Another year has flown quickly by, and it’s time to share with you the Summary of New London Sales for 2011. Note, that in order to include non-MLS transactions, we draw statistics from The Registry Review, as well as MLS. There is some good news in the market’s performance of 2011: condominium sales began a nice recovery, including 4 sales at The Seasons; the number of waterfront/access property sales increased; and total transaction numbers actually eked up about 4.5%. MLS stats for condo and residential sales show an increase from 60 to 73, and an increase in the listing to selling ratio from 90% to 92%. The average days on the market increased from 178 to 206, however, I believe this is a function of older inventory selling. Conversely, more homes sold for <$300,000 in 2011 (26), than in 2010 (16), creating a drop in average price; and total dollar volume inched further downward, despite the increase in number of sales. While this marks the 5th straight year of the decline of total dollar volume since the highs of 2006, it is telling to note that, after the first big drops of 2007-2008, the subsequent decreases have not been dramatic. A couple more sales in the over $300,000+ range, and these decreases could have been washed out. It is also the case that one or two large sales can skew the market. Therefore, I have not included the sale of a single family home for $2,450,000 or the $15,000,000+ commercial sale of the New London Shopping Center. My optimism that 2011 would be the year of change didn’t prove true. There were signs, but just not enough momentum. I do believe 2011 will be the last year of the downward trend. Many forecasting services are predicting constant or rising home prices in 2012. Nationally, buyer and seller traffic was up in late November and December (we were really busy!), which is also a very good sign. The commitment to keeping interest rates low seems to be there. I do believe that, if the news continues to be good, and buyers have reason to feel more confident, many of them, who have been sitting on the sidelines waiting for the “right” moment, will chose to buy a home in 2012. Coldwell Banker Milestone had a very successful and productive year in 2011, proving that our consistent performance continues to yield good results for our buyers and sellers. As always, your referrals are gratefully received, and you can be assured that “The Best Team in Town” will deliver extraordinary service and results. 2011 New London Stats Summary. Marilyn Kidder is Broker/Owner of Coldwell Banker Milestone Real Estate. Feel free to give her a call for professional advice on any of your real estate needs - 603-526-4116.
New Hampshire was home to a 2 percent increase in residential unit sales in 2011, while the median price of those homes fell by 6 percent, according to data released by the New Hampshire Association of REALTORS.
There were 10,714 residential unit sales in 2011, following 10,529 sales in 2010. The year‐over‐year increase was, in part, fueled by an 8 percent jump in December 2011 (923 sales), compared to 2010 (855). The median price of New Hampshire residential home sales, meanwhile, dropped from $215,000 in 2010 to 201,700 in 2011.
“We’re certainly seeing stabilization in terms of the number of sales,” said NHAR President John Rice, a 40‐year veteran of the real estate industry and an agent with Tate & Foss Sotheby’s International in Portsmouth. “On the price side, we have a continued inventory issue. With so many homes available in most New Hampshire markets, buyers are still able to be very selective, and many are reluctant to buy if the price isn’t just right.”
The standard for evaluating inventory is “months supply,” meaning the length of time it would take to sell off the current inventory based on the number of sales in the prior month. Typically, six to eight months is considered a balanced market, while less than that constitutes a sellers’ market and more is indicative of a buyers’ market.
There is currently an 11‐month supply of housing inventory in New Hampshire. “It’s been as high as 21 months supply within the last two years,” Rice said. “We’re generally trending in the right direction, but we still have a gap between where we are and a balanced market.”
In local markets, December unit sales increased in eight of the state’s 10 counties, including an 8.5 percent jump in Hillsborough County, the state’s largest. Median price fell in all but three counties, Cheshire (22 percent increase), Belknap (22 percent) and Coos (4 percent).
December 2011 data residential
As for condominium sales in New Hampshire, there was a 3 percent drop in unit sales from 2010 (2,635) to 2011 (2,549), while the price of those sales fell 6 percent, from $165,000 in 2010 to $155,000 in 2011.
