fbpx

The Impact of Second Homes in the Lakes Region

The docks at South Down Shores in Laconia

As I drive around the Lakes Region during this period of social distancing, I’ve been reflecting on how the second home market has totally shaped the Lakes Region into a very attractive mecca for the entire northeast. Without question, it has created a tremendous positive impact for our entire state. The second homes that have been constructed over the years have generated economic activity and population growth that likely would not have occurred without them.  

I look at the lakes and mountains of New Hampshire and compare it to the Maine coast and Cape Cod, all within hours of populous and prosperous metropolitan areas. All three of these locations offer premier destinations, affluent professionals, and semi-retires seeking a vacation or retire to a slower pace of living amid attractive natural surroundings with ample recreational and cultural opportunities. We’re basically New England’s playground. Where would our towns that comprise the Lakes Region be today without second homes?

Seasonal homes represent approximately 10.4% of all housing units in the state. I believe only Maine and Vermont have higher concentrations of seasonal homes at 16.4% and 15.6%, respectively. The number of seasonal homes has grown steadily over the years with Belknap County, Carrol County, Coos County, and Grafton County, accounting for approximately 70% of the seasonal homes in the state. In Carroll County, approximately 41% of the housing stock involves seasonal homes. Next in line is Belknap County, with 30% of the inventory seasonal homes. 

All you have to do is ride around the lakes in our region and take a trip up to Mount Washington Valley, and you will see the highest concertation of seasonal homes. In Moultonborough, which has 66 miles of shorefront, 60% of all housing units are seasonal homes. In Tuftonboro, the percentage is 53%, and in Alton, it is 45%. Even in Laconia, the Lakes Regions’ largest city, approximately 25% of the housing stock involves seasonal second homes. A large percentage of these homes were built during the go-go 1980s and another very strong wave of new second homes was built between 2000-2010. If you drive up the road to Newfound Lake, approximately 1/3-1/2 of the homes in the four towns bordering the lake are seasonal. 

The construction of second homes in the Lakes Region has had a profound impact on all the municipalities surrounding the lakes where they are most concentrated. The economic impact has been tremendous, the assessed evaluation of these homes has contributed immensely to the total assessed evaluation for the individual towns and the second home market has likewise helped the individual towns lower their tax rates. Take, for example, Laconia, both South Down Shores and Long Bay on Lake Winnipesaukee combined contribute somewhere in the area of $3.4 million in annual tax revenue to the city. This represents somewhere around 11% of the city’s tax assessment revenue. Can you imagine Laconia trying to survive today without this revenue from just these two developments? Furthermore, these communities have a minimal impact on the school systems and they maintain their own road networks through their association. If you look at the new middle school and the new fire department addition, revenue from communities like South Down and Long Bay have contributed significantly to those types of expenditures. 

In Moultonborough with its 66 miles of shorefront, do the math and figure out how many homes are on the lake. At Suissevale, one of the larger lakeside communities in that town, the community has generated approximately $1,679,665 in annual tax revenue. In Balmoral, roughly $740,957 was generated in annual tax revenue towards the town’s annual expenses. With the amount of substantial shorefront on the ‘big lake,’ there is no wonder that Moultonborough’s tax rate of $7.15 per thousand is one of the lowest in the state. With the percentage of second homes in Moultonborough at 60%, you can see what the economic impact second homes have had on this municipality. 

There is no question that the influx of second homeowners and retirees has enlivened commerce in the region. The construction, furnishing, and maintenance of second homes have employed contractors, tradesmen, surveyors, furniture stores, realtors, bankers, and attorneys. The seasonal residence of these homes also creates a huge demand for a variety of good and services and provide patronage for entertainment venues like the Bank of New Hampshire Pavillon in Gilford, The Winnipesaukee Playhouse, Funspot, tons of restaurants and eateries, Mount Washington Cruises, Castle in The Clouds and Gunstock Mountain Resort during both the winter and summer seasons with its expanded summer programs and attractions. 

As the Baby Boomers retire, New Hampshire will always remain a popular destination for those seeking a home for vacation or retirement. I also believe that many of our younger generation who have left the Lakes Region to seek their fortunes and new job opportunities will be among those who return to enjoy the fruit of their labor. After all, we’re like birds…we migrate to the place where we grew up.  

