Editor’s note: This article was first published in March 2021 and reflects market conditions at that time.
After a strong 2020 for home sales, many people wondered whether 2021 would keep up. A few months in, industry experts were predicting that housing markets across the country would go on rebounding. Connecticut was a good example.
Where demand was strongest
In 2020, buyers from the New York City area moved into Connecticut’s suburbs in large numbers. Into 2021, interest, sales and prices were all still rising in the state’s most sought-after markets:
- Fairfield County
- Litchfield
- The Shoreline
- Farmington Valley
All of these have luxury properties, and demand to live there was increasing.
What was driving it
Three things stood out.
Low mortgage rates. Rates were creeping up but were still well below the levels of the previous decade.
Remote work. People with flexible schedules were buying homes where they could stay for longer stretches.
Millennial buyers. A large generation had reached its home-buying years. Many were first-time buyers, and they weren’t looking for the fixer-uppers of the past. They wanted move-in-ready homes with every feature, some priced in the millions.
Homes were selling faster
Competition was intense. In earlier years, a Connecticut home typically took a month or more to sell. By this point houses were selling in about 21 days, and often sooner. That was welcome news for a state housing market that had struggled to recover after the 2008 recession.
Lending in Connecticut
Sachem is based in Branford, Connecticut, and we’ve lent here since the beginning. For current programs, see our Connecticut hard money loans page. For the earlier part of this story, read COVID-19 Revives Connecticut Housing Market. When you’ve found your next investment property, give us a call or fill out an application.
