New Hampshire’s housing market is slowly showing signs of cooling after years of being dominated by sellers, but even with the slowdown, record-high prices continue to put the dream of homeownership out of reach for many.
The last time the market was considered balanced — when the number of homes for sale roughly matched the number of buyers — was back in October 2016.
At that time, the median price for a single-family home was $364,900, according to the New Hampshire Association of Realtors.
The median home price in July fell to $545,000, down from June’s $569,450.
Joanie McIntire, immediate past president of NHAR, said many expect a cooling in the housing market, but prices have yet to reflect it.
“It seems like properties are staying in the market a little bit longer, and maybe they’re not getting as many offers, and maybe they’re not going as far over asking price,” McIntire said. “But it does seem to me and others that if the property is in good condition and a good location and priced appropriately, it will sell pretty quickly and still have multiple offers.”
In July, home prices in Merrimack, Rockingham, Hillsborough, Strafford, Cheshire, and Coos counties rose compared to the previous month. Rockingham was the highest with a median price of $669,000, followed by Hillsborough at $585,500 and Merrimack at $517,500.
Despite the persistent surge in prices, McIntire noted that buyers haven’t disappeared. She’s seeing a mix of demographics from first-time buyers, often younger in their 30s, to older buyers.
“I think the first-time buyers are more prepared than they were,” McIntire said. “They understand that those prices are high, so they’re getting everything in order, getting their finances, or making sure they have their down payment saved up.”
Still, affordability remains a challenge in New Hampshire’s housing market.
While home prices have soared, incomes have not kept pace.
New Hampshire is estimated to be short by about 20,000 housing units, leaving supply far behind demand.
But McIntire said she is hopeful that housing legislation signed this year could help with the low inventory.
A new state law allows property owners in New Hampshire to build detached accessory dwelling units (ADUs) on their land. Previously, ADUs could be denied if they weren’t physically attached to an existing home — limiting flexibility for homeowners looking to add space or create rental opportunities.
Across New Hampshire, many towns are now considering zoning changes that would allow homes to be built on smaller lots — an effort aimed at creating more affordable options for people who work in a community but can’t afford to live there.
McIntire said more people are recognizing how deeply the housing shortage impacts the state— not only on the economy, but also on its ability to keep young people here.
“When young people get on that housing ladder and start to build generational wealth, they spend a lot more in the community,” McIntire said. “They care about the community, and so they grow really strong communities. I think towns are hearing that and starting to make changes, maybe not as quickly as we’d like, but they are.”
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