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Vacancy

HOUSING VACANCY IN NASHUA IS EXTREMLY LOW.

In 2018, 3.1% of Nashua’s housing
stock was classified as vacant

Only 1.1% of all units were being
actively marketed for sale or for rent.

A healthy vacancy rate for a
community is typically between 3%
and 5%

Units

1,200

1,000

800

600

400

200

ASSOCIATES INC

Vacant Housing Units by Category 2013 & 2018

Source: ACS 2013, 2018

1,075

757 733

476
439

Vacant Available Vacant Unavailable Vacant Other

m2013 =2018

Accommodating Future Growth

Development Pipeline
Source: City of Nashua, 2020

Permitted, Unit

Not Complete Count % of Total
Detached Single-Family 31 5%
Attached Single-Family 28 5%

3 Units or More 956 90%
Total 615 100%

There are 615 units of housing at different stages in
the development pipeline

90% of the housing units are in structures with three
or more units

159 Temple Street is permitted for 168 units
Bronstein Apartments development is permitted for

216 units with 172 units priced to households at or
below 60% of AMI

Accommodating Future Growth

ASSOCIATES INC

Total Population Change 2013-2030, City of Nashua

Source: ACS 2013, 2018, EMS!

« The population of Nashua is 100,000
projected to grow by 7,434 new —Nashua
residents between 2018 and 2030, 98,000
an 8.4% increase 96,040
96,000
* To accommodate the population 94,747
increase projected for 2030, the 94,000
city may need to produce an
additional 4,769 housing units 92,000
above what exists today
90,000
¢ Under these assumptions, RKG 88,606
projects the city would need to add 88.000
another 2,480 owner-occupied 86,766
housing units and 2,289 renter- 96.000
occupied units ,
¢« Households at or below 50% of AMI 8000
are likely to have a more difficult
time finding affordable housing 82,000
80,000

2013 2018 2025 2030

Accommodating Future Growth

ASSOCIATES INC

2030 Projections if 2018 Household 2030 Projections if Trends Continued
Composition Held Constant Based on Changes from 2013-2018
Source: EMSI, ACS 2013, 2018, RKG Associates Source: EMSI, ACS 2013, 2018, RKG Associates
HH Size HHs % of Total HH Size HHs % of Total
1-person 1,446 30.3% 1-person 1,710 35.9%
2-person 1,648 34.6% 2-person 3,148 66.0%
3-person 723 19.2% 3-person -329 -6.9%
4-person 604 12.7% 4-person 199 4.2%
9-or-more person 348 7.3% 5-or-more person 42 0.9%
Total 4,769 100% Total 4,769 100%

If current breakdown of owner and renter households continues, City will need a mix of
ownership and rental housing

If recent trends continue, City will need to focus more on the creation of rental housing and
smaller units

Given low vacancy rates in both owner and renter markets, there is room for growth in both
segments

City must also consider a percentage of new employees will want to live in Nashua as well

ISSUE & OPPORTUNITY AREA 2
FINANCIAL RESOURCES OF HOMEOWNERS AND RENTERS

ASSOCIATES INC

Income

ASSOCIATES INC

Median Household Income
Source: ACS 2018

Median Household Income by Race/Ethnicity
Source: ACS 2018

$100,000
$92,004 2018 Income
$90,000
$81,552
$80,000
$70,000
$60,000
Median HH Income $50,000
GED S0 - $44,000
GED $44,001 -$71,000 $40,000 $34,511 $33,275
GED $71,001 - $96,500 $30,000
GD $06,501 - $157,000
$20,000
$10,000
$0
White Alone Black or African Asian Hispanic or Latino

American

MEDIAN HOUSEHOLD INCOME OF WHITE HOUSEHOLDS IS 2.4 TIMES
HIGHER THAN BLACK, HISPANIC AND LATINO HOUSEHOLDS.

Home Values & Sales

HOUSES PRICED GREATER THAN $250K COMPRISE THE GREATEST
SHARE OF HOME SALES IN NASHUA.

According to MLS sales data from 2019, 84% of sales
were for homes priced above $250,000

« The median sales price of a newly constructed home in
Nashua is $407,439 while the median sales value of an
existing home is $321,198

* Home values in Nashua have appreciated by 19% over the
last 10 years

¢« Days on market declined 81% since 2011 to an average of
10 days in 2019

SR
Scala

90%

80%

70%

60%

50%

40%

30%

20%

10%

0%

Comparison of Home Values and 2019 Homes Sales
Source: ACS 2018, MLS 2019

=
Under $50,000

$50,000-
$100,000

$100,000 -

$150,000

mw Home Value

$150,000 -

$200,000

Sales Price

$200,000 -

$250,000

Greater than
$250,000

ASSOCIATES INC

Financial Resources of Homebuyers and Renters Home Sale Prices in Nashua, 2010-2019 source: mis 2010-2019 AN,

Comparison of Existing Home Sales to New Home Sales
Source: MLS 2010-2019

$450,000
$400,000
$350,000 MLS Sale Price Range

$300,000 Less than $200,000

$250,000 $200,001 - $275,000 K a, x Up if ye,
$275,001 - $350,000 eeeN ~~) |}
$200,000 Sw Cl -
GED $350,001 - $500,000 ae. Wane | \_ ae Ape
a: fe ) QE Kes
$150,000 GED wore than $500,000) PR
$100,000 (Ge w vy \
$50,000 i ee.
KZ, Vy C7 f

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

mw Existing Single Family New Single Family

Rents

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Change in Gross Rent 2013-2018

Source: ACS 2013 and 2018

50%

RENTS ARE RAPIDLY INCREASING 45%
IN NASHUA. 40%

¢ Median Gross Rent increased
19% from 2013-2018

2018:
Median Gross Rent

$1,287 per Month e

25%

35%

20%
15%
10%

5%

0% LJ

Less than $500 $500 - 999 $1,000-$1,499 $1,500 -$1,999 $2,000 or
Greater

m@2013 02018

Over the last five years, rents in the $1,500 to $1,999
range increased by 136%

There was also a 33% increase in rental units charging
greater than $2,000 per month

Financial Resources of Homebuyers and Renters

Upper

Moderate

Lower

| |

ASSOCIATES INC

Renting and Purchasing Capacity of Nashua Households, 2018
Source: ACS 2018, RKG Associates

Household
Income

$100,000+

$75,000 - $99,999

$50,000 - $74,999

$35,000 - $49,999

$20,000 - $34,999

$0 - $19,999

Households

% #
34% 12,259
15% 5,431
16% 5816
11% 4,017
12% 4411
12% 4,340

Maximum Affordable

Rent Range

S?,500+

$1,875-$2,500

$1,250-$1,875
—_—_—_———T

$875- $1,875
—_—_=>-

$500- $875

$0 - $500

Home Purchasing
Power

$331,000 +

$249,000 - $331,000

$166,000 - $249,000

$116,000 - $166,000

$66,000 - $116,000

SO - $66,000