Every four years, as the nation gears up for its next presidential election, our small state receives a large amount of attention from the media thanks to our early primary election.

(Photo Credit: CBS - www.cbsnews.com)

This time around, the Lakes Region is receiving some extra focus thanks to Wolfeboro property owner Mitt Romney, who also happens to be a strong contender for the Republican party presidential noimation.  CBS News recently visited with our own Kathryn Aitken, who discussed Romney’s fabulous summer home on Lake Winnipesaukee and what it’s like to have a presidential hopeful living among us.

Read the full article, “Mitt Romney’s New Hampshire Getaway” and feel free to share your comments about what you think life in the Lakes Region might be like with the American president as a sometime neighbor.

New Hampshire waterfront property owners appreciate a clean beach

Location, location, location is the rule of thumb for much of the national market. However, like politics, real estate is local and here in the Lakes Region of New Hampshire we will place a great emphasis on Clarity, clarity, clarity.

Waterfront property demands its own level of priorities, and a clean, sandy lake bottom with a pleasant swimming area is often at the top of the list. But, New Hampshire is not known as the Granite State for nothing and so the ideal beach is often a rarity. This does not preclude that most beachfronts cannot be improved by what I label “aqua landscaping.’’

The dynamics of each water body should be carefully considered by any buyer: average depth, nutrient recycling capabilities, dissolved oxygen levels, rates of decomposition and water temperature are the primary evaluative tools. Phosphorus is at the root of most beachfront problems; it promotes plant growth and is introduced to a water body by lawn fertilizers, soil erosion, sewage, animal waste and decomposing vegetative matter.

Over the past dozen years impressive technical strides in water treatment have led to effective means of improving or eliminating problem beachfront concerns. Ultrasonic procedures, electric powered mechanical weed rollers, chemical additives and tools that agitate the lakebed are being used effectively without any negative effects to the aquatic life.

The impact of The New Hampshire Shore Land Protection Act by establishing rules for waterfront property owners has become a valuable piece of legislation for maintaining the quality of the way of life for waterfront owners in The Lakes Region. I encourage you to contact our offices and speak with our knowledgeable realtors prior to making your buying decisions.
Jim Ferriman Jferriman@spencerhughes.com 603-520-5385

Herodotus wished to preserve the memory of the past. The world’s first historian prefaced his work with this sole ambition. A couple of recent occurrences have reminded me of his position.

The first was the chance encounter with a man in his 80s who happened to drop in at our Alton Bay office with a question. Specifically, could I tell him if Camp Mishe Mokwa was still operating? He still has wonderful recollections of the 4 summers he spent there on Treasure Island in Lake Winnipesaukee, way back in the early part of last century. With a little research I informed him that it was no more, as of 1937. We chatted for some time, though, about Alton Bay and the Lake of his memories, and he grew more animated and specific of those halcyon days.

Subsequently I counted more than 47 camps had at one time existed along the shores of Lake Winnipesaukee and Squam. Most have long since gone; Camp Tecumseh in Moultonborough, however, is still often rated among the top camps in the country. It struck me that there must be hundreds of thousands of people, perhaps many, many more, who harbor a strong fondness for the special qualities of our area. These shared memories have a force of their own, almost tangible lingerings of happy experiences; I’ve felt them, and so have others.

Moultonborough Real Estate Gem with a Long History & a Bright Future?

My second observation concerns a new real estate listing of Spencer Hughes: That of the unique gentleman’s estate of Kona Farms, MLS #4068978, in Moultonborough. At a mere $7,995,900.00, this remnant of the American Age of Elegance exudes a touch of class and a propriety of another time. Why the name?  Well, it stems from the legend of the tragic love affair between the Indian princess Ellacoya and her suitor, the mighty Kona. Personally I’d love to see a creative school obtain this property to continue a reverence for the continuity of an earlier time. A Chautauqua, perhaps. We’ll see.

Jim Ferriman:  Jferriman@spencerhughes.com,  (603) 520-5385

Image by Golden Eye via Flickr

Some believe the translation of “Winnipesaukee” to be “Beautiful Water in a High Place;” an apt description, and one that has been in use for more than just a short while. After all, the earliest known community along Lake Winnipesaukee’s shores was the large village of Aquedoctan, established by the Abnaki Tribe along the Weirs channel some 500 years ago, perhaps a great deal earlier. The historical evidence leads to the great mystery surrounding the “Big Lake”—that being how this large lake can maintain its water quality in such a confined watershed. Winnipesaukee is extraordinarily pure for a body of fresh water, in spite of heavy and sustained use. The continuous efforts of the past and current inhabitants to preserve its rare qualities account for this end result.

