Home sales surge 15 percent last quarter
The Eastern Connecticut Association of Realtors reported Thursday a 15-percent increase in home sales during the third quarter.
"Those were good numbers," said John Bolduc, executive director of the local Realtors association, which reports on transactions in New London and Windham counties. "Quarter over quarter, that's terrific. The buyers are out. Demand has been building for so long."
But while single-family home sales have been surging, the amounts buyers are willing to spend barely moved during the third quarter. Sales in July through September averaged $199,500 for single-family homes, $400 less than last year.
Condominium prices, however, surged 26 percent, while sales rose 5 percent. The median condo sales price was $145,000 last quarter, $30,000 more than a year ago.
"That's a very attractive alternative, especially for millennials," Bolduc said.
But for prices to rise in the single-family market, Bolduc said, the region's surplus of bank-owned properties will have to be whittled down. That is not something he expects to happen until next year at the latest, he said.
"What's holding the values back is the foreclosures in the market, and that will continue to be there," Bolduc said.
Bolduc noted that a stronger economy in southeastern Connecticut with more impressive job growth would do wonders for the housing market as well.
l.howard@theday.com
Twitter: @KingstonLeeHow
Category 2014 2015 %Change
Single-family sales 1,017 1,172 +15.2%
Condominium sales 117 123 +5.1%
Single-family median $199,900 $199,500 -0.2%
Condo median $115,000 $145,000 +26.1%
SOURCE: Eastern Connecticut Association of Realtors
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