The real estate market is often viewed through the lens of numbers—percentages, sales volumes, and median prices. While these metrics are essential for understanding market trends, they aren’t the sole determinants when making life-changing decisions. The Monday Blueprint aims to provide a nuanced understanding of the New Hampshire real estate market.
This week’s post offers a mid-2023 overview and insights into what these numbers mean for various stakeholders.
The Current Landscape: July and August 2023
The New Hampshire real estate market has shown mixed signals in recent months. While the median sales price in July 2023 was $480,000, a 6.7% increase from the previous year, the sales volume and closed sales have seen a decline. The average days on the market have also increased, indicating a more extended selling period for listed properties.
Implications for First-Time Homebuyers
For first-time homebuyers, the rising median sales price may seem daunting. However, it’s crucial to note the market is expected to remain stable in September. The key is to act decisively and take advantage of mortgage rates if and before the rates climb further.
Implications for Sellers
Despite a decline in sales volume, properties are selling relatively quickly, with an average of 10 days on the market in August. Sellers should consider (if they can) timing their listings to coincide with economic indicators like job market data and GDP estimates, which could influence buyer confidence.
Implications for Real Estate Investors
The New Hampshire market offers a wide range of investment opportunities, from high-end properties listed at $25,000,000 to more affordable options at $10,000. Investors should keep an eye on macroeconomic indicators, as a strong job market and stable GDP could lead to increased property values and higher rental income.
The Market in Context
According to Zillow, U.S. home prices are expected to rise by 6.5% between July 2023 and July 2024. Their bullish prediction, of course, comes right on the heels of their February report that home prices have finally bottomed out. While Zillow’s national trend provides some context, it’s essential to remember that real estate is inherently local. Market conditions can vary significantly between states and even between neighborhoods within the same city.
The Human Element: When Life Dictates the Market
It’s easy to get caught up in market trends and forecasts, but life events often dictate when you need to buy or sell a home. Whether a job change, a growing family, or retirement—significant milestones are usually non-negotiable, making current or guessed-at future market conditions just one factor in your decision-making process.
Understanding the New Hampshire real estate market requires more than just a cursory glance at the numbers. It involves a deep dive into what these metrics mean for you, whether you’re a first-time homebuyer, a seller, or an investor. And while market trends provide valuable insights, they should not overshadow the personal.
