[Editor: A sentence in this article referring inventory has been removed while the Board of Realtors reviews its data, and will be replaced as soon as it’s furnished.]
Sales of single-family homes in New Canaan increased 64% year-over-year in April, new data show.
The total number of homes sold jumped to 36 from 22 in the year-ago month, according to data released by the New Canaan Board of Realtors.
The median sales price increased by 63% in April, from $1,250,000 to $2,042,500, according to the data.
Here’s a snapshot of sales activity:
Single-Family Home Sales, April 2021
| Units Sold | ||
|---|---|---|
| Total | 36 | 22 |
| April 2021 | April 2020 | |
| $0 to $999,999 | 0 | 7 |
| $1 milion to $1.99 million | 17 | 11 |
| $2 milion to $2.99 million | 11 | 2 |
| $3 million to $5 million | 6 | 1 |
| $5 million+ | 2 | 1 |
*Data only includes homes listed for sale on the NCMLS and does not include condos.
Melissa Rwambuya, president of the Board, called the New Canaan real estate market “robust.”
“Inventory is low and the median sale prices of both condos and houses are up substantially year over year,” she said in a statement. “We’re welcoming lots of new families to New Canaan.”
Year-to-date, the median sales price for single-family homes is up 32%, from $1,250,000 to $1,650,000, according to the data. Houses also are selling far more quickly—the average number of days on the market is down 69% year-to-date, from 241 to 74, the data show.
The median sales price of condominiums has risen dramatically in 2021, from $520,000 to $960,000—an 85% rise.
Median sales price is a misleading stat as it can be skewed by large house sales as was the case this month. While real estate agents love to tout the median sales price increase, a more accurate stat would be the price/sqft. I wish we move towards the price/sqft as a benchmark real estate price.
Median is the middle price of all houses sold. So even if one out of 11 houses sold for $100,000,000 but the middle house was $2,000,000 the median does not change. Mean price would be skewed since mean is the average.
YTD in 2020 (1/1-5/4), New Canaan had 65 sales at an average price per square foot of $341 (this includes the land, since there is no way to isolate the amount being paid for the structure). YTD in 2021, we have 117 sales (+80%) at an average price per square foot of $423 (+24%).
It took awhile for prices to jump in 2020, even with strong demand and limited supply, but so far in 2021 prices have soared. Anything under $2mm is receiving lots of showings and, in many cases, multiple offers.
Bill Taylor
Houlihan Lawrence
Bill, thanks for the price/sqft info. That is exactly what should be shown, perhaps in addition to the median price. I appreciate it.
Ike, I was a math and stat major, so I know how median and mean work. My reference was towards the trend of larger houses skewing the median price. Perhaps I should have clarified it more. As can be seen from the data provided by Bill Taylor, the YTD price rise is +24% by price/sqft and 32% by median according to the article. And for the month of Apr alone, the median price is up 63%, which I think everyone can agree upon, is not reflective of the expected price on a home.
A couple of additional data points: YTD in 2020 (1/1-5/4), the 65 sales had an average price of $1,590,500, with a median price of $1,250,000. YTD in 2021, the average price of the 117 sales is $2,003,207 (+26%) and the median is $1,650,000 (+32%). Inventory of single-family houses remains near record lows. In the middle of a Spring market, we would normally have 250-300 houses for sale—we currently have 80.