Source: Dave Cummings, New Hampshire Association of REALTORS® Director of Communications
After four consecutive months of steady residential sales gains in New Hampshire, November unit sales saw a slight decline compared to the same month a year ago, according to data released this week by the New Hampshire Association of REALTORS (NHAR). The median price of those homes, meanwhile, decreased by 4 percent in November. There were 822 homes sold in November 2011, 2.5 percent behind the 843 sold in November 2010. That came following jumps of 29 percent, 14 percent, 13 percent and 14 percent in the four months prior. Year to date sales for this year, meanwhile, were 1.2 percent above those through the first 11 months of 2010: 9,790 compared to 9,674. “We would expect to end 2011 a shade ahead of 2010 in terms of the number of residential homes sold,” said NHAR President Tom Riley, a 35-year veteran of the real estate industry and president of Riley Enterprises in Bedford. “This supports our contention that while we are not making huge gains, there seems to be a stabilization underway that we hope speaks to the early stages of a slow recovery, both in the New Hampshire housing market and the broader economy.” The state’s November residential median price dropped from $202,000 in 2010 to $193,450 in 2011. Year to date, the $203,000 median sale price in 2011 is 6 percent below the $215,000 through November of 2010. In local markets, November unit sales increased in five of the state’s 10 counties: 30 percent in Cheshire, 15 percent in Carroll, 14 percent in Belknap, 10 percent in Sullivan and 3 percent in Rockingham. New Hampshire’s largest county, Hillsborough, saw just a 0.5 percent November vs. November decline. Median price fell in all counties other than Rockingham, which saw a dramatic increase in November compared to a year ago: a 52 percent jump, from $159,900 in November 2010 to $242,500 in November 2011. November 2011 data residential As for the number of November condominium sales in New Hampshire, there was a slight increase from 2010 (187) to 2011 (189), while the median price of those sales increased 4 percent, from $160,000 to $166,000. November 2011 data condoSource: Dave Cummings, NHAR Director of Communications
New Hampshire REALTORS sold 14 percent more homes in October 2011 than in the same period a year ago, marking the fourth consecutive month that unit sales were ahead over the previous year, according to data released by the New Hampshire Association of REALTORS (NHAR). The median price of those homes, meanwhile, decreased by 7 percent in October and are behind year‐to‐date prices of 2010 by 5 percent.
There were 934 residential homes sold in October 2011, a 14 percent increase over the 820 sold in October 2010. That came following jumps of 29 percent, 14 percent and 13 percent in the three months prior. Year to date sales for this year, meanwhile, were 1.5 percent above those through the first 10 months of 2010: 8,960 compared to 8,830.
“There is still too much economic uncertainty to call this a recovery, but we’re certainly beginning to move in the right direction,” said NHAR President Tom Riley, a 35‐year veteran of the real estate industry and president of Riley Enterprises in Bedford. “We would characterize this as the early stages of a gradual stabilization.”
October median price homes dropped from $205,000 in 2010 to $190,000 in 2011. Year to date, the $205,000 median sale price in 2011 is 5 percent below the $215,950 through October of 2010. In local markets, October unit sales increased in seven of 10 counties, while Carroll, Coos and Sullivan counties saw median price increases. October 2011 data residential
As for October condominium sales, there was an almost identical number of statewide sales in 2010 (206) and 2011 (207), while at $169,000 the 2011 median price was 5.7 percent ahead of the$159,900 median price of October 2010. October 2011 data condo
Home sales activity and median price in New Hampshire dipped in March, compared to March 2010, leaving first quarter unit sales practically even with the first quarter of last year, while median price for the first quarter dropped nearly 5 percent from the same period 2010.
Realtors in the Granite State sold 1,892 homes in the first quarter of 2011, compared with 1,891 in 2010, according to data released this week by the New Hampshire Association of Realtors (NHAR). Median price, meanwhile, dropped from $207,000 in the first quarter 2010 to $197,000 in the first quarter 2011, NHAR reported.
“We still have yet to find any clear trend line,” said NHAR President Tom Riley, a 35‐year veteran of the real estate industry and president of Riley Enterprises in Bedford. “Overall, it still appears to be a market that is stabilizing, but we’re certainly in no position to make any bold predictions about a timetable for the recovery.”
Riley noted that the March sales decrease followed two consecutive months of increases, and he said the data is still reflective of a particularly difficult winter selling season in New Hampshire.
“Eventually, we expect to find a clear pattern to the market,” Riley said, “but we haven’t found it yet.” In terms of local markets, six of the state’s 10 counties saw unit sales increases in the first quarter compared to the same period a year ago, including upticks in New Hampshire’s three largest – Hillsborough, Rockingham and Merrimack.
Meanwhile, only Sullivan County and Carroll County showed median price increases.
