Single-family home prices in Connecticut tumbled 17.1% in February compared to the same month in 2008 – the fifth consecutive month that median prices have been dropped by double-digit percentages, according to The Warren Group, a provider of New England real estate data.
The median selling price for single-family homes declined $45,000 to $218,000 from $263,000 in February 2008. Year-to-date, the median home price fell 17.3% to $220,000 from $266,000.
"The declines in median home prices have exceeded 10 percent for seven of the last 12 months," notes Timothy M. Warren Jr., CEO of The Warren Group. "We didn't see such a period of price slumps during Connecticut's last housing downturn in the early "90s. Prices won't level off until sales activity picks up substantially for several months straight."
While home sales climbed in other parts of the country last month – particularly in states where foreclosure rates are high – that has not been the case in Connecticut. Single-family home sales dropped to the slowest sales pace for the month of February in the 20 years that The Warren Group has tracked Connecticut's housing market. Sales fell 26.1% to 1,025 from 1,387 in February 2008. A total of 2,088 single-family homes traded in the first two months of 2009, down 31.3% from 3,041 last year.
Bank-owned properties accounted for about 5% of single-family home sales transactions in February, the company says. A total of 51 bank-owned single-family homes were sold in February. In nearby Massachusetts and Rhode Island, more than one in 10 single-family home sales in February were of bank-owned properties.
SOURCE: The Warren Group