What Homeowners Insurance Actually Is

Homeowners insurance is one of those things you don’t think about—until you really, really need it. It’s essentially a financial safety net that kicks in when your home or belongings are damaged, stolen, or destroyed. It can even cover medical bills if someone takes a tumble on your property. In short: you pay a premium to the insurance company, and in return, they (hopefully) pay up when disaster strikes.

But don’t be fooled: not everything is covered. And certainly not automatically.

Is It Required?

If you're buying a home with a mortgage, your lender will almost certainly require insurance. They want their investment protected, after all. But once you’ve paid off the loan—or if you bought in cash—it becomes optional. Legally optional, that is.

Practically? It’s still a no-brainer. One uninsured lightning strike or rogue plumbing leak can wipe out decades of hard-earned equity. So yes, even if no one is forcing you, get the coverage. Just make sure you know what you're paying for.

What’s Covered (and What’s Not)

Most standard homeowners policies cover:

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  Dwelling Coverage: Repairs or rebuilds your house itself if it’s damaged.

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  Other Structures Coverage: Think garages, sheds, fences—stuff not physically attached to your house.

• 
  

  Personal Property Coverage: Reimburses you for belongings like furniture or electronics if they’re stolen or destroyed.

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  Liability Protection: Covers legal and medical costs if someone gets injured on your property.

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  Additional Living Expenses (ALE): Pays for temporary housing if your home becomes unlivable due to a covered event.

That’s the good news.

And Now for the Fine Print...

Here’s what isn’t usually covered:

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  Flooding? Not covered.

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  Earthquakes? Nope.

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  Damage from neglect or lack of maintenance? Also no.

If you're in New Hampshire near a floodplain, a lake, or even just a wonky old sewer system, you’ll want to explore separate flood insurance. The same goes for anyone living near a fault line or worried about shifting soil—though here in NH, you might be more likely to see frost heaves than tectonic rumbles.

How Much Does It Cost?

Premiums vary wildly based on credit score, location, age and condition of your home, and whether you’ve made claims in the past. Many lenders will roll your insurance premium into your monthly mortgage payment, holding it in escrow and paying the insurer directly.

Final Word from the Granite State

You don’t need to be a doomsday prepper to know that homeowners insurance is one of those must-have layers of protection. But make sure it’s the right kind of protection.

By understanding the fundamentals, you can make smarter decisions and protect what really matters—your home, your equity, and your peace of mind.

Keeler Family Realtors

For years, long-time homeowners were told their house was their nest egg. A sure thing. A smart move.

But now, thanks to a capital gains exemption frozen in 1997 — and home prices that have far outpaced inflation — many are facing six-figure tax bills just for selling their primary residence.

In New Hampshire, where home values have surged, this matters. A lot.

If you’re single, you can exclude up to $250,000 in gains when you sell. Married? That bumps up to $500,000. But if your home has appreciated beyond that — and you haven’t kept receipts for every upgrade? The IRS could treat the rest as taxable profit.

That means sellers who bought in the '90s or early 2000s are now facing big decisions — and even bigger tax conversations.

The good news: there are smart ways to plan ahead, reduce risk, and protect your proceeds.

Want real estate advice without the fluff?
Reach out directly at Keeler Family Realtors

We'll help you run the numbers, avoid nasty surprises, and actually enjoy the process—no pressure, no jargon, no judgment.

Thinking about buying a rental property in New Hampshire? Whether you're dreaming of a lakeside Airbnb or planning a long-term investment, short-term rentals (STRs) in NH come with rules, risks, and more than a few surprises. Before you dive in, let’s pull back the curtain.

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What Is a Short-Term Rental (STR)?

A short-term rental is typically defined as a furnished property rented out for 30 days or less at a time. In New Hampshire, this often means Airbnb, Vrbo, and other vacation platforms.

Sounds simple, right? Not so fast.

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STRs Are Legal – But Not Everywhere

There’s no statewide STR law in New Hampshire. Instead, each town sets its own rules—and they can change quickly.

Some towns (like Laconia and Conway) require permits or restrict STRs to certain zones. Others may prohibit them entirely. Enforcement varies, but fines for non-compliance can be steep.

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HOAs and Condos Can Block You

Even if a town allows STRs, your homeowners’ association or condo board might not. Many HOAs restrict or ban rentals under 30 days—and they often enforce those rules.

Always read the fine print before you make an offer. Or better yet, work with someone who already knows where the pitfalls are buried.

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Insurance, Maintenance, and Surprise Guests

Owning a short-term rental comes with strings attached:

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  You’ll need commercial insurance—your regular policy likely won’t cover STR use.

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  Expect more wear and tear from frequent turnover.

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  Maintenance needs will be more frequent and sometimes urgent.

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  And yes, not every guest is a dream tenant.

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STRs Can Impact Property Values

You may be excited about passive income—but your neighbors might not be. In some areas, heavy STR activity has triggered pushback, noise complaints, and local debates over community character.

In fact, some buyers now steer clear of STR-heavy neighborhoods altogether, which can have long-term effects on resale value.