Winnipesaukee 101: Lakes Region Facts

The basic facts: Winnipesaukee has 183 miles of shoreline and a surface area of nearly 72 square miles, is 21+ miles long and up to 9 ½ miles wide, has a multitude of islands (300 or so, depending on who is doing the counting), and possesses some 600 navigation aids. It was born of the Wisconsin Glacier Period, when glaciers 2 miles thick gouged out fractured and less competent rock, leaving citadels of the more substantial host granite. At their end 13,000 years ago, the glaciers retreated, leaving their mark in the form of moraines, eskers, and kettle depressions, and in effect sculpted all of the Lakes Region of New Hampshire. read more »

The Wolfeboro Area Children’s Center (Daycare and Pre-school facility and after school care) will be holding a fundraiser. The organization has a sliding scale for people of all incomes to be able to afford care for their children in the area. They rarely turn anyone away and it is because we put great effort into fundraising. This is one of the biggest events of the year.  It will be held at Estabrook Hall at Brewster Academy Sat June 5th from 6-10PM. There will be lots of yummy food (included in the ticket price) and a cash bar, along with Las Vegas Style gaming put on by Alpine Amusements. The guy used to own a casino in Vegas and now takes his equipment to events like this.

Tickets are $45 a person, you get food, $150 in poker chips to start. We have tons of great prizes (gift certificates, artwork, tickets to events, etc) that you can use your winnings to either bid on (for bigger items) or get raffle tickets to put in the baskets for some of the smaller ticket items!

It should be a fun time, and of course you can always buy a SUPER RAFFLE ticket for $50 and have a 1 in 300 chance to win $5000! You need not be present to win! I have raffle tickets and casino night tickets if you are interested! I know many of you have had your kids go here or have grand kids that attend, it is a well run Center.

Thanks for your support!

Karin

Belknap Mountain Tower in 1989 (Photo courtesy Iris Baird)

Around this time last year, after a period of little rain and low humidity, the Town of Alton experienced a major fire which, fanned by 40 MPH winds, destroyed a number of homes in the Alton Bay area. The town council has been active in reviewing and acting upon prevention suggestions. But one of the first lines of defense remains the Belknap Mountain Fire Tower, in operation since 1913.

Each day may begin like any other for a smoke watcher in the Lakes Region of New Hampshire. The fire watcher makes a visual scan for any blue smoke, reads the weather recording devices, checks the Osborne Fire Finder instrument, settles into the insulated chair, for lightning storms, and makes his morning radio check.  Right now the forest is dry, always flammable, but until the lightning storms later in the summer the danger of fire is moderate. Later, with the afternoon winds, the tower will sway; maybe there will be a visit of St. Elmo’s fire.  Vigilance is the watchword; there are no magazines or newspapers; no telephone, doorbell or mailbox.

The trails to the fire tower are worth the walk. My favorite route is along the ridge from Mt. Major. There are also trails from the Gunstock Recreational Area. The views – what can I say, they’re mesmerizing. Lakes Winnipesaukee, Crystal, Manning, Wentworth, Merrymeeting. The towns of Alton, Gilford, Wolfeboro, Meredith, Center Harbor. To the Northeast, the Maine mountains bordering the ocean, to the North, Mt. Washington and the White Mountains, to the Southwest, Mt. Monadnock.  Dreamlike views, all of it seemingly empty.

It still surprises me somewhat to find people local to the area who have never gained such a perspective offered from the highest point in Belknap County. There are more of them than you would guess. Not so, my friend J.R. Stockwell, the 10th generation native who I believe has hiked more trails, ascended more mountain tops in winter, and taken more advantage of the wonders New Hampshire has to offer than anyone that I know of or have heard of.

I stayed on Belknap Mountain one afternoon until sunset, the sky filled with banks of ragged fiery clouds and then hiked back down in a fine mist as the forest settled in for the night. Time well spent.
Jim Ferriman    Jferriman@spencerhughes.com    603-520-5385

Considering real estate? Don't wait!

Why? Why indeed! The answer is and always will be the long term appreciation rate of a property. Appreciation is the increase in property value over time due to inflation and the effects of supply and demand imbalances. If the appreciation rate is high enough, about 1.75 points above the inflation rate, the value of the property increases faster than the outlay costs of taxes, insurance, maintenance and interest. This results in the experience of “living for free.”

