Rhode Island Home Sales Hit 15-Year Low : What It Means for Buyers & Sellers in 2026
January 2026 brought a surprising start to the housing market in Rhode Island, with home sales falling to the lowest level in 15 YEARS. According to recent data from RIAR, just 429 single-family homes sold statewide in January — a 7.3% drop compared to 463 a year ago-the lowest January total since 2011.
What’s Happening in the Market?
Several notable trends stood out in the report:
Low sales volumes: With historic lows in transactions, fewer buyers are finalizing purchases compared with past years.
Stubbornly tight inventory: The supply of homes for sale stayed at just 1.7 months — far below the 5–6 months typically needed for a balanced market.
Prices continue rising: Despite slower sales, the median sale price increased to $499,000, up 7.3% year-over-year.
Condo and multifamily trends: Condominium sales declined more sharply, and though multifamily listings showed slightly more supply, both remain limited.
Why Are Sales So Low?
A few forces are shaping this market dynamic:
Strong seller positioning: Limited inventory keeps sellers in control, often driving up prices even as fewer transactions close.
Winter seasonality: January historically sees slower activity — but this year’s numbers are even lower than typical seasonal trends.
Buyer challenges: Higher mortgage rates and affordability pressures continue to limit how many buyers are able to move forward.
What This Means for Buyers
For prospective buyers:
Expect competition in price points where inventory is tight.
Be prepared — strong offers, financing readiness, and a clear purchase strategy are more important than ever.
Use low-inventory seasons strategically by staying in touch with your agent about new listings.
What This Means for Sellers
Sellers are in a unique position in early 2026:
Pricing your home competitively can help attract buyers in a slow-moving market.
Current conditions may still favor sellers — especially in markets where demand outpaces limited supply.
Patience, strategy, marketing, and negotiation remain key.