Click here for March 2011 data residential.
Click here for March 2011 data condo.
Riley continued to assert that the unprecedented buyers’ market – low interest rates, low prices and high inventory – remains ripe for increased activity in the coming months. “The bright spot in this challenging economic picture is the chance for those who in the past have been priced out of the market to now get in,” he said. “I don’t remember a better opportunity for buyers.”
Press Release: NH Association of REALTORS®, Dave Cummings, NHAR Director of Communications
Sales of existing-home sales rose in March, continuing an uneven recovery that began after sales bottomed last July, according to the National Association of Realtors®. Existing home sales which do include condominiums and co-ops, increased 3.7 percent to a seasonally adjusted annual rate of 5.10 million in March from an upwardly revised 4.92 million in February, but are 6.3 percent below the 5.44 million pace in March 2010. Sales were at elevated levels from March through June of 2010 in response to the home buyer tax credit. Lawrence Yun, NAR chief economist, expects the improving sales pattern to continue. “Existing-home sales have risen in six of the past eight months, so we’re clearly on a recovery path,” he said. “With rising jobs and excellent affordability conditions, we project moderate improvements into 2012, but not every month will show a gain – primarily because some buyers are finding it too difficult to obtain a mortgage. For those fortunate enough to qualify for financing, monthly mortgage payments as a percent of income have been at record lows.” NAR’s housing affordability index shows the typical monthly mortgage principal and interest payment for the purchase of a median-priced existing home is only 13 percent of gross household income, the lowest since records began in 1970. “Although home sales are coming back without a federal stimulus, sales would be notably stronger if mortgage lending would return to the normal, safe standards that were in place a decade ago – before the loose lending practices that created the unprecedented boom and bust cycle,” Yun explained. “Given that FHA and VA government-backed loan programs turned a modest profit over to the U.S. Treasury last year, and have never required a taxpayer bailout, we believe low down-payment loans should continue to be available for those consumers who have demonstrated financial responsibility and are willing to stay well within their budget. Raising the downpayment requirement would unnecessarily deny credit to many worthy middle-class families and veterans,” Yun said. The national median existing-home price for all housing types was $159,600 in March, down 5.9 percent from March 2010. Distressed homes – typically sold at discounts in the vicinity of 20 percent – accounted for a 40 percent market share in March, up from 39 percent in February and 35 percent in March 2010. NAR President Ron Phipps, broker-president of Phipps Realty in Warwick, R.I., said some renters are looking to home ownership as a hedge against inflation. “The typical buyer today plans to stay in a home for 10 years, while rents are projected to rise at faster rates over the next few years,” he said. “As buyers gain more financial security, the advantages of home ownership become more obvious. Rents will continue to trend up, especially in comparison with a fixed-rate loan which provides financial stability and gradual accumulation of equity over time.” Total housing inventory at the end of March rose 1.5 percent to 3.55 million existing homes available for sale, which represents an 8.4-month supply at the current sales pace, compared with a 8.5-month supply in February. Single-family home sales rose 4.0 percent to a seasonally adjusted annual rate of 4.45 million in March from 4.28 million in February, but are 6.5 percent below the 4.76 million level in March 2010. The median existing single-family home price was $160,500 in March, down 5.3 percent from a year ago. Regionally, existing-home sales in the Northeast rose 3.9 percent to an annual level of 800,000 in March but are 12.1 percent below March 2010. The median price in the Northeast was $232,900, down 3.0 percent from a year ago. The National Association of Realtors®, “The Voice for Real Estate,” is America’s largest trade association, representing 1.1 million members involved in all aspects of the residential and commercial real estate industries. Source: The National Association of Realtors, Washington, DC, April 20, 2011
The real estate news isn’t all grim for February. Remember, real estate is very much local! Yesterday the New Hampshire Union Leader reported that homes sales in our Granite State increased 7.4% in February, contrasting sharply with the National Association of REALTORS® announcement the other day that existing home sales had dropped 9.6% nationally. The median selling price of homes did fall 7.5% for the month, however. The New Hampshire Association of Realtors news release pointed out that year-to-date sales for January and February were 5% ahead of last year’s. Seven of the state’s ten counties saw numbers of sales increase in February. NHAR President Tom Riley said, “I don’t think it’s a stretch to say that the housing market appears to be stabilizing.”
