CONNECTICUT - The housing market in Connecticut has seen unprecedented activity over the past two years. Prices are projected to increase slightly this year, but the pace of appreciation is expected to slow down a bit as the inventory of available homes increases. The good news is that interest rates are expected to rise in the coming months, which may make this the ideal time to buy a home.
The greater Hartford metro has not experienced much growth in median home prices in the past decade and was not even in the top 10 markets nationwide. However, a report released in August by financial intelligence firm Moody's Analytics places Hartford among the ten housing markets that are projected to see price increases in 2023. The report analyzed the changes in house prices in 414 regional housing markets in the fourth quarter of 2020 and 2023 and tried to predict the shifts in home prices in the same period in 2024.
Zillow's real estate stats and forecasts for Connecticut indicate that prices in the state will continue to rise. The housing market is expected to remain seller-friendly until inventory grows faster than demand. However, the state's rising interest rates could dampen the housing market's progress in the years to come.
The West Hartford area has a strong real estate market, with bidding wars intensifying and property values rising. This area has an attractive quality of life and an attractive housing stock. The town is also home to many historic homes, including the 19th-century-style Tudor homes on Prospect Avenue. The area also features various architectural styles, including classical revival, contemporary ranches, and European-style villas.
One of the most important steps in the home buying process is to find the right real estate agent in your area. An agent who knows the area well will know the current market and can advise on the best time to buy a home. They will also be able to answer questions regarding how to get the best deal in Connecticut.
The Hartford-West Hartford-East Hartford metro area is expected to see a modest price increase over the next few years. The median price for a single-family home in the greater Hartford area will reach $293,600 in 2021, up from $179,600 in 2011.
West Hartford is also expected to experience a revaluation, shifting the tax burden from businesses to homeowners. The town council recently approved a $317 million budget that includes revaluation. The first part of the town will experience revaluation this year, while the rest will take place in 2023. While prices have skyrocketed in the past decade, prices for starter and modest homes have continued to rise.
While the Hartford area is expected to experience a 3.7% increase in home prices next year, the same cannot be said for other areas of the country. Augusta, Ga., and Casper, Wyo., are expected to experience the largest home price increase in 2023. On the other hand, the New Haven-Milford area is projected to experience a 1.88% increase in 2023.