Exeter’s mobile home values have skyrocketed by 149%, according to the recent town revaluation. (Courtesy of Exeter-Hampton Cooperative)
Jeanee Wright said she felt “perplexed” when she learned that the value of manufactured homes in Exeter has nearly tripled compared to the overall increase of other residential homes.
“I was confused as to why it was so high,” said Wright, president of the Exeter-Hampton Cooperative mobile home park at 40 Hampton Road. “I anticipated an increase because I know the current real estate market… but I still am not sure why we’re seeing a 149% valuation increase when other types of housing are not.”
Wright was referring to the recent town-wide revaluation, where the town’s taxable value went from $2.3 billion to $3.7 billion, a $1.4 billion increase. The state requires property revaluations every five years in Granite State communities, and Exeter’s was recently completed.
Overall in Exeter, property values rose an average of 61%. Commercial properties increased by 37%, residential by 59%, condos by 62%, vacant land by 70%, and manufactured homes a whopping 149%.
Scott Marsh of Municipal Resources Inc., contracted by the town to execute the reassessment, said the property valuations are based on 565 sales from April 1, 2022, to April 1, 2004.
Mobile homes, he said, witnessed the sharpest increase in value based on 117 sales analyzed.
“This is on average,” said Marsh. “Some properties went up more or less than that.”
Why are mobile home values skyrocketing in Exeter?
Paul McKenney of Municipal Resources Inc. said the small inventory of starter homes for sale is what’s driving up prices for mobile homes.
McKenney noted that the COVID-19 pandemic prompted many people to move from larger cities to smaller towns like Exeter. He added that the high demand for single-family homes, coupled with low inventory, drove up property values.In return, the soaring cost made manufactured homes more desirable.
“The condition of the home has an impact,” he added. “A lot of people are buying them, fixing them up, and then reselling them and making a profit… I think some of that is happening here.”
With 1,000 units across 11 parks, Exeter has the second-largest population of manufactured homes in the state, following Rochester. Currently, eight manufactured homes are listed for sale in town, ranging from $114,900 to $272,900.
McKinney said Exeter isn’t the only town seeing an increase in property values of mobile homes, citing a similar hike in neighboring towns like Hampton, with an 80% increase, and North Hampton, where values leaped by 87%.
“I’m getting the same result,” he said. “There’s a little bit of a difference because some of the mobile homes in Hampton are seasonal use only, there are parks that are closed from October through April… but in most of the other towns, they went up more than residential properties, and it’s unfortunate.”
Mobile homeowners worried spike will lead to higher taxes
McKenney emphasized that property owners should not panic about their increase in property values as it doesn’t necessarily mean there will be an increase in taxes. He explained that if property values rise but municipal budgets remain stable, the tax rate may decrease.
Tax rates in New Hampshire are set for each community by the state Department of Revenue Administration, and that isn’t done until October.
“The tax rate will be adjusted, accordingly, because when the value in the town increases, they have to adjust the tax rate because they can’t collect any more money than what the people vote on for the budget,” he explained.
Wright, the president of the Exeter-Hampton Cooperative, said the valuation has made people within the mobile home park very “upset and concerned” about paying higher tax bills.
Wright said she is anticipating bills to increase “significantly,” citing various projects approved by the town recently.
“The folks that live here, we have a lot of retirees that are on fixed income,” she said. “We have a lot of working families, retail workers, restaurant workers, town workers, we have single parents that live here, and I think it’s really going to have a huge impact on their financial well-being.”
Wright said there need to be policies to protect residents of manufactured homes, noting that looking at recent sale trends should not be the way to assess these homes.
“These homes to folks are shelters, they’re not investment properties,” she said. “People aren’t looking to make money… most people here are looking to stay here permanently.”
Wright said manufactured homes, considered the lowest point of entry in real estate, are “the best form of affordable housing we have.” She is concerned if values continue to skyrocket, the homes will no longer be affordable.
“Exeter is a very expensive place to live, and there’s a lot of need for workers… manufactured housing provides a place for the people who support the town to live,” she said. “It’s something we really need to think about how we’re protecting this class of housing because if people can’t live here, where are they going to go?”
New home values mailed out
Marsh said letters containing the preliminary assessed values were mailed to property owners on Aug. 1.
Valuation books are available for public viewing at the town assessing office, town office and on the town website. You can also view preliminary assessed values and property details online athttps://gis.vgsi.com/exeternh/.
Those with questions or who feel their assessment does not reflect true market value can schedule an informal review with an MRI staff member by calling 1-603-279-0352, ext. 404, Monday through Friday from 9 a.m. to 4 p.m.
The deadline to request an informal hearing is Aug. 26.
Further instructions on how to schedule an appointment – in person, by phone, or in writing – are included in the preliminary assessment mailing, as is other valuable information about the revaluation process.
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