Rent and house prices are still up in Connecticut compared to last year, although the real estate market may be slowing down from earlier in the year, new data shows. Average rent prices for two-bedrooms in Connecticut were $2,349 in October, up about 17 percent from October of last year. For one bedrooms, the prices increased about 13 percent to $1,862, according to a new report from Apartment Guide. And the House Price Index showed a nearly 18 percent increase in house prices in Connecticut for the July, August and September quarter. The jump was the 22nd-highest increase in the nation. The measure is derived from an average of repeat sales and refinances. But that\u2019s down from the increase Connecticut saw in the second quarter, which ranked it among just 13 states that experienced a more than 20 percent rise. That likely stems from the timing of the pandemic and early lows in real estate activity during the onset of the virus\u2019 spread, said David Sacco, a practitioner in residence in the University of New Haven\u2019s finance program. \u201cIf you think about where we were in the second quarter of 2020, the lockdowns and pandemic basically hit us at the end of the first quarter,\u201d Sacco said. \u201c \u2026 We really weren\u2019t seeing some of the economic activity that led to home prices going up. My point is we were still at a relatively low base number.\u201d The Fairfield County area \u2014 Bridgeport, Stamford and Norwalk metro areas \u2014 saw just over a 19 percent increase, according to the federal report. Idaho had the highest increase in the country at almost 36 percent. The national average was 18.5 percent and the lowest increase was 8 percent in Washington, D.C., according to the report. New England\u2019s regional growth ranked fourth out of nine in the nation at just over a 19 percent increase. \u201cHouse price appreciation reached its highest historical level in the quarterly series,\u201d William Doerner, supervisory economist in FHFA\u2019s Division of Research and Statistics, said in a news release statement. \u201cCompared to a year ago, annual gains have increased in every state and metro area. Real estate prices have risen exceptionally fast, but market momentum peaked in July as month-over-month gains have moderated.\u201d Meanwhile, rent prices have been steadily rising for months, and will likely continue to go up. There\u2019s heightened demand for rental housing in many places as people who sold their houses hoping to earn some money look for places to rent and some are waiting for the hot housing market to cool before buying, said Brian Carberry, a managing editor at Apartment Guide. \u201cThe recipe is there for prices to kind of stay up at least in the short term,\u201d Carberry said. \u201c \u2026 There\u2019s a lot of demand for people looking for apartments.\u201d The report showed that rents had risen in every state for one-bedrooms. All states except South Dakota also saw rent rises for two-bedrooms. The coasts tend to have higher rents than other parts of the country, Carberry said. It\u2019s not clear how long heightened prices for housing will persist. Some economists have estimated that rent prices will keep going up into 2023, and while the real estate market has cooled off from its peaks, the prices are still higher than pre-pandemic. But even with the uncertainty, there are early indicators that the market may begin to level off, experts said. For apartments, construction is beginning again in many geographies, which could increase the housing stock. Recent supply chain issues may delay work in some cases, Carberry said. \u201cThe question is whether they\u2019re going to be luxury units or if they\u2019re going to be more affordable housing units,\u201d he said. And in addition to the natural ebb that comes after a frenzy such as the one the real estate market saw at the start of 2021, recent inflation could cause the Federal Reserve Systems to raise interest rates, or utilize other measures that tend to slow the economy, Sacco said. \u201cYou would expect it to naturally happen,\u201d he said of a market slow-down. \u201cI do think there's going to still be continued strength in suburban markets, not so much because people are afraid of the pandemic. But because of some of the structural changes to society.\u201d Those changes, he said, are the continued practice of work from home, which allows people to work from anywhere they want rather than keeping them tied to a particular city.