How to Assess Connecticut’s Land Market in 2026

Navigating Connecticut’s land market requires more than a quick look at a map or a Zestimate. The state’s pricing is shaped by preservation goals, local zoning, environmental constraints, and—more recently—fast-moving changes to how farmland and open space can be assessed for property taxes. With over 1.8 million acres classified as rural, undeveloped land, Connecticut’s raw acreage follows valuation rules that often differ from residential real estate—especially for owners of farmland, forest, or open-space parcels.

As land appraisal professionals, we recommend that owners and buyers focus on the factors that consistently move value in Connecticut: verify zoning and allowable uses, reconcile property-tax exposure (including PA 490 classification), confirm access and utilities, review deed restrictions and easements, and match the parcel to today’s buyer profiles (builders, conservation buyers, farmers, and long-term investors). The sections below break down the regional submarkets, the valuation drivers, and the most current PA 490 developments affecting land owners right now.

Regional Variances in Connecticut’s Land Market

Connecticut is small in size but not in market complexity. Land values can change dramatically from one town to the next based on proximity to employment centers, shoreline access, utility availability, and local permitting norms. Treat the state as a collection of distinct submarkets—not one uniform land market.

Coastal Areas: Persistent Demand, Limited Supply

Southwestern Connecticut—especially Fairfield County—continues to command premium land pricing. Towns near Greenwich and Stamford benefit from strong household incomes, proximity to New York City, and limited buildable inventory. Along the Long Island Sound coastline (including sections of New Haven County), parcels suitable for residential development, waterfront estates, and mixed-use projects often see higher buyer competition than inland equivalents.

Farther east, shoreline communities with recreational access and protected natural beauty can also maintain elevated price-per-acre levels, particularly for parcels with buildable uplands and fewer environmental constraints.

Central Connecticut: Working Farmland and Larger Parcels

In central Connecticut, larger tracts and agricultural uses remain common. These parcels often trade at a lower price per acre than shoreline land, but they can be highly sensitive to property taxes, zoning, and “highest and best use” questions—especially when a farm transitions to estate, equestrian, or low-density development use.

PA 490 land-use valuation is a major variable here. In the revised 2025 PA 490 recommended land use values, Tillable A farmland value increased from $1,880 to $3,250 per acre—a 72% increase—according to CT Mirror. That revised benchmark is also explicitly listed as $3,250 per acre by the Connecticut Department of Agriculture.

Pasture valuations have also been a flashpoint. Under the initial 2025 PA 490 assessments, pasture land value increased four-fold, as reported by CT Mirror. In the revised 2025 PA 490 recommended values, pasture land is set at $2,200 per acre, according to the Connecticut Department of Agriculture.

Woodlands and Marginal Land: Lower Entry Prices, Long-Term Optionality

As you move east—especially toward the Rhode Island border—more parcels include substantial forest cover, wetlands, ledge, and challenging topography. These features can lower near-term market value because clearing, engineering, and permitting add real costs.

At the same time, tax assessment rules can materially affect holding costs for land that is not actively farmed. For example, ledge land value spiked from $40 to $970 per acre under the initial 2025 PA 490 assessments, according to CT Mirror. Even if a parcel is not being sold immediately, changes like these can influence whether owners hold, subdivide, enroll, or exit.

Rural Inland Towns: Discounts and Different Buyer Profiles

Many rural inland towns farther from major job centers and shoreline amenities offer noticeably lower land prices. These areas can work well for buyers prioritizing privacy, recreation, agriculture, or long-term land banking. However, the buyer pool is often smaller, which can affect liquidity and time-to-sale—especially for raw, unimproved acreage.

Key Factors That Drive Connecticut Land Values

Across every region, Connecticut land values typically rise or fall based on a consistent set of fundamentals. When you evaluate a parcel, document these items early—before you price the land, negotiate, or commission engineering.

