April 2026 Connecticut Housing Report

What’s Happening in the Market?

• Nationally, April’s market activity increased from March as warmer weather brought more listings and buyers back into the market, though momentum remained somewhat restrained by economic uncertainty, rising mortgage rates, and higher fuel costs tied to the war in Iran.
• In New England, more homes began hitting the market, and buyer activity improved, but higher monthly payment costs and elevated gas prices caused some buyers to proceed more cautiously than is typical during the spring market. Inventory remained constrained across many communities, continuing to support home values despite slower-than-usual activity.
  Meanwhile, in South Florida, the market maintained stronger momentum heading deeper into spring. Steady buyer demand helped support sales activity, though higher mortgage rates slightly moderated the pace compared to earlier in the year.
• According to the National Association of Realtors, housing activity in April reflected improving seasonal demand with a slight 0.2% rise in sales, despite affordability pressures and economic headwinds.
• Chief Economist Lawrence Yun stated,

“The housing market continues to adjust to higher borrowing costs, but increased inventory and steady job growth are helping keep buyers engaged as we move further into the spring season.”

• According to Mortgage News Daily, April’s rates weren’t yet impacted by the war and remained in the low 6% range. Though they have ascended since the beginning of May and are currently inching towards 7%, buyers have access to options like temporary buydowns, adjustable rate mortgages, and assumable mortgages.
• Fannie Mae recently announced a new policy requiring condo associations to allocate at least 15% of their annual budget to reserve funds.  This will be a nationwide requirement to qualify for Fannie Mae-backed mortgages beginning January 1st, 2027.
• On April 28th, Governor Healy announced that Massachusetts first-time homebuyers will have access to down payment assistance loans of up to $25,000 at 0% interest with deferred repayment, helping reduce upfront costs.
• No matter what kind of real estate market we’re in, many prospective home buyers ask the question:  “How much money do I need to have on hand before buying a home?”  The actual down payment can vary and depends on a number of factors, but the fact remains that saving is the first step in making a purchase.