Are you thinking about buying or selling a home in New Hampshire? The current New Hampshire housing market trends are showing some interesting shifts that you should be aware of. In a nutshell, while the number of homes sold is slightly down, prices for single-family homes have significantly increased, making it a complex market to navigate.
Current New Hampshire Housing Market Trends:
Home Sales
Let's dive right into the numbers. According to the latest data from New Hampshire REALTORS®, Inc. for January 2025:
- Single-family home sales saw a slight decrease of 0.9% compared to January 2024.
- Condo sales also experienced a decrease, falling by 3.4% over the same period.
While these numbers might seem discouraging, it's important to look at the bigger picture. There's more to the story than just the number of homes changing hands.
Here's a table summarizing the closed sales activity for single-family homes and condos over the past year:
| Month | Single Family Sales | Year-Over-Year Change | Condo Sales | Year-Over-Year Change |
|---|---|---|---|---|
| Feb-2024 | 583 | +3.4% | 230 | +13.3% |
| Mar-2024 | 700 | -2.1% | 318 | +12.8% |
| Apr-2024 | 795 | +11.5% | 327 | +17.2% |
| May-2024 | 1,048 | +8.4% | 412 | +25.2% |
| Jun-2024 | 1,218 | -13.4% | 349 | -15.3% |
| Jul-2024 | 1,277 | +10.9% | 376 | +6.5% |
| Aug-2024 | 1,344 | +3.3% | 410 | -3.3% |
| Sep-2024 | 1,189 | +5.9% | 362 | -2.9% |
| Oct-2024 | 1,181 | +8.2% | 377 | +0.5% |
| Nov-2024 | 1,059 | +1.1% | 324 | -5.3% |
| Dec-2024 | 949 | +5.7% | 302 | +3.4% |
| Jan-2025 | 660 | -0.9% | 225 | -3.4% |
| 12-Month Avg | 1,000 | +3.1% | 334 | +3.0% |
Home Prices
Now, let's talk about the price tags. This is where things get more interesting:
- The median sales price for single-family homes in January 2025 soared to $502,500, a 12.9% increase from $445,000 in January 2024. That's a significant jump!
- However, condos saw a slight decrease, with the median sales price dropping to $427,500, a 0.6% decrease from $430,000 in January 2024.
The table below shows how median sales prices have fluctuated over the past year:
| Month | Single Family Median Price | Year-Over-Year Change | Condo Median Price | Year-Over-Year Change |
|---|---|---|---|---|
| Feb-2024 | $475,000 | +11.6% | $377,500 | +10.4% |
| Mar-2024 | $500,000 | +11.6% | $412,250 | +15.0% |
| Apr-2024 | $515,000 | +13.7% | $395,000 | +9.6% |
| May-2024 | $525,000 | +12.9% | $443,500 | +10.9% |
| Jun-2024 | $540,000 | +8.2% | $415,000 | +3.8% |
| Jul-2024 | $530,000 | +10.4% | $406,250 | +5.5% |
| Aug-2024 | $535,000 | +9.2% | $406,089 | +4.1% |
| Sep-2024 | $518,000 | +6.3% | $406,000 | +0.4% |
| Oct-2024 | $505,000 | +5.5% | $430,500 | +7.0% |
| Nov-2024 | $500,000 | +11.1% | $411,000 | -4.2% |
| Dec-2024 | $510,000 | +10.5% | $440,500 | +10.2% |
| Jan-2025 | $502,500 | +12.9% | $427,500 | -0.6% |
| 12-Month Avg | $517,500 | +10.1% | $415,000 | +6.4% |
Are Home Prices Dropping in New Hampshire?
While the median sales price for condos has seen a slight dip, the trend for single-family homes is still upward. It's hard to say definitively that home prices are dropping across the board in New Hampshire. The condo market might be experiencing a slight correction, but single-family homes are still appreciating in value.
Comparison with Current National Median Price
To put things in perspective, let's compare New Hampshire's home prices with the national median. As of January 2025, the national median home price is $396,900, with a year-over-year change of +4.8%.
- New Hampshire's single-family home median price of $502,500 is significantly higher than the national median.
- Even the condo median price of $427,500 is above the national average.
This tells me that New Hampshire is still a relatively expensive place to buy a home compared to the rest of the country, especially if you're looking for a single-family property.
New Hampshire Housing Supply
The number of homes available on the market is a crucial factor in determining whether it's a buyer's or seller's market. Here's what the latest data reveals:
- New listings for single-family homes increased by 15.1% in January 2025 compared to the previous year. Condo listings also saw a slight increase of 3.5%.
- The inventory of homes for sale also increased, with single-family homes up by 12.8% and condos up by 10.4%.
- The months' supply of inventory (how long it would take to sell all the homes on the market at the current sales rate) increased to 1.5 months for single-family homes (up 15.4%) and 1.7 months for condos (up 6.3%).
Is New Hampshire a Buyer's or Seller's Housing Market?
A balanced market typically has around 5-6 months of inventory. With New Hampshire's current supply at around 1.5 months for single-family homes and 1.7 months for condos, it's still leaning towards a seller's market. This means there are more buyers than available homes, giving sellers the upper hand in negotiations.