Frank Roche is the President of Roche Realty Group with two offices in Meredith (603) 279-7046, Frank Roche, President of Roche Realty Group, Inc. with offices in Meredith and Laconia, NHand Laconia (603) 528-0088. You can learn more about the company and research a wealth of real estate information at: www.rocherealty.com

Share on facebook
Share on twitter
Share on google
Share on reddit
Share on pinterest
Suissevale on Lake Winnipesaukee, NH

Suissevale: A Desirable Community on Lake Winnipesaukee in Moultonborough

When you navigate the shores of Lake Winnipesaukee, there’s 71 square miles of water and 274 …

Read More →
Gunstock Acres in Gilford, NH

Gunstock Acres in Gilford: A Popular Water Access Community

Find homes for sale in Gunstock Acres We have so many interesting communities in the …

Read More →
The docks at South Down Shores in Laconia

The Impact of Second Homes in the Lakes Region

As I drive around the Lakes Region during this period of social distancing, I’ve been …

Read More →
At the top of Piper Mountain, New Hampshire

Hiking in New Hampshire

Hiking is an excellent (and free!) way to stay in shape, and the awesome feeling …

Read More →
Wolfeboro NH

Thankful to be Living in New Hampshire During This Difficult Period

All of us in the Lakes Region have seen a tremendous impact to our lifestyles …

Read More →

How we are embracing technology to continue to serve our clients and customers during this COVID-19 outbreak

The fast-spreading Coronavirus has created an enormous impact on all of us. Draconian measures to …

Read More →
Roche Realty Group Meredith Office

Roche Realty Group Reports Sales of $130.4 Million for 2019

Frank Roche, President of Roche Realty Group, Inc with offices in Meredith and Laconia, has …

Read More →
Kevin Shaw Realtor

Kevin Shaw of Roche Realty Group, Inc. Produces $36.6 Million in Sales for 2019

Laconia, NH – Frank Roche, President of Roche Realty Group with offices in Meredith and Laconia, …

Read More →
Warming feet by a fire at home

Home and Holiday

If you think about it, many classic Christmas songs (and movies) are centered on the …

Read More →
Thanksgiving for NH

Thanksgiving for New Hampshire

We have so many reasons to be thankful to live in New Hampshire. I have …

Read More →

There are many reasons to live in New Hampshire

It is said that the three most important words in real estate are “location, location, …

Read More →

2019 Parade of Homes to be held October 12-14

Get inspired this weekend with the latest in building trends and innovations! The 2019 Parade …

Read More →
White Oak Motel and Lakefront Cottages Sold

White Oak Motel and Lakefront Cottages Sold

Holderness– The White Oak Motel and Lakefront Cottages located on White Oak Pond has recently …

Read More →

Lakes Region real estate activity for the first 8 months has been strong

Article by Frank Roche, President of Roche Realty Group.    Real Estate activity for the …

Read More →

Historic Homes: Buy with Your Head as Well as Your Heart

Historic Homes: Buy with Your Head as Well as Your Heart I’d like to recommend …

Read More →
Northeast Storage has purchased a commercial building located at 57 Reservoir Road.

Northeast Storage purchases unique Reservoir Road building in Meredith

MEREDITH — Northeast Storage has purchased a commercial building located at 57 Reservoir Road. Tom …

Read More →
111 Church Street, Laconia

Former Lakes Region mental health building listed and sold by Roche Realty Group

LACONIA — Rick Hagan of Roche Realty Group in Meredith, NH represented the seller, Lakes …

Read More →

Live where others dream of vacationing

https://youtu.be/7G5Z4QRBzzc Weirs Beach is a recreation destination with something for everyone, including beautiful lake and …

Read More →
Gilford, NH landmark former restaurant sold

Former well-known restaurant in Gilford recently sold

Gilford, NH – A local Gilford landmark built in 1975 and operated as a restaurant …

Read More →
Lakes Region NH

Tips for buying a home in the Lakes Region

New Hampshire’s Lakes Region is an amazing place to own a home, whether it’s your …

Read More →
South Down Shores, a gated community on the shore of Lake Winnipesaukee, NH

Kevin Shaw of Roche Realty Group Inc. Produces Over $20 Million in Sales For 1st Half of 2019

Laconia- Frank Roche, President of Roche Realty Group Inc with offices in Meredith and Laconia, …

Read More →

Lakes Region full throttle during Motorcycle Week

You can already feel the area rumbling with visitors and activity this week as the …

Read More →

Is home ownership right for you?

