FOR IMMEDIATE RELEASE

Editorial Contact:

Katie Curnutte

The Warren Group                                                       

(617) 896-5370                                                             

kcurnutte@thewarrengroup.com

Conn. Home Prices Fall by Double-Digit Percent in May;

State’s Last Comparable Price Decline Was in 1992,

According to The Warren Group

May Sales in Fairfield County Tumble More Than 40 Percent

BOSTON, July 1, 2008 – Staggering price and sales declines in Fairfield and Litchfield counties fueled Connecticut’s housing market woes in May, as sales continued to drop and the price of single-family homes declined by percentages not seen since the early-1990s housing slump, according to The Warren Group, publisher of The Commercial Record.

“Last time prices in Connecticut fell more than 10 percent in a month, it was July 1992,” said Timothy Warren Jr., CEO of The Warren Group. “But there was a difference then; the state was already pulling out of its housing slump, and sales during that month increased by more than 7 percent. But there was no sign of such a silver lining this May. Sales followed the trend that’s been in place since last November and fell more than 20 percent. Clearly, this downturn is showing no signs of relenting, and without a pickup in sales, it could be more severe than the last one.”

The median price of single-family homes in the Nutmeg State fell 10.8 percent in May, from $305,000 in May 2007 to $272,000 this May. That was the first double-digit drop in percentage since July 1992, when prices fell 10.3 percent. The 2008 year-to-date prices declined 7.6 percent from $290,000 to $268,000.

Single-family home sales declined 24.5 percent in May, from 3,008 last year to 2,271 this year. Year-to-date sales fell 26.5 percent, from 12,390 to 9,104.

Fairfield County again experienced the state’s biggest sales drop in May. Single-family home sales declined 44.6 percent during the month, from 844 in May 2007 to 468. The median price of single-family homes there fell 13.2 percent in May, from $627,500 to $545,000.

Litchfield County also saw large declines, with sales in May falling 22.4 percent, from 183 to 142, and prices dropping 17.2 percent, from $302,000 to $250,000.

Condominium sales statewide declined 36.2 percent in May, from 1,338 to 854. Year-to-date sales fell 32.8 percent, from 5,194 to 3,494. The median price of condos fell 4.1 percent in May, from $208,500 to $200,000. The year-to-date price rose 0.2 percent, from $199,500 to $199,900.

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.