Market Trends
Several other factors are influencing the New Hampshire real estate market. Here are a few key trends I'm seeing:
- Days on Market Increasing: The average number of days a home stays on the market before an offer is accepted has increased. For single-family homes, it rose by 31.3% to 42 days, and for condos, it increased by 9.4% to 35 days. This suggests that homes are taking slightly longer to sell than they were a year ago.
- Percent of List Price Received Decreasing: Buyers are negotiating a little harder. The percentage of the list price that sellers are receiving has decreased slightly, indicating that bidding wars might be cooling off a bit.
- Affordability Index Declining: The Housing Affordability Index, which measures how affordable homes are based on median income and interest rates, has decreased. This means that homes are becoming less affordable for the average New Hampshire resident.
Impact of High Mortgage Rates
One of the biggest drivers of these trends is the current mortgage rate environment. As of early March 2025, the average 30-year fixed mortgage rate is around 6.5%. This is significantly higher than the rates we saw a few years ago, and it's having a direct impact on buyer demand.
Higher mortgage rates mean that buyers have less purchasing power. They can't afford as much home for the same monthly payment, which is why we're seeing a slight slowdown in sales and an increase in days on market.
While most forecasts predict that mortgage rates will remain at or slightly above this level, even small changes can have a big impact on the housing market.
My Thoughts
I believe the New Hampshire market is currently in a state of transition. The rapid price appreciation we saw during the pandemic is moderating, and the higher interest rate environment is forcing buyers to be more cautious.
However, New Hampshire remains a desirable place to live, with a strong economy, excellent schools, and a high quality of life. These factors will continue to support the housing market in the long term.
In summary, the current New Hampshire housing market trends present a mixed bag. While single-family home prices remain elevated, the condo market shows signs of cooling. Increased inventory and rising days on market suggest a shifting landscape, urging both buyers and sellers to approach transactions with informed strategies. High mortgage rates continue to exert their influence, shaping affordability and buyer behavior.
New Hampshire Housing Market Forecast: What to Expect?
The New Hampshire housing market forecast points towards continued growth, albeit at a potentially slower pace than we've seen in recent years. While predicting the future is impossible, I can give you my insights, blended with the available data, to help you get a clearer picture. Currently, the average home value in New Hampshire is $475,695, showing a 6.2% increase over the past year (on Zillow).
Right now, the New Hampshire real estate market is still relatively competitive. Homes are going under contract in around 16 days, which tells me that there's still solid buyer demand. But let's dive deeper into what the experts are predicting for the near future, and I'll share my thoughts on whether a housing crash is on the horizon.
Home Price Forecast
Let's take a look at Zillow's predictions for some of the major metropolitan areas in New Hampshire. Remember, these are forecasts, and real-world conditions can always change.
New Hampshire Housing Market Predictions 2025 to 2026
| Region | Short-Term Growth Until April 2025 | 1-Year Growth Until January 2026 |
|---|---|---|
| Manchester, NH | 0.9% | 3.3% |
| Concord, NH | 1.3% | 4.3% |
| Keene, NH | 1.4% | 4.8% |
| Laconia, NH | 1.3% | 5.1% |
| Berlin, NH | 2.1% | 6.6% |
Overall Outlook: **Positive** Growth Expected!
As you can see, Zillow is predicting continued growth across the board, though the pace varies by location. Berlin, NH, is expected to see the strongest growth, while Manchester is predicted to experience the slowest increase. I interpret this to mean that areas with more affordable housing, or those that offer unique lifestyle benefits, may see higher demand.
Will Home Prices Drop in New Hampshire?
The million-dollar question! Based on the data and my understanding of the market, a significant drop is unlikely. However, I do anticipate that the rate of price appreciation will continue to moderate. The days of double-digit percentage gains may be behind us, at least for now.
Factors that suggest continued, albeit slower, growth:
- Low Inventory: New Hampshire has struggled with housing inventory for years. This limited supply puts upward pressure on prices.
- Desirable Location: New Hampshire offers a high quality of life, with access to outdoor recreation, good schools, and a relatively low crime rate. This makes it an attractive place to live.
- Strong Economy: A healthy job market in certain regions of the state helps support housing demand.
Will the New Hampshire Housing Market Crash?
In my opinion, a housing market crash is improbable. A crash typically involves a rapid and significant decline in prices, often triggered by factors like overbuilding, risky lending practices, or a major economic downturn. While the market might cool down, a catastrophic collapse seems unlikely given the current conditions.
Looking Ahead: A Possible Forecast for 2026
Predicting the market beyond a year is always a gamble. However, if the trends continue, I would anticipate the New Hampshire housing market to see modest growth in 2026. A healthy 3-5% increase in property values seems reasonable, assuming no major economic shocks occur. Of course, interest rates will play a crucial role. If rates remain elevated, it could further temper demand.
My Advice
- For Buyers: Don't wait for a crash that probably won't happen. Focus on finding a home that meets your needs and budget. Be prepared to negotiate, but don't overpay.
- For Sellers: Price your home competitively, and be realistic about market conditions. Invest in some minor repairs and improvements to make your property stand out.
Ultimately, the best approach is to do your research, consult with local real estate professionals, and make informed decisions based on your individual circumstances.
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