• Location and access: Road frontage, sightlines, traffic counts (for commercial), and proximity to job centers, schools, and shoreline amenities.
• Lot size and configuration: Usable uplands vs. constrained acres, irregular shapes, and whether the parcel supports subdivision.
• Zoning and allowable use: Residential density, agricultural permissions, commercial overlays, and the practical likelihood of variances or zone changes.
• Utilities and infrastructure: Public sewer/water availability, electrical service, and the cost of extensions or private systems.
• Environmental constraints: Wetlands, flood zones, protected habitats, and soil limitations for septic.
• Improvements and existing use: Homes, barns, fencing, wells, driveways, and any income (leases, timber, farm stand operations).
• Title, restrictions, and easements: Conservation easements, deed restrictions, access rights, and utility ROWs that can limit development.

Practical step: Have a qualified real estate attorney review the deed, title, liens, easements, and any recorded restrictions before you finalize a purchase or set a list price.

PA 490 Updates: Why Property-Tax Policy Matters to Land Pricing

Connecticut’s PA 490 program can lower assessments for qualifying farm, forest, and open-space land by valuing it based on use rather than potential development value. That policy can support affordability for working lands—but it can also create sudden valuation shocks when land-use tables change.

How the 2025 Revaluation Was Built (and Why It Drew Scrutiny)

The 2025 PA 490 land use values were compiled using rental rate surveys analyzed by an independent contractor and reviewed by a certified appraiser, according to the Connecticut Department of Agriculture. However, participation in the survey was limited: only about 4% of Connecticut’s farmers contributed survey data for the 2025 PA 490 land revaluation, according to the Lakeville Journal.

What Changed in January 2026

Policy shifted quickly. Governor Lamont directed reinstatement of 2020 PA 490 land use values, revoking the 2025 values effective immediately in January 2026, according to the Office of the Governor. For landowners, that move can affect carrying costs, negotiation leverage, and the economics of holding versus selling.

Timing also matters for municipal paperwork: town assessors have until January 31, 2026, to issue amended assessments following the revised PA 490 land values, according to the Connecticut Department of Agriculture.

What this means for buyers and sellers: When you evaluate a Connecticut parcel—especially farmland, pasture, forest, or marginal land—confirm the property’s current PA 490 status, the assessment basis in the town, and whether an amended assessment is pending. These inputs can change net returns even when the sale price stays the same.

How to Determine Fair Market Value for Connecticut Land

Fair market value comes from evidence and feasibility. In practice, professionals rely on two complementary approaches.

1) Land Appraisals (Best for Financing, Estates, and Disputes)

An independent appraisal can provide a defensible value range by analyzing the parcel’s location, site characteristics, zoning, constraints, and comparable sales. Because land appraisals involve assumptions about usability and future demand, treat them as informed snapshots—not guarantees.

2) Comparable Sales (Best Reality Check for Today’s Market)

Recent nearby sales—ideally within the last 6–12 months—often provide the clearest signal of what buyers will pay now. Compare not just acreage, but buildability: frontage, wetlands, utilities, septic feasibility, and entitlement risk.

Practical step: Visit comparable parcels in person. Terrain, neighborhood context, and access issues often explain pricing gaps that spreadsheets miss.

Key Players in Connecticut Land Transactions

Connecticut land deals frequently involve specialized participants because “raw land” requires more due diligence than a typical home sale.

Real Estate Agents

Local agents can help position a parcel, price it against live market behavior, and market it to builders, conservation buyers, and end-users. Their relationships and exposure can expand the buyer pool, though commissions apply.

Developers and Builders

Developers and builders focus on feasibility: zoning yield, engineering costs, utility access, and approval timelines. Parcels that look similar on paper can vary wildly in value once entitlement risk and infrastructure costs are quantified.

Land Buying Companies

Land buying companies purchase land directly, often with cash and faster closings. This route may appeal to owners prioritizing speed and simplicity over maximizing price—especially for inherited parcels, small infill lots, or land with access and permitting hurdles.