Long term appreciation rates will mirror the general rate of inflation. If they don’t, the great leveling factor of supply and demand comes into play. A statistical review tracking repeat sales of the same homes, known as the Case-Shiller index, concluded that the price of existing homes increased by 3.4% annually from 1987 to 2009. The general rate of inflation during this period was 2.9%.

Has the bottom been tested? The awful corollary of appreciation is depreciation. This happened in the late 2000s. Has it run its course? Well some of the best returns from Wall Street for the past 12 months have been realized by real estate mutual funds. PIMCO Real Estate, PRRSX, showed a 107.41% per share increase for the 12 months ended 4/30/10. To me this is an excellent indicator of how investors and finance insiders assess the national real estate market.

Now here is my central point: There remains little undeveloped waterfront property in the Lakes Region; ergo the appreciation rate should not only keep pace with the national inflation rate but also allow a faster increase in value due to the demand exceeding supply. Low property taxes and interest rates, a growing population and the desirability of an area are other major factors, and which I have written about in earlier blog posts, that will also positively affect the value of Lakes Region Properties.

Tomes have been written, are probably being written and likely will be written about the real estate fluctuations of the past 4 years. And though I prefer to retain a sense of the undiscovered nature of our area I imagine we can expect some focused attention on the Lakes Region of New Hampshire.
Jim Ferriman    Jferriman@spencerhughes.com    603-520-5385

I had a good friend who always seemed to be misplacing things. Out of habit I always replied that as space is truly finite it follows that chances for recovery of the item then must be infinite, always a optimistic view. A handy solipsism perhaps but not at all applicable to waterfront properties here in the Lakes Region of New Hampshire. Why, because of an almost infinite demand for this particular finite resource.

The Lakes Region is a finite resource...

Last week, 4/12/10 through 4/18/10, our chief search engine, Google, reported that our website received 2,301 visits from 22 separate countries. This total is also broken down by new visitors, 47.85% and the average of 4 minutes 6 seconds per visit. Impressive to be sure and that reflects the broad international interest in what the Lakes Region of New Hampshire has to offer as a second-home haven. Though I have to suspect the sole visit from Fiji was likely a local on vacation and who was checking out the live web cam video of Wolfeboro or Alton Bay.

The above figures do serve to underline the strong market interest in Lakes Region properties as well as the accessibility of complete and timely information available to browsers, investors and homesick expatriates on the PSH site. But a leading website is more than just the result of a large amount of invested capital and skillful design. Anyone with the means and commitment can achieve a semblance of success and turn out an attractive product. We strive to surpass this worthy goal by additionally pledging our negotiation skills, time saver methods and efficiency expertise to our clientele. Our teamwork is unmatched.

So, where are we? The knowledge and ability to account for that large “Invisible Hand” of Adam Smith, Milton Friedman and Friedrich Hayek and connecting with it in a way helpful to both the seller and buyer is what we offer at Prudential Spencer Hughes. No more, no less, only better than anyone else.

Jim Ferriman
603-267-9866

Lakes Region Docks MLS# 2778813

As a metaphor it might be a stretch but in actuality this is where the lake experience begins, at the dock. Think of them a transition points, allowing for a natural and gradual introduction from a static familiarity to an ever changing medium.

We, at Spencer Hughes, are much attuned to dock pricing on the Big Lake. Because of state legislation the value of lake side properties are greatly affected by any existing, “grandfathered” dock.

Crib docks, boat houses, breakwaters, permanent docks, floating docks and seasonal docks all have a very strong influence on the appraised and assessed value of waterfront properties. A focal point of waterfront property, this is where we all gravitate eventually, for entertainment, curiosity or simply to maintain contact with the lake.

Waterfront homes with docks in need of attention have, at times, a worth exceeding their appraised value, though a question can arise of at what point do repairs become new construction and perhaps prohibited. Regardless, any repair, alteration, or new construction concerning a dock may require both local and state and permits.

Jim Ferriman
603-267-9866

I reviewed a new study of 90 global equity investors last week. The report by Prequin, a London group, indicates that institutional investors intend to commit more capital to private equity funds in 2010 than they did in 2009. The long term view is predominantly bullish and rather than chase emerging property markets in Asia and India they are likely to shift their interest to debt-burdened and distressed property.

Foreign investors, 51% of respondents, view the U.S. market as the best opportunity for real estate appreciation, according to the Association of Foreign Investors (AFIRE) in a report released January 18, 2010. One of the significant portions of the survey detailed that of the top 5 U.S. cities reflecting the best investment opportunities 3 are on the East coast; Washington D.C., New York, and Boston. Multi-family properties led as the preferred investment type followed by office, industrial, retail and hotel properties. read more »