The positive momentum felt in the New Hampshire housing market during the second half of 2009 continued into January 2010, with the state’s residential home sales ahead of January 2009 by 16.5 percent. This time, there is additional good news on the price side as well, as the median price of residential homes increased by 7.5 percent over the same period last year – the first month-over-month median price increase in 26 months and the largest such jump in 52 months.

According to data released this week by the New Hampshire Association of REALTORS® (NHAR), 529 single family homes sold in January 2010, a substantial gain from the 454 home sales in January 2009. And the median price in that same period was $215,000 this year, compared to $200,000 of a year ago.

The last time home prices showed an increase for a single month over the same period from a year prior was November 2007, and the last time that increase was better than 7.5 percent was September 2005.

“We’re aware that one month cannot be defined a trend, but we’ve expected that the good news in terms of sales would ultimately translate to prices, and we’re hopeful that this is the start of that change,” said NHAR President Monika McGillicuddy, a 25-year veteran of the real estate industry and an agent with Prudential Verani in Londonderry. “This is excellent news all the way around.”

And condominium sales, which had lagged behind the residential numbers throughout much of 2009, were up in number and price as well – with a 41 percent gain in sales and 9.5 percent median price improvement.

McGillicuddy attributed the sales and price increases in part to the continued incentive of the homebuyer tax credit, and generally as a continuing signal that the residential real estate market is experiencing the early stages of the recovery process.

“There are many factors that have gone into

this shift, from the tax credit to excellent interest rates to competitive prices,” McGillicuddy said. “Ultimately, we’re talking about an increase in confidence that I believe is at the core of sustainable momentum in the real estate market.”

The good news filtered to the local markets as well, as a majority of New Hampshire’s 10 counties saw year-end increases in both sales and prices.

“We’ll continue to monitor these numbers closely,” McGillicuddy said, “but from what I see and from what I’m hearing from other Realtors around the state, we’re very encouraged.”

Source: NH Association of REALTORS Press Release 2/16/2010