Connecticut's real estate market saw solid gains in June, as the number of homes sold in the state last month jumped 6.4% compared to the same period a year ago, according to data compiled by a leading industry trade group.
There were 4,448 single-family homes sold last month, 266 more than in June 2016, according to the Connecticut Realtors group. The increase in the median sale price of the homes that sold last month was up 1.8%, or $5,050, compared to the same period a year ago.
Median indicates that half the homes sold for more and half for less.
Sales of townhouses and condominiums in Connecticut in June also increased, by 8.9% to 1,016 units. There were 933 units sold in June 2016, according to the data compiled by the group.
The median sale price for townhouse and condominium units last month was $185,000, an 8.8%, or $15,000, increase compared to the same period a year ago.
Donald Klepper-Smith, chief economist and director of research for New Haven-based DataCore Partners, said the home sales data likely is indicative of consumers feeling good about gains they have made in the U.S. financial markets.
"And when people feel good about the stock market, they tend to invest some of the money they have made in something for the long term," Klepper-Smith said. "Others may be buying homes because they feel this is as high as it (the stock market) is going to go. The question remains about whether this can be sustained, though."
Housing prices are considered a key indicator of economic recovery, he said, because home buyers usually purchase other big-ticket items for their new homes.
"An economic recovery without an accompanying housing component is a pretty hollow recovery," he said.
The June housing data compiled by Connecticut Realtors comes from multiple listing services throughout Connecticut. The statewide trade association represents more than 16,000 people engaged in all aspects of real estate in Connecticut.
