Stamford is one of Connecticut’s fastest-growing cities and home to a thriving housing market. The average home price for a single-family property in Stamford has steadily climbed for at least two decades, indicating that property values continue to boom.
But there’s so much more to know about buying a home in Stamford than what you can read on a market forecast or research from daily indicators. That’s why we’ve put together this insider’s guide to shed light on every element of the market in Stamford so you can be prepared to search for your next home as soon as possible.
Why should you buy a house in Stamford?
Conveniently located for commuters
Living and owning a home in Stamford means you’re just minutes away from dozens of job markets offering some of the country's highest-income positions. The train to Manhattan lasts minutes, and you’re also nearby all the other successful cities in Connecticut proper. Moreover, you’re right on I-95, so it’s easy to move north and south to visit relatives or travel on vacation.
Hot job market
Over eight Fortune 500 companies call Stamford home, and the average income of residents of the city has consistently climbed over the last five years to today’s figure of $82,000. Even though the cost of living in Stamford is roughly 30% higher than the national average, owning a home in Stamford is easy because the job market is so open to new talent.
About Stamford schools
There are at least 72 individual private schools to choose from in the Stamford city limits and 22 distinct public school districts. What’s more, residents are within eyeshot of some of the top higher educational opportunities in the world thanks to the city’s proximity to New York and the majority of the Ivy League schools.
This neighborhood is where many of the elite homeowners in Stamford live. Property values in Shippan Point are the highest in town by a healthy margin, at $1.32M. The privacy and comfort of living here ensure that new families will lead long and healthy lives. The architectural styles of the many mansions and estates here are varied and traditional.
Newfield is the part of town going through the hottest real estate market in 2023 so far. Property values in Newfield have increased since 2022, so we’re expecting even more attention in this neighborhood in the coming years. This neighborhood sold the most homes, indicating that buyer demand has remained high since 2020.
What to know about buying a house in Stamford
Median house price
Over the last 12 months, the median sold price for all properties in Stamford has climbed to about $585,000. We have seen the most significant value boost among one-bedroom homes, with three- and four-bedroom homes in second place.
As of April 2023, the average closing cost that homebuyers must pay once the title is in hand is about 1% of the property's total price. That figure puts the state of Connecticut squarely in the middle of the national average. Closing costs include loan origination fees, attorney fees, credit report fees, and more.
The property tax rate in Connecticut is among the highest in the country, with the state ranking number four nationwide regarding property taxes. The average homeowner will pay a tax rate of just under 2% for property owned in Stamford, about twice the national average.
Requirements for buying a house in Stamford
A conventional loan is the most common way homeowners apply for financial help to cover the purchase of a home in Stamford. These loans are not part of any governmental program. This simply means they conform to the requirements of a private lender rather than a government agency. They can require homeowners to have a slightly higher credit rating than other lenders ask for.
An FHA loan is backed by the Federal Housing Administration. That means they are insured, so you’re protected against loss if you end up having to default on the loan. These loans are a good option for first-time homeowners because you don’t need such a high credit score to apply. Plus, you can get an FHA loan with lower down payment options than other loans.
VA loans are given out by private lenders but are backed by the government. The Department of Veteran Affairs does not disburse them, which is a common misconception. VA loans are only available to veterans, service members, and the surviving spouses of those individuals. They can let you drop your down payment to zero and even provide homeowners with highly competitive interest rates.
Get in touch with a local real estate agent today
If you have any questions or comments about real estate in Stamford, CT, or the surrounding area, don’t hesitate to reach out today! Contact Staci Zampa for more information.
*Header photo courtesy of Shutterstock