As noted last month in Anthony’s Predictions for 2025, “2024 will go down in history as the bottom of this down cycle.” While there were year-over-year increases across all categories, the gains were modest, falling short of the larger improvements many had hoped for.
In 2024, the New Hampshire real estate market experienced slightly more sales and higher prices compared to 2023, aligning with national trends fueled by strong demand and constrained inventory. Many sellers hesitated to list due to low pre-pandemic mortgage rates, but necessity and life changes drove increased activity, making competitive pricing critical. Buyers remained persistent despite affordability challenges posed by rising rates, inflation, and rising home prices. The market initially favored sellers at the start of the year but later saw a surge in activity that benefited buyers. A rebound is anticipated in 2025. Despite the higher costs, homeownership continued to offer long-term value, with benefits like fixed payments, equity growth, and tax advantages reinforcing its appeal over renting.
This report breaks down sales, average prices, the number of active listings, and how many listings went under contract for 2024 compared to 2023 and discusses what is predicted to unfold in 2024.
Sales Rise by 4%
Sales in New Hampshire increased from 16,317 in 2023 to 16,968 at the end of 2024– 651 more sales year over year. Buyers are gradually adjusting to current interest rates, as they should, given that significant changes in affordability are unlikely in the near future. Those facing life changes proceeded with their plans to buy, while many who had been waiting for a market shift grew tired of holding off and decided to make their move.
Sales were up in all three categories:
- Single family sales up by 3.3%: 12,007 in 2024 from 11,625 in 2023
- Condo sales up by 4.7%: 4,020 in 2024 from 3,839 in 2023
- Multi-family sales up by 10.3%: 941 in 2024 from 853 in 2023
Below is a graph that illustrates home sales per year since 2005. 2024 was the first growth year since 2020.
Monthly sales were down only two times this past year over the previous year. Sales failed to beat the same month the previous year in June and November. Though there were more increases than not, we aren’t even close to the frenzy we saw in the post-Covid market.
Average Prices Increase by 9%
Prices in 2024 increased over 2023 by $47,880 with 2024 at $579,478 compared to $531,598 in 2023. Despite affordability challenges, prices keep rising as limited inventory fuels competition among motivated buyers, frequently resulting in multiple offers and driving sales prices higher.
Prices increased in all three categories:
- Single family prices increased by 8.7%: $612,793 in 2024 from $563,927 in 2023
- Condo prices increased by 7.2%: $476,536 in 2024 from $444,514 in 2023
- Multi-family prices increased by 23%: $594,161 in 2024 from $482,940 in 2023
In the bar chart below, you’ll notice that 2024 recorded the highest average prices since 2008—and in fact, the highest ever. As long as inventory remains limited and buyers continue to compete for available homes, prices are expected to stay strong.
Monthly prices in 2024 were higher than in 2023 every month. It’s remarkable to see the increase since COVID, especially when you compare the green line for 2020 with the purple line for 2024.
Average prices rose in every New Hampshire county with increases ranging from 6.6% to 12.8% except Carroll County which dropped 5.7%. This illustrates that demand is widespread across the state. Additionally, it highlights a trend of people moving further from the city as most counties are experiencing significant price increases.
2024 Listings Rise for the First Time Since 2015
After years of declining home listings, with 2023 marking the lowest number of new listings since 1994, 2024 saw a 6.5% increase in listings. Many sellers had hesitated to list, holding onto their pandemic-era mortgage rates. However, at a certain point, many decided it was time to move on, leading to a surge in new listings. While we’re still not back to the pre-pandemic level of between 25,000 and 30,000 homes listed annually in New Hampshire, the current figure of approximately 20,000 is a positive sign. This gradual increase suggests that 2025 could bring more inventory, offering buyers more options.
Pending Sales Increased 3.4%
2023 ended with the lowest number of pending sales since 2000, primarily due to a lack of supply rather than demand. Fortunately, 2024 saw a 3.4% increase in pending sales, contributing to a rise in closed sales. The year concluded with 18,697 pending sales, up from 18,063 in 2023.
New Hampshire Housing Inventory Struggled in 2024
We can see 2024 inventory increased every month over 2023 which was a great sign for buyers.
It’s really telling to see where current inventory is falling when you compare it to the years prior to 2020. Those years hovered around 5,500 – 7,700 range where the past few years we have seen levels as low as 1,700, the lowest being under 1,500 in February of 2022.
Will the 2025 Real Estate Market Improve?
In 2025, the New Hampshire housing market is projected to experience moderate growth, with home prices rising at a slower rate than in recent years. The National Association of REALTORS® forecasts a nationwide 2% increase in home prices.
Stabilizing mortgage rates around 6% and a boost in housing inventory are expected to provide better opportunities for buyers, especially those who faced intense competition in 2024. Active buyers need to be proactive and prepared so they’re ready to strike when they find what they want. However, affordability challenges are likely to persist due to the state’s rising property values and cost of living. The rental market is also expected to remain expensive, as rising demand for rental properties outpaces supply, leaving little relief for renters.
For sellers, the market will remain strong but more balanced, requiring realistic pricing to attract buyers in a less competitive environment. Overall, the New Hampshire housing market is set to stabilize, fostering a healthier balance between supply and demand and paving the way for more sustainable growth. As Anthony stated in his 2025 Predictions, “I believe 2025 will mark the beginning of this recovery, with 2026 poised to be a historic year for the industry as sales normalize.”