Why Holiday Homes Are Booming in Alabama and New Hampshire

The change – towards small and rural towns – is mainly due to the price and because more middle-class families, not just the rich, are eager to participate in the movement, said Monica Neubauer, a real estate agent and host of a podcast of the National Association of Realtors.

In established markets for vacation homes, such as Jackson Hole, Wyoming or Nantucket, Mass., prices have moved “beyond what normal people can afford,” Ms. Neubauer said. As an alternative, he said, there are more people looking at small towns near state parks or national parks that are affordable and still offer some retreat from city life.

The Escape Home wanted to know which specific locations are the most popular among buyers and potential buyers. So we asked Redfin RDFN,
+ 0.87%,
real estate brokerage with technology, to help us find out. The results are a bit surprising.

Redfin examined micropolitan areas, which the government defines as a county that has at least one city with a population of 10,000 to 50,000, which are often surrounded by even smaller cities or towns.

Redfin also considered rural areas. The company’s economists compiled a list of areas that recorded the largest percentage increase in searches on the Redfin.com website in the fourth quarter of 2020 compared to the same quarter in 2019.

The first location on the list turned out to be Marshall County, Alabama, which includes Lake Guntersville, Alabama’s largest lake with more than 69,000 acres and is home to a booming vacation home market fed by the thriving city. of Huntsville. The area includes Lake Guntersville Resort State Park, located on the banks of the Tennessee River and considered a tourist-style refuge.

The second most striking finding on the list is the number of times New Hampshire locations were presented. In fact, the “Live Free or Die” state seems to capture the hearts, minds, and wallets of a growing number of families seeking change. Of the top twenty locations, six were in New Hampshire, more than any other state.

Redfin also compiled a list of micropolitan areas with the largest number of searches in the fourth quarter. Of the top twenty locations on this list, Washington State predominated with seven locations, but New Hampshire came in second with four locations.

* Percentage changes in page views from the fourth quarter of 2019
Source: Redfin

Why New Hampshire?

Buyers go to New Hampshire for several reasons. The state is one of the least taxed states in the nation. He has no income tax or sales tax. It also has favorable heritage laws, a key issue for wealthy retirees. According to FBI crime statistics, New Hampshire has one of the lowest rates of violent crime. Only two more states, both in New England – Vermont and Maine – had lower crime rates than New Hampshire last year.

Housing prices, of course, are also a consideration. In Cheshire County, where there are several schools and located on the southern border with Massachusetts, the average price of a home was $ 272,000 in December, nearly 24 percent compared to December 2019, according to the New Hampshire Realtors Association. Sales volume increased by 30%.

Redfin data shows that the number of pages viewed on Cheshire grew by 372%, most of the smallest locations in the state.

The new Colorado?

Buyers are also drawn to New Hampshire’s reputation as a place where you can balance work and play, and where recreational activities include boating, skiing, hiking and biking, said Christopher Masiello, Masiello Group CEO in Bedford, NH His real estate brokerage firm last year closed 7,500 home sales transactions; about half were holiday homes.

Masiello says many shoppers moving to New Hampshire want to replicate the outdoor lifestyle often associated with western states, but want to stay on the east coast. This explains why he and others refer to New Hampshire as the “New Colorado” on the east coast.

“New Hampshire and really all of northern New England (New Hampshire, Maine, and Vermont) have lifestyle characteristics similar to those of Colorado,” which is generally considered a popular place to move and is usually mentioned. to the best places to live “.

It may be, but keep in mind that cold air in humid places like the Northeast feel colder than cold air in dry places in western states like Colorado. So you may not spend as much time outdoors as you think. Unless you apply these tax savings to a new hot tub.

This article is reprinted with permission from The Escape Home, a newsletter for second home owners and those who want to be. Subscribe here. © 2021. All rights reserved.