New Canaan Connecticut Real Estate

If you have a blog I suppose you should be blogging!  Well, the past several months got away from me which should indicate to you all that real estate in New Canaan became quite active.

As is the norm our inventory tends to rise during the spring. Properties look their best, people come out of hibernation and buyers want to be settled in their new homes before the weather changes. In the first six months 148 houses and 41 condominiums were new to the market creating an available inventory of  242 single family homes and 69 condos.

By the end of June, 87 homes had sold and there are 52 pending. Currently there are 20 sold condominiums and 10 pending . That’s the real story. Sales. Some buyers are shaking off their hesitation and taking advantage of low interest rates and numerous choices. Click on the chart above to see the yearly sale comparison. 2010 is showing a marked increase over the past two years. And, as evident from the second chart, sale prices continue to be stronger in the $2 million and below range. However, there has been a noticeable increase in the over $2 million and $3 million range. Will have the mid year analysis up in a couple of weeks.

New Canaan is rich with hidden treasures created by individuals with passion and creativity. These 2.7 acres of pure woodland bliss and spectacular display in spring is a gift left to us by George S. Lee who spent 40 years establishing this extraordinary refuge. The Lee Memorial Garden is a grateful tonic for the soul after the snows have melted and the winds subsided. After a day of real estate, or yet one more load of laundry, a stroll through the gardens relaxes my shoulders that have somehow managed to creep up to my ears. Do yourself a favor and leave your blackberry and your cell phone in the car. We all need time off from the world and dinner can wait.

Pending Sales, which are not included in this chart, continued to rise during the month of March which is traditionally one of the busiest for real estate transactions. Currently there are 29 single family residences and 5 condominiums under contract. Prices are up slightly, but on average still below October 2009 prices.
The month of April should post similar numbers as the spring market is in full swing. It will be interesting to see what it looks like after the tax credit expires although in our market that has not been a primary factor. Interest rates seem to be the driving force and with the end of the Fed’s MBS purchase program this will pressure the Bond prices lower and home loan rates higher. While it is encouraging to see selling prices up home owners should be cautious in interpreting the data. The key to selling in this market is sharp pricing.

This gracious New Canaan colonial is in a league of it’s own. Rich in detail, craftsmanship  and amenities inside and out. Please take the tour and see for yourself. You can also link on the link below.

http://vifp.com//p/?Branded=1&agent=17283&mls=132462

Housing sales continue to pick up in 2010. Even though there were only 4 closed sales this month behind the scenes there is a lot of activity . Currently there are 33 residences with signed contracts, a healthy increase from last year. Buyers are starting to reach into the higher price range with 7 of the 33 homes selling between $2 and $3 million and 4 houses selling in the $3 million range.

Buyers took advantage of  the price dip in the market and the low mortgage rates to boost real estate sales in New Canaan. January sales topped the last 4 consecutive years in number of closings. As of this posting there are 20 properties with deposits and signed contracts just waiting for their upcoming closing date.

The numbers used to create this chart come from our local New Canaan MLS which is not guaranteed, but are considered very reliable.  I love numbers and we are being bombarded by them everyday in relation to the housing market in this country. Remember, real estate is very local and I find putting our own community figures together gives me a pretty accurate snapshot of the market in New Canaan.

Inventory will start to increase as sellers try to capture the “bonus” and “spring” markets. However, buyers are beginning to realize that prices have bottomed and interest rates won’t stay low for long. The next few months should be quite active if January and February are any indication.

Amble under the leaf canopy of a private lane to this beautifully expanded and extensively renovated colonial. Abundant windows and French doors open onto a terrace and level sprawling backyard. Terrific light-filled spaces allow your eye to travel through airy rooms to the landscape beyond. Walking distance to New Canaan schools and Waveny Park. Read all »

January 2010

 

Dear Brotherhood & Higley Friends,

 

2009 was a very complicated and difficult year for all of us and for residential real estate firms in particular. Brotherhood & Higley wants to thank all of our clients who were bold and ventured into the local real estate market and either bought or sold in 2009. Despite the tumultuous 2009 real estate market, we are pleased to announce that Brotherhood & Higley has maintained our first place standing for total transactions as we have for the past 25 years.

 

2009 Total Transactions (selling and listing)

 

 

 

 2009 Average $ Volume Per Agent Transaction

    The first half of 2009 experienced the slowest activity levels in the past 30 years. While potential buyers were not only waiting for prices to decline further, they were also very concerned about their own job security. Being unable to sell their present home or unwilling to take the ‘hit’ on their present home, buyers were not even searching for a new home until the middle of the second quarter of 2009. Sellers were slow to adjust their expectations and reluctant to lower their prices. As a result, few qualified buyers were able to negotiate a successful purchase. Banks’ lending requirements have become more prudent in contrast to the liberal lending practices of the last several years. These changing dynamics have created a new environment for our residential real estate market.

 

2007-2009 Residential Sales

    On a positive note, our local real estate market became considerably stronger in the second half of 2009 - sales activity has seen an average of 24 transactions per month, which is consistent with the monthly transaction numbers of more robust years. There has been less interest in higher priced properties during 2009. The most active segment of our market were properties under $2 million, however we have recently seen more transactions in the $3 to $4 million dollar offerings.

 

 2009 Property sales

   We are optimistic that we will see a continuation of this positive trend in a stronger real estate market in 2010. Even though New Canaan properties have declined 20-25% from 2007 to 2009, property values are more stable as we approach the 2010 spring market. Interest rates are the lowest they have been in nearly 40 years. Some analysts believe that these low rates present a once-in-a-lifetime opportunity. Buyer confidence continues to improve as the media focuses on the stabilizing of the economy and the resurgence of the real estate market with increasing sales. This is a great opportunity to purchase and to sell. The new year typically brings new inventory to the market and should be matched with the pent-up demand for housing among those who typically choose the spring market to purchase.

Please give us a call if you would like to discuss the market.

Best wishes for good health, peace and prosperity in 2010.

 

Sincerely,

 

Hugh Halsell

Wendy Dixon Fog

Yes, my third quarter Sold Book ( compilation of all homes sold from Oct ‘08 through Sept ‘09 ) recently arrived much thinner than previous years, but those buyers who have stepped up to the window have walked away with some incredible deals. As an example, an 11 thousand square foot home built in 2007 sold  for under $6 million, a  7500 square foot home built in 2008 sold in the low 4 million dollar range and several houses consisting of  8,000 sq. ft  listed in the $4 million category were obtained in the $3 million range. In the high end, meaning homes priced at $4million and up, homeowners accepted offers on average 12%  below their last asking price. In many cases this was after several price reductions from the original value placed on the home.  Across the board houses have sold  for between 11% to 15% below their listed price. The most activity has been in the lower price ranges and inventory below $2 million has begun to dwindle. Less supply translates into a stabilization of prices if not an increase.

Sellers will begin to take their homes off the market for the holiday season. Look to see  a number of those to return after the first of the year and it will be interesting to see if  real estate stays on Weight Watchers or goes for some real gains.