RKG
ASSOCIATES INC
EXECUTIVE SUMMARY
Nashua is a city that anchors Southern New Hampshire but is also part of a larger metro area with
connections to employment centers across Massachusetts as well as points north like Manchester. The
City built out from an older industrial core along the Nashua and Merrimack Rivers evidenced by the
older housing stock and more densely populated neighborhoods that comprise the Downtown area. Over
the years, growth has emanated out from the Downtown core to form a variety of different
neighborhoods offering different housing types and styles at varying price points. The city also has
pockets of higher density housing, mostly rental apartments, scattered on larger sites to the north, south,
and east. Nashua is growing in both its resident population and employment base placing pressure on
the existing housing stock and creating price escalation for both ownership and rental units. The city’s
proximity to more expensive housing markets in Massachusetts has also made it desirable for young
professionals, young families, and retirees.
In 2020, the City initiated a Housing Study to better understand the dynamics in Nashua and the
surrounding region that are impacting housing supply and demand. The goal of the study was to provide
a meaningful sense of the housing market, an understanding of key housing issues, and provide a list of
strategies for implementation. Knowing the City is about to begin the 2020 Master Plan Update, the
Housing Study is intended to provide the background necessary to seed conversations about housing,
land use, and zoning.
The Housing Study found that Nashua’s housing supply has very limited vacancy in both the owner and
rental market as demand for housing of all types and price points continues to rise. A combination of
employment growth, regional migration patterns, and now the pandemic have more people looking at
Nashua as a place to put down roots. The increase in housing demand is driving up both rents and sale
prices. The average sale price for a home in Nashua has grown 19% since 2010, while median rents are
up 19% since 2013. Much of the growth and demand is being fueled by residents aged 55 and older and
are driving demand for smaller units that are comfortably housing single- and two-person households.
These new households are also bringing more money to Nashua. Since 2013, households earning over
$200,000 per year increased 60% meaning more households can afford to pay higher sale prices and
rents, thereby driving up housing costs for everyone else. The rise in housing costs will likely be felt most
acutely in the Downtown area where the City has the highest concentrations of renters, lower-income
households, and the oldest housing stock in need of rehabilitation. The Housing Study offers
recommendations for addressing these challenges and more.
Nashua Housing Study - 3
