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Katie Curnutte
The Warren Group
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Home Price Declines in Connecticut Compound in February
As Sales Continue to Plunge,
According to The Warren Group
FairfieldCounty Sales and Prices Continue to Take a Beating
BOSTON, April 7, 2008 – Connecticut’s housing market is no longer immune to the plummeting sales and prices that have gripped the rest of New England for many months. After almost a year of increasing prices while many other states were experiencing declines, the NutmegState is now showing a trend of declines, according to The Warren Group, publisher of The Commercial Record.
“The Nutmeg State’s housing market showed remarkable resilience over the past few years, but price declines for three months in a row means that the problems facing other states’ housing markets have finally caught up with Connecticut,” Timothy Warren Jr., CEO of The Warren Group.
The median price of single-family homes in January and February of this year fell by more than 5 percent when compared to the same month the year before. February’s decline of 5.5 percent is the largest drop since April 1995.
The median home price in February 2008 was $260,000, down 5.5 percent from a median price of $275,000 in February 2007. The year-to-date price of single-family homes fell 5.4 percent from $280,000 last year to $265,000 this year.
Sales of single-family homes fell 23 percent from 1,819 sold in February 2007 to 1,401 in February 2008. Year-to-date sales were down 26.2 percent from 4,121 last year to 3,042.
“In both Connecticut and in neighboring Massachusetts, sales began to drop in late 2005,” Warren said. “In Massachusetts, prices began to follow in 2006. But in Connecticut, it has taken until now to see the declining sales catch up with the prices.”
FairfieldCounty’s housing market had been at the center of that resilience with home prices steadily increasing in the past several years. But in February, single-family home sales fell 28.4 percent from 455 last year to 326. Year-to-date sales were down 28.1 percent from 1,032 to 742. The median price in February fell 6.8 percent from $555,000 to $517,250. The year-to-date price declined 8.6 percent from $550,000 to $502,500.
Condominium sales across the state also suffered in February, with sales dropping 28.7 percent from 784 to 559. Year-to-date sales declined 32.3 percent from 1,701 to 1,152. Prices, however, have stayed relatively steady, rising 1.5 percent in February from $190,000 to $192,900. The year-to-date median price rose 0.3 percent from $190,000 to $190,550.
Complete statistics for cities, towns and counties available to members of the media by request.
About The Warren Group
The Warren Group, based in Boston, is the publisher of Banker & Tradesman, The Commercial Record and a series of association publications. As the premier provider of real estate data in New England, The Warren Group offers a range of real estate products and services for professionals and consumers searching for real estate and financial information. For more information about The Warren Group, please visit www.thewarrengroup.com or call 800-356-8805.