod, Cottage.
Sold Price: $1,200,000
3 beds | 2 baths | 1,944 SF
2 Pachet Brook Road, Little Compton. Bungalow, Other, Ranch.
Sold Price: $791,500
3 beds | 2 baths | 2,298 SF
Middletown – Recent sales
55 Mixter Street, Middletown. Raised Ranch, Split Level.
Sold Price: $650,000
3 beds | 2 baths | 1,413 SF
10 Ludlow Road, Middletown. Side/Side Multi-Family.
Sold Price: $515,000
4 beds | 2 baths | 1,426 SF
Newport – Recent sales
28 Mount Vernon Street, Newport. Victorian.
Sold Price: $4,500,000
5 beds | 4 full baths | 1 half bath | 3,984 SF
49 1/2 Third Street, Newport. Cottage.
Sold Price: $2,750,000
3 beds | 3 full baths | 1 half bath | 2,007 SF
57 Callender Avenue, Newport. Cape Cod.
Sold Price: $1,195,000
4 beds | 3 baths | 1,302 SF
57 Gould Street, Newport. Cottage.
Sold Price: $700,000
3 beds | 2 baths | 1,774 SF
453 Bellevue Avenue, Unit #CH, Newport. Condo.
Sold Price: $1,050,000
2 beds | 1 bath | 1,200 SF
46 Chastellux Avenue, Unit #M6, Newport. One Level Condo.
Sold Price: $480,000
1 bed | 1 bath | 665 SF
82 Burnside Avenue, Newport. Up/Down Multi-Family.
Sold Price: $900,000
6 beds | 2 baths | 2,004 SF
Portsmouth – Recent sales
11 First Street, Portsmouth. Contemporary.
Sold Price: $935,000
4 beds | 2 full baths | 1 half bath | 2,061 SF
103 Windward Drive, Portsmouth. Ranch.
Sold Price: $400,000
3 beds | 2 baths | 1,272 SF
Tiverton – Recent sales
190 Stoney Hollow Road, Tiverton. Contemporary.
Sold Price: $810,000
3 beds | 2 baths | 1,884 SF
37 Bluejay Street, Tiverton. Ranch.
Sold Price: $275,000
2 beds | 2 baths | 1,568 SF
41 Waters Edge, Unit #11, Tiverton. Town House Condo.
Sold Price: $1,165,000
3 beds | 3 full baths | 1 half bath | 2,430 SF
