The Connecticut Real Estate Market

As of March 2025, Connecticut’s real estate market exhibits notable activity, characterized by rising home values, a competitive buying environment, and fluctuating mortgage interest rates.

Market Trends:

• Home Values: The average home value in Connecticut has reached approximately $404,162, reflecting a 6.1% increase over the past year.
• Sales Activity: In January, home prices in Connecticut rose by 9.9% year-over-year. Concurrently, the number of homes sold increased by 5.1%, while the inventory of homes for sale decreased by 12.3%, underscoring a competitive market with limited supply. 
• Regional Highlights: The greater Hartford area was recognized as the nation’s hottest real estate market in February, marking its fourth appearance at the top since 2017. Other Connecticut regions, including Bridgeport-Stamford-Norwalk, Norwich-New London, and Waterbury, also ranked among the top 20 markets nationally. 

Interest Rates:

• Current Rates: As of March 6, 2025, the average rate for a 30-year fixed mortgage stood at 6.63%, with a 15-year fixed mortgage averaging 5.79%. 
• Recent Trends: Mortgage rates have experienced a downward trend, with the 30-year fixed rate decreasing by 0.13 percentage points for the week ending March 6. This marks the seventh consecutive week of rate declines, bringing rates to their lowest point since early December. 

Looking Ahead:

The Connecticut housing market is anticipated to remain robust, driven by sustained demand and ongoing inventory challenges. Prospective buyers should be prepared for a competitive environment, potentially facing bidding wars and the need for strategic offers. Staying informed about current interest rates and market conditions will be crucial for both buyers and sellers navigating the evolving real estate landscape.

Recent Developments in Connecticut’s Real Estate Market

marketwatch.com
How buyers are winning bidding wars in a market where homes are selling for $620,000 over ask – MarketWatch
Today

greenwichtime.com
Developer hopes to convert Greenwich office building to apartments
Today

ctinsider.com
West Hartford to vote on Vessel Technologies affordable housing plan
Today