If you’ve been wondering whether now is the right time to buy a home in Portsmouth, NH, the New Hampshire Seacoast, or Southern Maine, you’re not alone. Many buyers are watching mortgage rates and home prices, hoping for a drop before making a move.
But here’s the reality: Waiting could cost you more in the long run.
Home Prices Are Still Rising – Just at a More Normal Pace
The idea that home prices will drop significantly is more wishful thinking than reality. According to Fannie Mae’s Home Price Expectations Survey, prices are projected to rise through at least 2029.
While we’re no longer seeing extreme price jumps, experts anticipate a steady increase of around 3-4% per year nationwide—and that includes hot markets like Portsmouth, NH, and the New Hampshire Seacoast.
For buyers, this means one thing: The longer you wait, the more expensive homes will become.
What This Means for You
If you’re thinking about buying a home in Portsmouth, NH, Southern Maine, or anywhere along the Seacoast, consider these key points:
Home prices are only going up. A $400,000 home today could increase by more than $83,000 in just five years.
Waiting for a lower mortgage rate may backfire. Even if rates dip slightly, rising home prices could wipe out any potential savings.
Buying now means building equity sooner. Home values are rising, so the sooner you buy, the sooner your investment starts growing.
Why Aren’t Prices Dropping? It’s All About Supply and Demand
Even though we’re seeing more homes on the market than last year, there still aren’t enough to meet buyer demand—and that keeps prices high.
As Redfin puts it:
“Prices will rise at a pace similar to that of the second half of 2024 because we don’t expect there to be enough new inventory to meet demand.”
This is especially true in desirable areas like Portsmouth, NH, and the Seacoast, where inventory remains tight and demand is strong.
Time in the Market Beats Timing the Market
Trying to time the market perfectly can be risky. Real estate rewards those who get in and build equity, rather than those who wait for the “perfect” moment.
Yes, today’s market has challenges, but there are ways to make homeownership work for you:
Exploring different neighborhoods
Considering condos or townhomes
Asking about alternative financing options
Looking into down payment assistance programs
The key? Making a move when it makes sense for you—not waiting for the impossible perfect scenario.
Let’s Find Your Dream Home!
If you’re thinking about buying in Portsmouth, NH, or anywhere along the New Hampshire Seacoast or Southern Maine, let Ann Cummings and Jim Lee—your trusted local real estate experts—help you navigate the market.
Visit NewHampshireMaineRealEstate.com to explore available homes, or call Ann and Jim at 603.436.1221 to start your home search today!
Home prices are only going up. A $400,000 home today could increase by more than $83,000 in just five years.
Ann and Jim at 603.436.1221 to start your home search today!