There are advantages to both buying and renting, depending on your current lifestyle and financial …

Read More →

New Hampshire Ranked #2 Best State in the USA for 2019

The good news is out! New Hampshire as a state performed exceptionally well in a …

Read More →
explore nh lakes

Winnipesaukee Waterfront Sales Activity Spring 2019

The weather is getting warmer, the “Big Lake” is thawing out and the real estate …

Read More →
searching for homes on the internet

The homebuyer’s online search is like online dating

Searching for homes online can be a lot like trying to find love through online …

Read More →

The Importance of Getting Pre-Approved for Your Home Mortgage

If you want to be an attractive buyer in a competitive housing market, you’ll definitely …

Read More →
Lake Winnipesaukee, Moultonborough, NH

Moultonborough homes sold at highest prices, fastest pace ever

It’s a historical time to sell a single-family home in Moultonborough, New Hampshire. Data suggest …

Read More →
For sale by owner sign next to a house

For Sale By Owner? The facts about risk and reward

If you’re trying the “For Sale By Owner” (also known as FSBO/fizbo) approach to selling …

Read More →

What to do if your listing expires

Expired listings are a frustrating reality in real estate. If you want to change the …

Read More →
Meredith, New Hampshire

Window of opportunity open for Meredith home sellers

If you own a single family home in Meredith and have been waiting for a …

Read More →
Gilford, NH

It’s an unrivaled time to sell your single family home in Gilford

If you own a single-family home in Gilford, it’s an unequalled time to sell. It’s …

Read More →

Why it’s a great time to sell your home in Laconia

If you own a single-family home or condominium in Laconia, it might be a great …

Read More →
Own a piece of the playground!

Recess is better when you own a piece of the playground

When I was a kid my favorite part of the school day was recess, that …

Read More →
Hourglass and home

Has your home been on the market for too long?

Once there was a man who loved traveling, but he had been around the world …

Read More →
letting go

Letting go can show more strength than hanging on

One day a philosophy professor walked into her classroom while holding a drinking glass filled …

Read More →
New home first time homebuyers

You Always Remember the First

There’s just something special, nostalgic and memorable about the first, whether it’s a first kiss, …

Read More →
CEO

Sell Your Home Like A Boss

Some home sellers act as though their job is finished the moment they engage the …

Read More →
Real Estate Closing issues

Closing Crashers

You know the scene. It’s been in dozens of movies. The bride and groom hold …

Read More →
Roche Realty Group Meredith Office

Roche Realty Group Inc. Reports Sales of $121.6 Million for 2018

Meredith NH – Frank Roche, President of Roche Realty Group, Inc. with offices in Meredith …

Read More →
Kevin Shaw Realtor

Kevin Shaw is Roche Realty Group, Inc.’s Top Producer for 2018

Laconia, NH—Roche Realty Group, Inc. with offices in Meredith and Laconia congratulates Realtor® Kevin Shaw …

Read More →
Sell your home in the winter

How to keep (your home) from getting stuck in a snowbank

Back when I was a teenager and knew everything (or at least far more than …

Read More →
Ribbon Cutting Ceremony at Highland Ridge in Tilton, NH

Ribbon Cutting at Highland Ridge – the Lakes Region’s Newest Community

Tilton – It was a bright sunny day at the ribbon cutting ceremony in Tilton …

Read More →
moving van

Moving in Your Senior Years? Here’s How to Do it Right

Guest post by Harry Cline.  Is there any task more dreaded than moving? While no …

Read More →

Why winter can be a hot time to sell your home

Winter can be a prime season to sell your home because the change of season …

Read More →
Samoset on Lake Winnipesaukee

What We’ve Learned from the “Go-Go 1980’s”

The 1980’s were dynamic and a lot of fun for many real estate professionals in …

Read More →

Consider listing now because what goes up must come down

If you’ve considered selling, it may be a great time to list your Lakes Region …

Read More →
Tower Hill Cottages - (Just Sold). Laconia NH

John Ganong of Roche Realty Group Sells Tower Hill Cottages

Laconia, NH- Tower Hill Cottages located at 220 Endicott Street North in Laconia NH has …

Read More →
The Village Store in Gilford NH

A New Era at the “Village Store” in Gilford!

Have you driven by the Village Store lately? The centerpiece of a small town’s culture …

Read More →
bungalow

The Bungalow-down

According to the New England Real Estate Network’s multiple listing service (MLS), 50 Lakes Region …

Read More →

Leave a Comment