This episode of Connecticut Real Estate Market Weekly Insights explores the state’s multi-family housing market performance from April to July 2025, spotlighting strong pricing growth despite a slight dip in sales volume. It also covers a major Waterbury apartment sale, Watertown's financial dispute with Waterbury, and national trends in rent, housing equity, and inventory.
In this July 21, 2025 episode of Connecticut Real Estate Market Weekly Insights, we deliver a comprehensive look at the Connecticut multi-family housing market and how local and national developments may impact real estate investors, homeowners, buyers, and sellers.
Multi-Family Market Performance (April 1 – July 20, 2025):
Sales Volume: 880 statewide multi-family transactions, down 1.6% from the same period last year.
Pricing: Median sale price rose to $425,000 (up 11.8%) and average sale price climbed to $523,514 (up 19.3%).
Price Per Sq Ft: Increased to $182, up 9.1% year over year.
Days on Market (DOM): Median DOM dropped to 12 days, reflecting strong buyer demand and fast-moving properties.
June 2025 Highlights: 246 sales totaling $162M, with a median price of $440,000 and an average of nearly $660,000—up significantly from June 2024.
Trends by Price Range:
Properties under $200K saw a 60.3% drop in sales.
$500K–$599K properties rose by 63%, and $600K–$999K saw a 43.8% increase.
Mid- to upper-tier homes remain competitive, with buyers in the $500K–$599K and $1M–$1.99M range often paying over asking price.
$2M+ properties lagged, with no transaction growth and discounts averaging 2.27% below asking.
Buyer Behavior & Demand Insights:
Median DOM across all tiers was 21 days.
Homes priced between $300K–$599K are moving fastest (18–23 days).
Buyer competition remains steady statewide, with properties still selling above asking price in key price bands.
Key Takeaway:
Investor demand remains strong for higher-value multi-family properties despite fewer total sales, indicating a market shift toward quality over quantity. Location remains critical, with notable price and demand variances across Connecticut cities and neighborhoods.
Local Market Headlines:
Waterbury: A 32-unit building at 669 Waterville Street sold for $3.9M in July, doubling in value since 2021. The deal reflects continued investor interest in mid-sized multifamily assets.
Watertown: The town faces a $34.9M judgment over unpaid water and sewer bills to Waterbury. Officials are evaluating financial options, including bond issuance and service restructuring, while residents call for cooperation and transparency.
National Real Estate Trends:
Rents: U.S. median asking rent declined 0.5% YoY to $1,642, the fourth straight drop, due to a surge in apartment supply. Vacancy rates are high, and renters are gaining leverage.
Equity Levels: 46.2% of U.S. mortgaged homes are equity-rich, with Connecticut’s share rising to 48%. Underwater properties remain rare, though southern and midwestern states show higher stress.
Inventory & Builder Confidence: Housing inventory is up, easing prices and improving buyer conditions. However, homebuilders face pressure, cutting prices and offering incentives as confidence dips.
Final Thoughts:
Whether you're buying, selling, or investing, this week's insights underscore the importance of strategy, pricing, and timing. The Connecticut multifamily sector continues to offer opportunity, especially in the $300K–$599K range, but market knowledge is key.
To discuss how these trends affect your next move, contact Triniyah Real Estate at (203) 200‑0933 or visit www.triniyah.com.