The local real estate market continues to improve. We continue to see demand in residential housing and investment.
Residential At A glance: (4/1– 7/23) In Dover, the average days on the market (DOM) is 79 days. Portsmouth is averaging just 49 days on the market, (Wow)!. However, in Somersworth and Rochester that number goes up significantly. Somersworth and Rochester are still emerging from the real estate recession. There has been appreciation in these towns but homes typically take longer to sell.
In short, it’s that old saying location, location. If your home is located well you should continue to see gradual price appreciation. Keep an eye on increasing interest rates. We feel there is probably 12 more months of the quantitative easing effect and then interest rates will start to rise significantly. Also, we are finding many first time home buyers are struggling to qualify for loans. The primary reasons for this are student loan debt, strict lending rules, and some banks are starting to factor in the affordable health care act when calculating one’s debt to income.