The Connecticut housing market in 2025 is in the midst of a slow but noticeable shift. After several years of intense price appreciation and inventory scarcity, the early signs of a more balanced market are emerging. However, it’s still a seller’s environment across many regions of the state—especially in high-demand towns and well-positioned price brackets.

Connecticut continues to grapple with the same national trends affecting many housing markets: elevated mortgage rates, affordability pressures, and constrained inventory. But at the same time, local dynamics—like low housing turnover, zoning limits, and suburban migration—are shaping the state’s real estate story in distinct ways.

Let’s break down what’s really happening on the ground in Connecticut’s 2025 housing market—and how long homes are actually staying on the market today.

How We Gauge Trends: Key Metrics

• Median / average home prices and appreciation rates

• New listings, active inventory, and months of supply

• Closed sales / transaction volume

• Days on market / time to contract / listing speed

• Regional variation (Fairfield County vs Hartford vs coastal vs inland towns)

• Interest rates, affordability stress, and policy constraints

Price Trends: Still Rising, But Slower Than Before

Statewide & Major Metro Areas

Connecticut continues to experience price growth in 2025, though the rapid appreciation seen during the pandemic and early recovery years has slowed somewhat.

Across the state, median home prices have pushed upward again in 2025, but at a more moderate pace—generally in the 4%–6% annual range. In premium markets like Fairfield County, appreciation remains strong, with many towns seeing double-digit year-over-year increases, especially for turnkey homes.

In contrast, inland towns and more rural parts of Connecticut are seeing price growth plateau or tick up more modestly, often in the 2%–4% range depending on local supply and demand factors.

Higher borrowing costs are impacting purchasing power, which in turn is tempering how high buyers are willing—or able—to go. Yet low inventory keeps prices from falling, as competition remains fierce for well-priced homes in desirable areas.

The net result? Connecticut is still in a price-growth environment in 2025—but the gains are more sustainable, and pricing is becoming more sensitive to home condition, location, and market positioning.

Inventory, New Listings & the Supply Side

Housing supply remains one of the tightest aspects of the Connecticut real estate equation.

New listings remain below historic norms. Many sellers are still “locked in” by ultra-low mortgage rates from prior years, and that has prevented a large wave of inventory from returning to the market. Homeowners are hesitant to trade a 3% mortgage for a 7% one unless absolutely necessary.

In many parts of Connecticut, active inventory remains under 2 months of supply—a far cry from the 4 to 6 months needed for a truly balanced market. This continued shortage keeps upward pressure on prices and limits buyer options.

While new construction is slowly increasing, it’s not enough to offset demand. Zoning restrictions in many towns further slow development, particularly for multifamily or affordable housing. As a result, the market remains structurally tight.

However, we are beginning to see slight increases in listings in certain regions. Some sellers, enticed by high prices, are starting to test the waters. And as days on market inch upward, inventory is beginning to accumulate in a few slower-moving towns.

But make no mistake: as of fall 2025, Connecticut remains firmly on the lean side of the supply equation.

Sales Volume & Market Activity

Despite affordability headwinds, buyer demand has not vanished.

In fact, 2025 has brought an uptick in home sales across many towns compared to 2024. More homes are closing—particularly in suburban markets, commuter towns, and affordable segments—indicating that buyers are still active and willing to move if the right home appears.

The most active segment continues to be mid-range single-family homes, particularly those priced between $350,000 and $700,000. These homes tend to attract multiple offers and often sell quickly when priced appropriately.

Luxury and high-end markets, especially along the coast, remain relatively strong, but buyers are increasingly selective. Ultra-high-end properties may linger longer unless they are in pristine condition or uniquely located.

Meanwhile, entry-level inventory remains scarce, keeping transaction volumes in the lower-price brackets artificially low. First-time buyers face stiff competition, limited supply, and tough financing terms.

The result is a market with strong activity—but concentrated in certain segments. Some listings fly off the market; others sit for months. Buyers are no longer rushing blindly—they’re taking their time, comparing, and choosing carefully. Sellers must be realistic to move quickly.

Time on Market: How Long Homes Are Lingering in 2025

Perhaps the most telling indicator of a changing market in 2025 is the increase in days on market (DOM). While homes are still selling, the urgency has cooled slightly, and more homes are lingering than in past years.

Statewide & Average Figures

On average, homes in Connecticut are staying on the market for 40 to 55 days in 2025, depending on region and property type. That’s an increase over previous years, when hot homes were selling in 10 to 20 days on average.

In 2025, the median DOM statewide hovers around 45–50 days, reflecting a market where homes no longer sell instantly but are still moving at a healthy pace—especially when properly priced.

High-Demand Markets

In hot towns like Westport, Darien, or parts of Greenwich, competitively priced homes can still sell in under 20 days, particularly during peak listing season (spring through early summer). In some cases, bidding wars are still occurring for renovated homes in strong school districts or close to train stations.

In many Fairfield County markets, single-family homes priced appropriately are going under contract in two to three weeks. However, overpricing or neglecting presentation can easily add 30–60 extra days.

Mid-State & Suburban Towns

In central Connecticut towns—places like Glastonbury, Cheshire, or Wallingford—homes typically sit 35 to 50 days before going under contract. Buyers in these areas tend to be more deliberate, especially with interest rates still hovering near 7%.