So, remember, check with your local REALTOR® for your area’s statistics. Don’t assume that a glum report nationally accurately reflects the activity in your area!
Home sales activity in the Granite State saw a February increase of 7.4 percent compared to February 2010, according to data released recently by the New Hampshire Association of Realtors (NHAR). The median price for statewide home sales, meanwhile, fell 7.5 percent for the month, from $200,000 in February 2010 to $185,000 in February 2011. Year to date (January and February), unit sales are ahead of last year’s pace by 5 percent, while median price for that period is down almost 4 percent. “We’re not ready to jump to the conclusion that this is a trend,” said NHAR President Tom Riley, a 35‐year veteran of the real estate industry and president of Riley Enterprises in Bedford. “But I don’t think it’s a stretch to say that the housing market appears to be stabilizing, and that’s great news.” Riley pointed to the fact that despite a difficult winter for home sales, this is the second consecutive year that both January and February activity has increased. The last time both January and February showed unit sales gains for two straight years was 2000‐01 and 2001‐02. In terms of local markets, seven of the state’s 10 counties saw unit sales increases in February compared to a year ago, including a 61 percent jump in Carroll County, 42 percent in Coos County and 38 percent in Belknap County. The state’s largest county, Hillsborough, witnessed a 3.6 percent unit sales increase. Median price, meanwhile, saw increases in four of 10 counties. Click here for February 2011 data residentialClick here for February 2011 data condo With inventory still relatively high, interest rates low and prices competitive, Riley said the market remains ripe for strong sales activity. “There are incredible opportunities for buyers right now,” he said. “It wouldn’t surprise me to see activity continue at a strong pace.” Source: Press Release from Dave Cummings, NHAR Director of Communications
For the third month in a row, there has been an increase in sales of existing homes (which include single-family, condominium, townhomes and co-ops). For the first time in seven months, the sales activity has outpaced that of a year ago at 5.3% above the 5.09 million level in January of 2010. “The uptrend in home sales is consistent with improvements in the economy and jobs, which are helping boost consumer confidence,” said Lawrence Yun, NAR chief economist. “The extremely favorable housing affordability conditions are a big factor, but buyers have been constrained by unnecessarily tight credit. As a result, there are abnormally high levels of all-cash purchases, along with rising investor activity.” Yun added, “Increases in all-cash transactions, the investor market share and distressed home sales all go hand-in-hand. With tight credit standards, it’s not surprising to see so much activity where cash is king and investors are taking advantage of conditions to purchase undervalued homes.” Prices, however, were still down with the national median existing-home price for all housing types at $158,800 for January, down 3.7% from the same time last year. NAR President Ron Phipps, broker-president of Phipps Realty in Warwick, R.I., said the median price is being dampened by unusual market factors. “Unprecedented levels of all-cash purchases, primarily of distressed homes sold at deep discounts, undoubtedly pulls the median price downward,” Phipps said. “Given the levels of inventory we see today, we believe that traditional homes in good condition have held their value.” With 3.38 million existing homes available for sale, total housing inventory represents a 7.6-month supply at the current sales pace, down from an 8.2-month supply in December. This is the lowest level since December 2009 when there was a 7.3-month supply. Regionally, existing-home sales in the Northeast fell 4.6% to an annual pace of 830,000 in January from a spike in December and are 1.2% below January 2010. The median price in the Northeast was $236,500, which is 4.0% below a year ago. Source: National Association of REALTORS®
As reported in the REAL Trends Update #1275 on February 1st, the number of properties going under contract nationally continue to increase. Through December, the numbers have gone up in five of the last six months (although this past December was 4% below a year ago). The fact that the contract activity is fairly steady indicates that the sales volume is approaching a “sustainable, healthy volume” in the range of 5.5 million sales. The media reporting of the reality of “modest gains” in the job market and other indications of an improving economy are giving consumers some confidence to seriously pursue the purchase of a home. The housing affordability conditions continue to be excellent for those active buyers, as there is still a great selection in inventory, sellers are motivated, and interest rates are still very appealing (and expected to rise only modestly over the first quarter and into the second). The article further reports that buyers shouldn’t expect to see continuing falling prices in all areas, as the median existing home price actually rose 0.3% in 2010. Predictions are for a flat or slight rise in this median selling price over 2011. The expectation is that home sales will rise about 8% to 5.3 million which brings it closer to what is considered a healthy, sustainable level of about 5.5 million.