New Hampshire Snowfall and Real Estate Market Due to Trend Upwards
So it has not been a banner snowfall year to date here in New Hampshire…that just means that spring skiing this year at Loon may be the best it’s ever been!! How’s that for optimism given the realities of Mother Nature so far this year? Given the realities of the real estate market the last five years or so, those of us here in the White Mountains have chosen to maintain our optimism about anything that impacts our livelihoods! The chart below depicts the accumulated snowfall comparison from this year to last year.
Current Year Last Year
Snowfall since July 1 35.8″ 44.6″
Snowfall since Dec. 1 10.1″ 44.6″
Snowfall since Jan. 1 9.5″ 36.5″
Even with the dearth of natural snow, ski conditions at Loon have been awesome this year due to the increased snowmaking capabilities at the mountain. Unfortunately, we are now into February and there is no snow on the ground south of Concord. Experience tells us that if people don’t see snow in their own back yards, they don’t think of skiing, which definitely impacts the number of visitors coming to the area. A few feet of snow in Lincoln-Woodstock and a few inches of snow in the southern New England area before February vacation week and we’ll be able to salvage a decent ski and winter sports season…and then hope to extend the season into March and beyond that, spring skiing in April! According to wildlife experts, this has been a huge winter for home rodent infestations which is usually a prediction for a snowy winter. Maybe that snowy winter may just occur a bit later in the season than usual…we hope!
Now that we’ve identified how to save the ski season, how can we salvage the Loon area real estate market? The chart below depicts the realities of the New Hampshire real estate market over the course of the last five years.
Current Year 2007
Residential Sales 10,700 12,025
Residential Price $201,700 $262,000
Condominium Sales 2549 4200
Condominium Price $155,000 $189,000
How can this trend be improved moving forward into the next five years? To address the vacation home market, consumer confidence simply has to improve. People need to be more comfortable in their jobs and in their futures to optimistically approach the purchase of a second home. Real estate prices are as low as they’ve been in years, and mortgage interest rates are also at historic lows. The only obvious factor holding the market back is confidence.
The primary home market’s improvement is dependent upon a longer term solution. The good news is that New Hampshire does have some economic advantages over other parts of the country. New Hampshire’s unemployment rate is consistently one of the 5 lowest in the country; its median household income remains in the nation’s top 10; personal tax rates are among the lowest in the country; and the state’s crime rate may just be the lowest in the nation. Unfortunately, although New Hampshire is considered one of the best states in the nation to retire to, it is also one of the fastest aging states in the nation. This is not a trend that positively impacts the area’s real estate market. New Hampshire also needs to keep its own younger people and attract out of state youth in order to positively impact the trend in home sales and prices. Young families are the catalyst for an improving housing market. New Hampshire needs to market its economic advantages to a new generation in order for it to maintain those advantages and to positively affect its real estate trends in the coming years.
What’s the best case scenario for both snowfall accumulation and the real estate market based on our inherent optimism? February and March will welcome much needed snow into all of New England. Confident young families will then come up to enjoy Loon’s winter wonderland, love it, and decide to buy vacation homes. Within a couple of years those same young families will decide that they want to raise their families in an economically advantageous state, specifically New Hampshire’s White Mountains region. They will sell their vacation home, purchase a permanent residence, and start a small business. The result…upward trending of our area’s economy and real estate market!
Think Snow…it drives Consumer Confidence!!
Tags: consumer confidence, lincoln-woodstock, loon, loon real estate, New Hampshire, primary residences, property, ski, ski season, snowfall, think snow, vacation homes, weather predictions, white mountains
