Realtors gather to address lack of housing in CT

Real estate challenges in CT
Published: May. 15, 2023 at 5:37 PM EDT
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HARTFORD, CT (WFSB) - Realtors from across the state gathered in Hartford Monday to address challenges, the biggest being a lack of housing.

The event was hosted by the Connecticut Association of Realtors.

The lack of available housing is making this a tough market.

Even with higher interest rates homes are selling fast and buyers are getting what they want and more.

Connecticut also has more people looking for homes.

In 2020 during the pandemic, 55,000 people moved to Connecticut.

Governor Ned Lamont was the guest speaker at the event. He said housing is a priority.

“We have a shortage of homes now but remember five or 10 years ago we had too few people looking at too many homes they were sitting on the market for a long time. Now we got to building housing,” Lamont said.

Lamont and legislators are looking at more incentives for cities and towns to build more housing and tax breaks for homeowners.

Eyewitness News spoke to Kyle and Faith Hayes back in February. They had just found a home, but it had taken months of searching.

“It’s a sellers’ market, so what we could have afforded previously, we couldn’t afford going in and also the inventory was very low,” said Kyle Hayes.

They were able to take advantage of a new program for first time homebuyers, which allows them to have their loans forgiven 10-percent every year they are in the home up to 10 years.

But this doesn’t address the underlying problem which is a lack of housing.

“Currently we have roughly 3,100 single family and condominium listings in the entire state of Connecticut to put that in perspective pre-pandemic there were 22,000,” said David Gallitto, President of CT Realtors.

“I am trying to do something where some of the older folks want to downsize but stay in Connecticut,” Lamont said.

Lamont is referring to giving homeowners a break in the capital gains tax. He also wants to give cities and towns more incentives to build more housing.

“Come up with your plan I want this to be your plan but if you don’t come up with a plan there are ways developers can move things along,” Lamont said.

Some cities and towns have been reluctant when it comes to building apartments and condominiums, however there is currently a housing boom in New London, mainly because of Electric Boat adding more jobs and construction of a wind power facility.

But there’s no question, the rest of the state needs more housing.

Lack of housing impacting the real estate market