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    Friday, April 26, 2024

    Local home sales up 13 percent in March

    Single-family home sales in March grew nearly 13 percent in New London County, but prices continued their steady decline, according to numbers released Tuesday.

    The Warren Group, publisher of The Commercial Record, said in its monthly report that single-family sales statewide grew nearly 21 percent but the median price paid dropped 3 percent compared with March of last year.

    New London County's median home sale in March was $195,000, a nearly 5 percent decline from a year ago, and the sale and prices paid for condominiums also slipped last month. The county's median single-family price in March was the third lowest in Connecticut, after Windham and Tolland counties.

    "Jobs are improving but wages are not," said Timothy M. Warren Jr., chief executive of The Warren Group, in explaining the downward price trend during a podcast. "The recovery from the recession has not been a booming one; it is uneven, and people cannot afford top dollar for homes."

    Still, statewide sales continued their strong ascent, totaling 2,139 — the most in March since 2007. First-quarter sales of single-family homes statewide were up more than 25 percent compared with a year ago, while condominium closings have risen nearly 15 percent.

    Connecticut's median home price in March was $225,000, compared with the state's peak median of $295,000 nine years ago.

    And though sales are surging, Warren pointed out that last year fewer than 30,000 single-family homes were bought compared with 45,000 at the height of the market.

    "The buyers are back and demand is high, but there is plenty of room to grow before we reach the peaks that we achieved a decade ago," Warren said. "Homes in Connecticut are selling like hotcakes but not at anything close to peak prices."

    As for the market's future, Warren said he expects more of the same.

    "We might not see double digit growth in home sales every month, but I do think that volume will grow for most or all of the year," he said.

    l.howard@theday.com

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