Homes that are well-maintained and fairly priced will move within 30 days, but properties needing updates or priced aggressively may linger 60–90 days or longer, even in a seller-favored market.

Slower & Rural Markets

In more rural areas or towns farther from employment centers, homes are staying on the market for 60–75 days on average, with some listings remaining active for three to four months or more—especially if not priced strategically.

Homes that require significant work or lack desirable features (e.g., energy efficiency, modern layouts, curb appeal) may require substantial price reductions to sell.

What Regions Are Heating Up or Cooling Down

Fairfield County & Gold Coast Towns

Fairfield County remains one of the most competitive and sought-after markets in Connecticut. While price gains are moderating, demand is still strong.

Towns like Greenwich, Westport, Darien, and New Canaan continue to see fast sales for high-quality inventory. However, luxury listings at the very top end are seeing longer DOMs as buyer urgency eases.

Wilton, Ridgefield, and Trumbull are also experiencing strong activity, with mid-market homes selling well, especially near commuter corridors.

Greater Hartford Area

The Hartford metro area has seen renewed interest in 2025 thanks to relative affordability and revitalization efforts. Towns like West Hartford, Glastonbury, and Simsbury are performing well, with DOMs generally in the 30–45 day range.

First-time buyers and move-up buyers are targeting this region due to value compared to coastal areas.

Coastal & Eastern CT

The Shoreline remains a desirable area for second-home buyers, retirees, and remote workers. Towns like Guilford, Madison, and Old Saybrook are seeing steady activity, though seasonal variation affects DOMs.

In quieter months, homes can linger longer, but in spring and summer, well-located properties tend to move quickly. Days on market here range widely—from 25 days for prime listings to 90+ days for waterfront luxury or off-season inventory.

Interior & Rural Connecticut

Inland towns or less-developed areas are seeing mixed performance. DOMs tend to be longer—often 60–75 days—as demand is more sporadic. However, areas with good school systems, amenities, or access to highways are outperforming expectations.

In regions like Litchfield County, desirable weekend properties or renovated homes with land are still in demand, though higher rates have slowed the pace slightly compared to 2021–2023.

What’s Driving These Trends

Interest Rates & Affordability Pressure

Mortgage rates in 2025 remain elevated, typically ranging between 6.5% and 7.2%. These higher costs directly impact what buyers can afford monthly—and that, in turn, has cooled the rapid-fire competition seen in earlier years.

As affordability tightens, some buyers are exiting the market, delaying purchases, or adjusting budgets. This change reduces the number of bidding wars and contributes to longer DOM in many areas.

Inventory Shortages & Rate Lock

Despite cooling demand, inventory remains a persistent issue. Many would-be sellers are locked into ultra-low mortgages from prior years and have no financial incentive to sell and buy again at today’s higher rates.

This "lock-in effect" continues to depress listing volume, which supports prices but also limits buyer choices.

Pricing Misalignment

Sellers who price based on 2022–2023 expectations are often surprised by today’s more cautious buyer pool. Overpriced homes are sitting longer, pushing up the average DOM, while competitively priced listings continue to sell briskly.

Smart sellers are adjusting, staging, and marketing effectively to get their homes sold without delay.

Zoning & Policy Constraints

Connecticut’s restrictive zoning environment continues to constrain new housing supply—particularly multifamily or starter homes. While some legislative momentum is building to expand housing access, 2025 has yet to bring major statewide changes.

Until zoning and permitting become more flexible, supply will remain slow to grow.

What This Means for Buyers, Sellers, and Investors

For Sellers:

• Price matters more than ever: The days of “name your price” are fading. Overpricing leads to longer DOM and eventual reductions.

• Presentation is critical: Homes that are clean, staged, and well-marketed move faster and attract stronger offers.

• Expect longer timelines: Unless your home is in a hot town and priced perfectly, expect 30–60 days to go under contract.

• Watch the seasons: Spring still brings the most buyers. Listing in fall or winter may mean longer market time.

For Buyers:

• You have a bit more breathing room: The frenzy has cooled slightly. Take time to evaluate options—but act quickly on desirable homes.

• Get your financing ready: Pre-approval is still a must to stay competitive, especially for popular listings.

• Look beyond the headlines: Some towns are softening faster than others. DOM and price trends vary significantly by location.

• Negotiate where you can: Sellers of homes on the market more than 45 days may be open to concessions.

For Investors:

• Focus on value-add: With market momentum slowing slightly, properties needing cosmetic upgrades offer the best upside.

• Monitor DOM closely: Long DOM may present buying opportunities—but also risks.

• Think long-term: With affordability constraints and policy shifts likely coming, long-hold rental properties remain attractive in the right areas.

The Connecticut housing market in 2025 is beginning to normalize—but that doesn’t mean it’s slow. Well-located, well-priced homes still sell fast. In many towns, competition remains strong and pricing is firm.

However, rising DOM and more cautious buyer behavior are signs that the white-hot days of the pandemic housing surge are over. Buyers are more discerning. Sellers must adjust. And investors need to time carefully.

Overall, the market is evolving—slowly—but surely. And those who understand the dynamics of time on market, pricing psychology, and regional variation will continue to find success in Connecticut’s housing market.