 (1) (1).png)
News:
Northern New England
Posted: February 7, 2025
February 2025 NH CIBOR president’s message: Keep your eyes on the housing market
Happy February!!!
NAR and NHAR existing home sales statistics for December 2024 were recently released. Did you take a peek at November’s report? There are some interesting statistics in the report.
How, you may ask, does that correlate with commercial real estate (CRE) transactions? Here are my thoughts:
According to many industry and economic sources, New Hampshire continues to be one of the fastest-growing economies in the nation. This has led to a huge housing shortage. According to the report New Hampshire currently has a shortage of 23,500 housing units with a projection of 90,000 units by 2040 if the trend continues.
This has led to a substantial increase in property values, housing costs (up 50.9% since 2020), and rental rates (up 11.4% year over year since 2020).
The influx of population into the state has caused a demand for commercial space, specifically in the retail and industrial markets as the growing population expands their businesses, brings their businesses into the state, and cause demand for more personal care and retail providers, thus, affecting our CRE business.
So let’s keep our eyes on that housing market and set goals to give the best and most professional CRE service we can.
On another note: Recently I listened to an episode of the Freak- onomics podcast. The subject was real estate commissions and the new regulations that came out of the lawsuit. Kevin Sears, 2024 NAR president, gave some brief insights. More importantly, three economists also gave opinions, including NAR’s Lawrence Yun. Listen to the podcast if you have a chance! I gained much food for thought regarding what direction this might we, as Realtors, want to position ourselves.
Meanwhile, spring is six weeks away!! Stay warm, safe, and be kind to yourself and each other!
Kathy DeMello is the 2025 president of the N.H. Commercial Investment Board of Realtors, Bedford and is a Realtor - commercial specialist with Coldwell Banker Commercial Realty, Nashua, NH.
Tags:
Northern New England
MORE FROM Northern New England
Reveler Development celebrates final phase of work at The Levee - new 51-unit apartment building in Biddeford
Biddeford, ME Reveler Development has begun construction on 10 Upper Falls Rd., the fourth and final phase of Reveler’s master-planned development in downtown,The Levee. “We’re thrilled to embark on this major milestone at The Levee,” said John Laliberte, CEO of Reveler
.png)
Quick Hits
.png)
Columns and Thought Leadership
Residential is here to untie the office space doom loop - by Thomas House
The glut of unused (and to the owners, undervalued) office space because of the advent of work from home is in the process of becoming homes themselves. Though this is an officially supported trend in Boston and other northeast locations, the conversion
Maine multifamily outlook: Opportunities in Portland, Bangor, and Lewiston-Auburn - Blake Wright and Kristie Russell
The multifamily market in Maine’s major cities presents a diverse range of opportunities for investors. We looked at the potential benefits and unique characteristics of three major submarkets in the state: Portland, Bangor, and Lewiston-Auburn. The information below is based on research done in CoStar and county registries, and focuses on multifamily properties that have four or more units.
Interest rates and inflation - by Matthew Bacon
As we all know, interest rates have been changing drastically, with movement in both directions, depending on the type and term of financing. The Federal Open Market Committee has taken drastic action in efforts to curb abnormally high inflation, but it hasn’t controlled labor cost growth to the extent that was intended.
The Greater Portland industrial mid-year market update - by Nate Roop
The industrial market in Maine remains robust, characterized by historically low vacancy rates. As of early 2024, the vacancy rate across the state is below 2%, indicating a continued imbalance between supply and demand. This tight market environment has kept lease rates strong, with many landlords in a favorable position. Asking rates are trending around $10.50 per s/f for