As we start the 2023 market here are a few statistics from the New Hampshire Association of Realtors 2022 year-end report to ponder.
The inventory of single-family homes for sale on a monthly basis in the State of New Hampshire hovered between 1,000 -2,500 units in 2022 as was the case in 2021. By comparison in 2010 homes for sale ranged from 10,000 – 14,000 monthly throughout the year. Closed sales for 2022 are down 15.7% from already low levels of 2021 while median sale price increased 12.5%.
Clearly the State of New Hampshire remains starved for inventory thus the efforts of the Federal Reserve to reign in prices has been muted. The increased interest rates have reduced the number of qualified buyers, yet there are still many well qualified or cash buyers so multiple offers bidding up home prices is still common as we enter 2023.
That said, homes that are not in exceptional condition or have other challenges are currently lingering on the market and prices for these homes are being adjusted downward - unlike 2021-22.
Lawrence Yun, the NAR Chief economist, forecasts a decline in available homes for sale nationwide in 2023 with prices remaining stable. It seems likely this will be the case in our market area with people entrenched in their homes and little new home construction occurring in the region.
If the downward trend in available homes for sale continues 2023 will be another very challenging year for home buyers in the Upper Valley. We are here to help, please contact us when you or someone you know are ready to buy a new home.
Happy & Healthy 2023
Matt & Carol