Due diligence reminder: Research any service provider thoroughly and insist on written terms. Avoid relying on verbal promises.

Setting Realistic Expectations for Selling Connecticut Land

Even when home inventory is tight, vacant land typically sells slower than move-in-ready housing. Land is less liquid because fewer buyers can evaluate it confidently, and many parcels require engineering or approvals before a buyer will commit.

Expect Longer Timelines Than House Sales

A well-priced parcel in a high-demand area can sell quickly, but many raw-land listings take significantly longer—especially when utilities, wetlands, or zoning uncertainty limit the buyer pool. Build patience into your plan and align pricing with verifiable comps and realistic use cases.

Account for Holding Costs

Property taxes, insurance, basic maintenance, and debt service can erode returns over time. When assessment rules change—as seen in the PA 490 updates—those carrying costs can change quickly, so revisit your hold/sell math regularly.

Consider Creative Deal Structures Where Appropriate

Owner financing, phased releases, or other creative structures can widen your buyer pool and sometimes improve outcomes. Use professional guidance to manage risk, document terms clearly, and avoid unintended tax or legal consequences.

Final Thoughts

Evaluating the Connecticut land market means balancing regional demand with the realities of zoning, environmental constraints, infrastructure costs, and property-tax policy. Today, PA 490 developments are especially important: Tillable A values rose from $1,880 to $3,250 per acre in the revised 2025 recommendations (a 72% increase) per CT Mirror, with the revised Tillable A value confirmed at $3,250 per acre by the Connecticut Department of Agriculture. Pasture value became a major concern after a four-fold increase under the initial 2025 assessments, per CT Mirror, and the revised recommended pasture value now stands at $2,200 per acre per the Connecticut Department of Agriculture. Even marginal categories drew attention, including ledge land spiking from $40 to $970 per acre under the initial 2025 assessments, according to CT Mirror.

Given that only about 4% of farmers contributed survey data to the 2025 revaluation (per the Lakeville Journal), and that the values were built from rental rate surveys analyzed by an independent contractor and reviewed by a certified appraiser (per the Connecticut Department of Agriculture), landowners should treat assessment status as a core due-diligence item—not an afterthought. Governor Lamont’s decision to reinstate the 2020 PA 490 values and revoke the 2025 values effective immediately in January 2026 (per the Office of the Governor), plus the January 31, 2026 deadline for towns to issue amended assessments (per the Connecticut Department of Agriculture), underscores how quickly the financial picture can shift.

Owners who price land using credible comparables, verify feasibility early, and choose the right sale channel—agent, direct-to-developer, or direct sale—position themselves to protect value and move decisively in a market that rewards preparation.

Frequently Asked Questions (FAQs)

Which areas of Connecticut typically have the highest land prices?

Southwestern Connecticut (especially Fairfield County) and many shoreline communities along Long Island Sound often command the highest price-per-acre levels due to proximity to major job centers, limited buildable inventory, and strong demand for coastal living.

How do I estimate the value of my vacant land in Connecticut?

Start with recent comparable land sales and confirm feasibility (zoning, wetlands, utilities, access). For a defensible number—especially for estates, financing, or disputes—order an independent land appraisal.

Why does PA 490 matter when buying or selling land?

PA 490 can change how qualifying land is assessed for property taxes, which affects holding costs and buyer math. Recent shifts—including revised recommended values, the reinstatement of 2020 values, and amended assessments—make it essential to confirm current classification and the town’s assessment status before pricing or closing.

How fast can I sell Connecticut land for cash?

A direct sale to a land buying company can often close faster than a traditional listing because it can reduce marketing time and streamline negotiations. The tradeoff is that direct cash offers may be discounted compared with a fully marketed, retail-priced listing.

Should I offer owner financing for vacant land?

Owner financing can attract more buyers and sometimes improve overall returns, but it introduces default risk and requires careful documentation. Use an attorney and qualified tax/financial guidance to structure terms appropriately.