February 16, 2025
By, Scott MacFarland
For many, the answer is no. Affordability is what is currently stalling the NH housing market. Inventory is low because people cannot afford to move. Inventory for sale right now in NH is ONLY 1.5 months for Single-Family Homes & 1.7 months for Condos. Inventory stats like this mean that it would take 1.5 months for all single-family home inventory on the market today to sell out. It is still a strong sellers’ market right now. For reference, a balanced market is 6 months worth of inventory.
Affordability is stymieing housing supply. As I stated earlier, people cannot afford to move, so they are staying put in their current home. The current affordability index number for single-family homes in NH sits at 59. An affordability index compares median income to median homes prices & mortgage costs. An affordability score of 59 means that only 59% of NH households can afford to buy a median priced home. Today’s median priced home in NH is $502,500, an increase of 12.9% versus this time last year. A healthy affordability index would be 100 or more, as it was just a few years ago.
With all of that said, there are still more buyers in the market than sellers. We are still seeing bidding wars, contingency waivers & other aggressive provisions being proposed by buyers to win a home. As a buyer, you have to be quick & prepared to put your best foot forward when making an offer on a home.
Source: www.nhar.org