Housing

You don't have to be rich, but it helps.

The demand for housing in the Upper Valley has never been greater: low interest rates, an incoming wave of professionals, a booming economy and low unemployment have pushed prices to new heights. Yet there is some good news for potential home buyers: the go-go market of the past two years is showing signs of cooling, albeit slightly. Realtor Bob McLaughry '44 reports that his company, McLaughry Associates, went into the summer's selling season with a significantly larger inventory than in 1987, and selling prices have leveled off except for the most expensive homes.

Nonetheless, brokers feel that 1988 is still in the seller's corner. The battle is especially fierce in the increasingly scarce $70,000 to $125,000 bracket. The Multiple Listing Service reports that the 1987 average sale price of a three-bedroom house in Hanover was $170,409. Four-bedroom houses went for $208,794 and vacant lots brought $40,415. In Norwich, the prices were a bit lower: $135,117 for three bedrooms and $193,846 for four. But these are averages. In the "up-scale" market, the segment typically associated with alumni retirees, the average home in Hanover goes for $250,000, according to Hanover realtor Roger Clarkson '75.

Realtors say these prices come as a surprise to many alumni. "People arrive thinking they are coming up to the boonies to get a good buy," Clarkson says. "If they are from Washington, D.C., or Connecticut, they usually think the prices are reasonable, but if they are from somewhere like Texas, they get a pretty good price shock."

If price is more important than a Hanover address, outlying communities provide housing alternatives. Fifteen or 20 minutes from campus, prices drop off rapidly. According to 1987 figures, a three-bedroom house cost $102,000 in Sharon, Vermont; $137,166 in Thetford, Vermont; and $104,083 in Cornish, New Hampshire.

The upscale buyer does not have to be limited to houses, according to Benjamin Schore, a Tuck professor who teaches courses in real estate. An increasing number of condominiums are coming onto the Hanover market. A new luxury project to be built in town by Northland Associates is aimed at the older, wealthier customer, notes company spokesperson Lynne Pderson. Score thinks the most luxurious could fetch more than $300,000.

Condominiums also serve the other end of the market. "Anyone interested in living near campus and not willing to spend over $150,000 will probably end up in a condominium," says Roger Clarkson. Condos in Hanover sold for an average of $132,000 in 1987.