CONCORD, NH – Home buyers looking for a cheaper condominium/townhouse option are finding that increasingly tough in New Hampshire as prices climb and inventory doesn’t.
Median sales price for a condo was $405,000, up from $385,000 in August and $345,000 in September 2022, according to the latest report from the New Hampshire Association of Realtors.
Meanwhile, a single-family home cost a median $490,000 in New Hampshire, the same as it was last month, and up $50,000 from what it was a year ago. Median means that half of the homes sold cost more, and half less.
While condos have historically been a good option for those looking to buy, particularly first-time homebuyers, the market is much smaller. The domino effect of lack of inventory for single-family homes is now taking its toll.
The affordability index for condos is at 71, which means that New Hampshire’s median income is 71% of what is needed to buy a median-priced condo (monthly mortgage payment, insurance and taxes). That’s a drop from 89 a year ago. The affordability index for single-family homes remains at an all-time low of 59.
There were 399 new condo listings in New Hampshire in September, a 10.1% decrease from this time last year. There were 517 on the market, compared to 573 in September 2022. Buyers were paying 102.1% over MSP. Inventory was down 9.8% for condo properties, the NHAR reported.
On the single-family home front, closed sales were down 29.7% from September 2022. Homes for sale are spending an average 23 days on the market, as opposed to 20 in August, but the same amount as a year ago. There were 1,474 new listings in September, a slight increase from 1,147 in September 2022. There were 2,003 single-family homes for sale in September, however, down from 2,186 the year before.
The good news is that inventory of single-family homes increased to two months’ worth, for the first time since mid-2020. Condo inventory is at 1.6 months, the same as it was in August, and a slight increase over where it’s been for more than a year.