Although the real estate market everywhere is on the mend, we in Connecticut are proceeding toward normal at a slower pace. The high for prices in our region occurred in June 2006. At last report, our median sales price was still 23% below that peak. Since most of the country is within sight of their previous high, people in our area are among the lucky few who can continue to buy at lower prices. Even if you are selling, those who are trading up would gain more from buying at those levels than they would lose from selling at current prices. When you combine the present cost of mortgages with the sales figures, it remains a great time to buy.
And there's even one more factor in include, which improves even further the current climate, and that's the state of the Greater New Haven rental market. We have the lowest vacancy rate in the country right now, and that tilts the equation even more toward the buying side. Rental rates have gone up 50% in the period where sales prices have declined 23%, making us one of the clearest examples across the United States of a place where rent vs.buy decisions are so stark. So don't kick yourself later. Do it now--buy that property!
