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961 Whittier Highway
(Rte 25)
Moultonboro, New Hampshire 03254
Office Phone:
603-476-5911
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603-476-5944 |
"Your Realtors For Life!"
Brian and Kiera Russell
REALTORS/Broker
Owners
603-455-9556
603-455-0956 |
We are committed to Client Satisfaction, and we will give you 200% And as one of the Lakes Region's only Miracle Offices, we donate a portion of every commission we earn to the Children's Miracle Network!
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The New Hampshire Advantage -by Peter Francese
REALTORS® must not have many friends at the Federal Reserve. Despite a fresh face at the top our central bank raised the fed funds rate by another quarter point and stated with uncharacteristic clarity that they were not done yet.
The result is that a home buyer purchasing the average single family home sold in New Hampshire may have to pay as much as $200 more per month in mortgage payments or nearly $3,000 in points at closing. As a result more home buyers across this region will be trying to find homes that cost less to compensate for the higher cost of borrowing money.
Also, any reasonably well-informed home buyer in New Hampshire this spring has to be concerned that if interest rates keep rising maybe that will negatively affect the future value of their home. Considering some of the lofty prices paid last year for homes in the Boston area, this is a very reasonable fear.
But a home buyer in New Hampshire has less to worry about regarding the near-term future value of their home. One reason is that at the present time there are more types of potential home buyers than in many other states.
People often buy a home New Hampshire because they have a job here, as happens in every state. But quite a few folks looking for a home here have a job in a nearby state to which they will commute on a daily
basis. Other reasons people buy a home here include wanting to retire here or wishing to own a second home that they can use seasonally or in their leisure time.
Multiple reasons for wanting to own a home here means more potential buyers for each one. Among the explanations for this is New Hampshire 's high status among the 50 states in various measures of well-being. The Census Bureau, for example, ranks New Hampshire at the top in terms of median household income. But the Bureau also ranks us near the bottom (48 th ) in terms of per capita state taxes.
The chart below shows how New Hampshire measures up against the other New England states in terms of state taxes as a percent of median household income.
Vermont ranks first in the nation in terms of per capita state taxes and because it has so few year-round households, state taxes are a high percentage of income.
The chart below is a cautionary tale. Part of the New Hampshire advantage is that its residents pay half as much of their income in state taxes as other New England states. But that means a far greater reliance on property taxes in each town or city.
This worked to our advantage as long as young people kept moving here and refreshing our workforce. But in recent years that youthful in-migration has reversed and a rising percentage of our homeowners are at or near retirement age.
According to the Census Bureau nearly 40% of New Hampshire homeowners are 55 years old or older. By comparison that percentage is 44% in Maine and 43% in Vermont , which are the first and second oldest states in the nation in terms of median age.
Because property taxes become increasingly burdensome to older homeowners, as their income often shrinks, it is imperative that a reasonable balance be maintained between the number and proportion of young, middle-aged and older homeowners.
Demographic balance may seem like an esoteric geek demographer's term to someone in the business of selling real estate. But our neighbor states probably wish they had paid more attention to it. The New York Times had a sad article about Vermont on March 4th titled ”Vermont losing prized resource as young depart”.
Maintaining the New Hampshire advantage means building homes for people of all ages, not excluding them with age restricted housing or growth moratoriums.
Towns that reduce or eliminate the ability of young adults to buy their first home are diminishing the New Hampshire advantage and bringing us closer to the day when a depressing article like the one about Vermont gets written about us.
The advantage of having a multiplicity of buyers here in New Hampshire is not a permanent condition. It must be maintained through the extremely hard work of convincing planning boards that allowing homes to be built for people of all ages will be beneficial for them and for the future well-being of our state.
Generation X: The New Kids on the Block
by
Phillip A. Greenberg
For a
generation that was tagged as worthless, Generation X’ers are quickly
becoming real estate’s biggest investment. More importantly, X’ers are
moving in and making themselves at home—right next door to you.
Let’s face the facts, as the rest of the nation starts to age, more and
more of the mouse-clicking, double mocha latte drinking X’ers will mosh
into traditional housing establishments once reserved exclusively for
older buyers. But there’s no need to grimace, this is positive news for
everyone: The value of your home will likely increase from the demand.
You can’t blame the X’ers, these are good days to buy a home. And as
interest rates, inflation, and the housing boom remain steady, it’s likely
you will see an increasing amount of them around the block. But there’s
more to this trend than just good times at the Fed.
According to a recent survey by Harvard University’s Joint Center for
Housing Studies, Generation X’ers can now afford to buy homes that other
generations couldn’t when they were the same age. There are several
reasons for this change. Gen X’ers are highly educated, technologically
savvy, and well-informed consumers. For Gen X’ers, shopping is about
convenience, speed, and selection. The home buying process is the same:
they know what to look for and how to shop for it. Gen X’ers are also
willing to pay for it. X’ers have a higher ratio of two-income households
than previous generations, thus increasing their purchasing power.
But fear not Mr. and Mrs. homeowner, these Web-rebels are not going to run
wild and stomp on your prize-winning perennials. Some time has passed
since the days when Generation X was labeled an official plague to
American values and society. Today, Generation X has proven that it’s a
very stable and formidable economic force. This notion is reinforced by a
recent survey from Murray Consulting/Harris Interactive that studied X’ers
increasing influence as consumers.
Homeowners can also take comfort knowing that Gen X’ers aren’t as
rambunctious—or young—as they used to be. In fact, most X’ers are in their
early-to-mid thirties, and some are even near their forties. You could
even say they are starting to “settle” down; they just don’t know it yet.
Like any change, it may be hard to adjust to the younger faces around your
neighborhood. But don’t let any preconceived notions make you put the For
Sale sign up. All generations have unique insights and valuable lessons to
learn from each other. Go out and meet your Gen X’ers, it’s the neighborly
thing to do.
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