Why December & January are Now the Best Months to Buy a Home in Rhode Island – Emilio DiSpirito

By Emilio DiSpirito, Private Office Advisor, Engel & Völkers Oceanside, contributing writer

For the first time in five years, Rhode Island homebuyers are entering a winter market that finally gives them leverage — and an opportunity many thought they would never see again. After a frenzied half-decade defined by bidding wars, waived inspections, 8% mortgage rates, and buyers paying tens of thousands over asking, the winter 2024–2025 housing landscape has shifted in a meaningful (and refreshing) way.

Based on MLS data across Rhode Island’s Single-Family (SFM), Condominium (CND), and Multi-Family (MFM) markets, today’s buyers are getting advantages that simply did not exist from 2020–2023. And for sellers — especially those priced at or below $500,000 — conditions remain strong, with well-priced homes still achieving full asking price.

Below is a detailed look at why right now — specifically December and January — may be the best time to make a move.

Mortgage Rates Have Fallen Back Into the Low 6% Range

Buyers who stepped out of the market during the 2023 spike to 8% interest rates now have reason to re-enter:

• Rates have cooled into the low 6% range, making monthly payments thousands of dollars less per year compared to 2023 levels.
• As inflation continues to settle, experts anticipate rate stability and possible declines throughout 2025.

When rates drop, buyers return in force. Those who buy before the spring rush may secure the home they want and refinance later if rates fall further.

Bidding Wars Have Finally Slowed for Many Properties

While Rhode Island still has a strong market, we are no longer in peak “pandemic pressure mode.”

MLS data confirms the shift:

• Active Single-Family Homes: 1,108
• Active Condos: 303
• Active Multi-Families: 298

Inventory remains limited by historical standards — but the level of competition has cooled dramatically.

Recent Sold Data (Past 30 Days)

• SFM Median SP/LP: 100%
• CND Median SP/LP: 100%
• MFM Median SP/LP: 100%

Homes that are newly listed, move-in ready, and priced well still sell at asking. However…

Days on Market Tell the Real Story

• Active SFM Average DOM: 60
• Active CND Average DOM: 65
• Active MFM Average DOM: 60

Many properties sitting 30+ days are not experiencing bidding wars — and these are where buyers have their edge.

Buyers Can Now Get Inspections, Repairs & Concessions Again

This is the biggest shift in buyer opportunity. From 2020–2023, most buyers had to waive home inspections, avoid asking for repairs, skip requesting closing cost credits, bid over asking just to compete. That pressure has eased. In today’s winter market:

Buyers are once again negotiating:

• Full home inspections
• Repair requests
• Seller credits toward closing costs
• Below-asking offers on homes listed 30+ days

This is a major window of leverage that is unlikely to last into the spring.

Sellers Under $500,000 Are Still in a Strong Position

Rhode Island remains an undersupplied market for affordable homes.

For homes priced at or below $500,000:

• Well-priced listings are achieving 100% of asking price
  
• Condition matters — homes needing major renovations are sitting longer
• Proper pricing and staging remain key to capturing demand

This unique winter market allows sellers to sell high and buy low(er) — a rare combination.

The Strategic Move: Sell Now, Buy a Home Listed 30+ Days

For motivated home sellers who also need to purchase a new home, the playbook is simple:

1. Sell Your Home Now While Demand Is Strong

• Median SP/LP remains at 100% across SFM, CND, and MFM.
• Buyers still need inventory.
• Well-priced homes under $500,000 are moving quickly.

2. Buy a Home Sitting 30+ Days on the Market

These properties offer:

• Negotiable pricing
• Home inspection flexibility
• Closing cost concessions
• Reduced competition

You may sell your property at full price and purchase your next home below asking — something unseen since before 2019.

Breakdown by Property Type

Single-Family Homes

• Active Inventory: 1,108
• Median List Price: $559,900
• Median Sold Price: $510,000
• Median DOM: 26 for solds, 39–60 for active inventory

Strong demand remains, but buyers have room when targeting older listings.

Condos

• Active Inventory: 303
• Median List Price: $459,900
• Median Sold Price: $410,000
• Median DOM: 28 sold, 47 active

Condominiums especially show negotiation room — a change from the intense competition of the last three years.

Multi-Family Homes (2–4 Units)

• Active Inventory: 298
• Median List Price: $639,950
• Median Sold Price: $580,000
• Median DOM: 22 sold, 37 active

Investor activity has cooled slightly due to 2023–2024 rate hikes, which means fewer competing offers and more room to negotiate. For buyers who were outbid numerous times last year, this is the opening they’ve been waiting for.

Why Winter 2024–2025 Is a Once-in-Five-Years Opportunity

Here’s the summary:

• Rates are lower than they’ve been since early 2023.
• Competition is dramatically reduced.
  
• Inspections and concessions are back.
  
• Seasonal slowdowns benefit buyers.
  
• Sellers under $500,000 can still sell at full price.
  
• Move-up buyers can sell strong and buy favorably — simultaneously. 

The Rhode Island market has not offered this combination since before the pandemic. Once spring arrives, demand almost always surges, competition returns, and negotiation power evaporates.

Final Takeaway

If you’ve been waiting for the right time to buy, downsize, move up, invest, or relocate within Rhode Island, December and January offer the best buying conditions we’ve seen in half a decade.

Sellers still have strength.
Buyers finally have power.
And the rare middle-ground opportunity — selling high, buying low — is here for a brief window.

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About the Author

Emilio DiSpirito is a Private Office Advisor, License Partner of Engel & Völkers Oceanside, developer, investor, and host of The Wealth Architect Podcast. Ranked in the top 1% globally at Engel & Völkers with over 1,500 families served and $750M+ in closed sales, Emilio is also the featured real estate expert for WPRI’s The Roadshow and a contributor to RIRealEstateNewsToday.com. Recent interview on WPRI’s the Rhode Show about this topic can be seen here: https://www.wpri.com/video/welcoming-emilio-dispirito-from-the-dispirito-team-at-engel-v%C3%B6lkers-the-rhode-show/