Region's home sales fall in October as rest of state gains

Sales of Connecticut single-family homes surged in October, according to a new report, but New London County failed to keep up.

While statewide home sales were up 11.5 percent compared to last year, New London County saw a 1 percent decline, according to October figures provided by The Warren Group, publisher of The Commercial Record.

Median prices also were off from last year, with single-family homes selling for $210,000 in October, a 6.7 percent decline.

The year-to-date median price of homes in the area stood at $215,000, more than 10 percent off from October 2008’s median of $240,0000.

The median condominium price also declined in New London County in October, down nearly 5 percent from a year ago at $165,875. But October condo sales surged, up nearly 30 percent on only 44 transactions.

"The tax credit that’s being offered to homebuyers has certainly stimulated home sales in Connecticut and elsewhere," said Timothy M. Warren Jr., chief executive of The Warren Group. "And while unemployment remains a concern, I think people who have jobs are probably feeling a bit more optimistic about the financial markets and the overall economy."

Middlesex, Windham and Fairfield counties saw strong increases of nearly 20 percent or more in October.

Despite those numbers, year-to-date home sales statewide are off more than 9 percent and prices are down 11.3 percent compared to last year.

"While gains in sales volume are pointing to a housing recovery," Warren said, "we have to keep in mind that home prices are still declining year-over-year, so the housing market hasn’t completely turned a corner."