Newport Comprehensive Land Use Plan - Existing Conditions | Page 68

Newport Comprehensive Land Use Plan Housing Value Although housing values had more than doubled between 2000 and 2010, prices have decreased between 2010 and 2014. Housing values in the City of Newport are much high than those in the Town of Westerly and others in the State of Rhode Island as a whole (see Table 5-8). Similar to housing values, median gross rent in Rhode Island—including Newport and Westerly—greatly increased between 2000 and 2010. While rental prices are still rising, prices have slowed in the current decade. Table 5-8 – Housing Values, 2014 Median Value of Owned Median Gross Rent Housing Value 2000 2010 2014 2000 2010 2014 City of Newport $161,700 $429,000 $383,200 $646 $1,078 $1,093 Town of Westerly $147,000 $301,200 $278,100 $591 $911 $1,081 Rhode Island $133,000 $279,300 $241,200 $553 $882 $923 Source. 2000 & 2010 U.S. Census, 2014 American Community Survey 5-Year Estimates Rental Data As the Sharing Economy continues to expand in the United State, rental costs are expected to continue rising contrary to home values. High housing values often make it unaffordable for young families to live in Newport. Rental rates in Newport obviously vary on the size of the rental property. Table 5-9 shows the 2000 and 2014 median monthly rental rates for two-bedroom units in the City of Newport and the State as a whole. Although Newport’s rental rates are much higher than Westerly and the State of Rhode Island as a whole, all jurisdictions have been successful in decreasing rates by nine percent in the past five years. Table 5-9 – Two-Bedroom Rental Rates 2000 & 2014 Jurisdiction City of Newport Town of Westerly Rhode Island 2004 Monthly Rental Rate 2009 Monthly Rental Rate 2014 Monthly Rental Rate $1,708 $1,571 $1,424 N/A* $1,287 $1,167 $1,405 $1,291 $1,172 Source: HousingWorks, 2015 Housing Affordability Housing affordability is a pressing issue facing Newport’s residents and those who wish to live in Newport, as well as across Rhode Island. Housing affordability is an important determinant for the future of the City's neighborhoods and the economic well-being of its residents. Page 5-14 Draft Existing Conditions (March 2016)