In today’s fast-paced news cycle, it’s easy to be influenced by national real estate headlines—especially when they suggest big market shifts. Recent reports, like those from Redfin, highlight that the U.S. housing market has tilted toward buyers for the first time this decade.

But here’s the reality: national housing trends don’t always reflect what’s happening locally—and this couldn’t be more true for Rhode Island. While much of the country is experiencing a shift toward a buyer’s market, local conditions in Providence, Warwick, East Greenwich, Cranston, and throughout the Northeast tell a different story.

At Slocum Home Team, we believe it’s critical for buyers and sellers to focus on local data and market conditions rather than relying on national trends. Here’s why Rhode Island’s housing market is different—and why it’s essential to stay informed about what’s happening close to home.

The National Market Says It’s a Buyer’s Market—But Is It?

According to a recent Redfin analysis, the U.S. housing market had 3.7 months of for-sale supply in January 2025, the highest level of inventory since February 2019. Typically, a supply level of 4-6 months indicates a buyer’s market—meaning there are enough homes available to give buyers leverage in negotiations.

Nationally, here’s what the data suggests:

• Home sales are slowing: Pending sales fell by 6.3% in January.

• Homes are sitting on the market longer: The typical home sold after 56 days on the market, the longest since early 2020.

• Price growth is cooling: U.S. home prices were up 4.1% year-over-year, the slowest pace since late 2010s.

• Buyers are negotiating more: The typical home sold for 1.8% below asking price, the biggest discount in two years.

These statistics paint a clear picture: nationally, buyers are gaining more negotiating power.

Why Rhode Island’s Market Tells a Different Story

While much of the country may be shifting toward a buyer’s market, the Northeast—and particularly Rhode Island—is still experiencing seller-favored conditions.

Take Providence as an example:

• There were just 1.9 months of supply in January 2025—far below the national average of 3.7 months.

• Inventory decreased by 0.1 months compared to last year, indicating even tighter conditions.

• Homes in Providence are spending just 35 days on the market, compared to the national average of 56 days.

In comparison, major Northeastern metros like Rochester, NY and Buffalo, NY are experiencing even more competitive markets, with only 1.1 and 1.2 months of supply, respectively.

Why Is Rhode Island Still a Seller’s Market?

Several factors contribute to Rhode Island’s competitive market:

1. Limited Housing Inventory: Like much of the Northeast, Rhode Island faces a long-standing housing shortage, keeping competition high.

2. High Buyer Demand: Despite higher mortgage rates, strong demand for housing remains—especially in cities like Providence and Warwick.

3. Attractive Location: Proximity to Boston, scenic coastal communities, and excellent schools make Rhode Island a highly desirable location.

4. Low Inventory Turnover in Winter: Fewer homes tend to hit the market during colder months, keeping supply tight through the winter.

The Danger of Relying on National Headlines

When national news outlets report that the market is cooling or that buyers have the upper hand, it can create a false sense of opportunity for local buyers—or discourage sellers from listing their homes.

Here’s why focusing on national trends can lead to mistakes:

• Buyers in Rhode Island may expect price drops that aren’t happening locally.

• Sellers might delay listing their homes unnecessarily, missing out on favorable conditions.

• Investors could misjudge market opportunities by assuming trends from other regions apply to Rhode Island.

While it’s true that buyers in places like Cape Coral, FL and Miami are seeing more negotiating power due to higher inventory, supply in Rhode Island remains tight. For buyers, this means the competition is still strong—and for sellers, it’s still a good time to list.

What Does This Mean for Rhode Island Buyers and Sellers?

For Buyers:

Even though national reports suggest a buyer’s market, Rhode Island buyers still need to move quickly and be prepared to compete.

Here’s how to stay competitive:

• Get Pre-Approved Early: In a competitive market, having pre-approval in hand strengthens your offer.

• Be Ready to Act Fast: With homes in Providence spending just 35 days on the market, hesitation could mean losing out.

• Make Strong Offers: There may still be room for negotiation, but don’t assume sellers are desperate to accept lowball offers.

For Sellers:

If you’re thinking about listing your home, don’t let national headlines deter you—Rhode Island’s market still favors sellers.

Why now is still a great time to sell:

• Low Inventory Means Less Competition: With only 1.9 months of supply in Providence, there’s high demand for well-priced homes.

• Homes Are Selling Quickly: Properties are moving faster here than in most national markets.

• Prices Remain Strong: Although price growth has slowed nationally, Rhode Island home values remain competitive and stable.

The Bottom Line: Real Estate Is Local—Don’t Let National Headlines Distract You

National trends offer a broad snapshot of the U.S. real estate market—but they don’t always reflect what’s happening in local communities. While buyers may have the upper hand in many Sun Belt cities, Rhode Island’s housing market remains competitive and seller-friendly.

If you’re buying or selling in Providence, Warwick, Cranston, or anywhere in Rhode Island, it’s essential to work with a local expert who understands current market dynamics. At Slocum Home Team, we stay on top of local trends and statistics so our clients can make informed, strategic decisions.

Thinking about buying or selling in Rhode Island? Let’s connect and discuss your options.