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The Bottom Line

Short-term rentals can absolutely work in New Hampshire—but only if you:

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  Understand the local laws and restrictions

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  Plan for the additional costs and risks

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  Work with someone who knows how to navigate the terrain

If you’re thinking about buying a vacation rental or investment property, let’s talk. I’m local. I’ve done this. And I’ll tell you the truth even if it’s not what you want to hear.

Questions? Reach out to us at Keeler Family Realtors

Inventory is rising in New Hampshire, but balance is still a long way off.

Active listings are up 20.9% year-over-year as of August 2025.

Inventory remains 14% below pre-pandemic levels (2017–2019).

In Belknap County, higher-end homes are slowing.

Merrimack County is showing steady demand but more price reductions.

In the Lakes Region, waterfront and downsizer homes are still competitive.

For buyers, this means more breathing room than in past years — but the best properties still move quickly. For sellers, realistic pricing is critical to avoid sitting on the market.

Start your search today:  Keeler Family Realtors

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Keeler Family Realtors – November 2025 Market Insight)

If Concord is the pulse of New Hampshire, the Lakes Region is its deep, steady breath.
It’s where weekends stretch into lifetimes, and the same people who once came for the view end up staying for the peace.

At Keeler Family Realtors, we know the path from Merrimack County northward isn’t just a drive — it’s a change in tempo. The closer you get to Lake Winnipesaukee, Squam, or Newfound, the more you understand why the region continues to outperform market predictions year after year.

Why the Lakes Region Keeps Defying Expectations

While some markets are cooling, the Lakes Region has held firm — and in many towns, even gained ground.
Inventory remains limited, but that scarcity tells its own story: people aren’t leaving.

Our team continues to see strong demand for:

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  Year-round waterfront and water-access homes in Laconia, Meredith, and Gilford

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  Newer construction and expanded ranches for retirees and relocators

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  Turnkey short-term rental properties for second-home investors

Even with fluctuating interest rates, the emotional value of “living by the lake” continues to outweigh financial hesitation.

From Vacation Spot to Everyday Address

More buyers are making the Lakes Region their primary residence — especially those with flexible or remote work.
Communities like Alton, Center Harbor, and Moultonborough have seen a notable uptick in full-time residents who once split time between here and Massachusetts.

The appeal is easy to explain but hard to replicate:

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  Morning coffee with lake views

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  Year-round recreation: boating, skiing, hiking, and culture

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  A slower pace without sacrificing sophistication

It’s no longer just where you go on weekends — it’s where you want to wake up on Mondays.

For Sellers: Visibility Is Everything

Buyers are already searching. The key is making sure they find you.
That’s where Keeler Family Realtors’ reach across Concord and Merrimack County comes into play.
We bridge the state’s largest buyer base with its most coveted properties — connecting those ready to move north with listings that rarely stay hidden for long.

Our digital tools, including CINC’s advanced MLS integration, ensure your home shows up where the right eyes are looking.
Because lakefront magic deserves more than word of mouth.

The Market Outlook Heading Into 2026

As inventory remains tight, we expect continued upward pressure on well-maintained, well-marketed homes.
Expect modest appreciation — not volatility — and continued interest from cash buyers and relocation clients seeking lifestyle over leverage.

For sellers, it’s an excellent time to prepare now for early-year listing launches.
For buyers, it’s a reminder that the best opportunities rarely wait for spring thaw.

Explore the Lakes Region With Keeler Family Realtors

Whether you’re buying, selling, or simply dreaming of lake life, our team covers the full span of New Hampshire — from Concord to the water’s edge.

Search Lakes Region listings
Request a personalized market report

Keeler Family Realtors

From the Capital to the Lakes — helping New Hampshire move home, one story at a time.

If I had a dollar for every time someone told me their property was “grandfathered in,” I’d be writing this from the deck of my imaginary lakeside compound. This phrase gets tossed around more than beach chairs in a Memorial Day windstorm, yet half the time the person saying it couldn’t tell you what’s actually protected, what changed years ago, or what the zoning board had for breakfast.

Well, you’ve met me. But then again, if you haven’t, you should. I have a long and storied history of saying the quiet parts out loud, especially when it saves someone from making an expensive mistake.

So let’s walk through what “grandfathered” really means in New Hampshire real estate, and what it definitely does not cover, no matter how passionately someone insists it does.

What “Grandfathered” Actually Means

Originally, being grandfathered meant this. A rule changed, but your existing structure stayed legal because it existed before the change.

Think along the lines of:
• A porch built too close to the lot line
• A garage placed where no garage would ever be allowed today
• A driveway that would fail the new setback requirements

These are structural conditions. Static. Physical. Measurable.

Notice I didn’t say short term rentals, finished basements, duplex conversions, or “my uncle lived here once so it counts.” That’s because those are uses, and uses follow a completely different playbook.

Where Homeowners Go Wrong Every Single Time

There’s a special moment when someone says, “But when I bought the house, it was allowed.”
That’s when I know we’re about to slide into the mud.

Let’s talk through the greatest hits.

1. “The previous owner rented it on Airbnb for years.”

Fabulous. Truly.
But if there was no documented use, no permit, and no paper trail, the town does not care.
STRs are a use. Uses can be changed, revoked, restricted, capped, or completely redefined by the town.

Historical vibes do not equal legal approval.

2. “There used to be a second kitchen, so it’s a legal duplex.”

Two kitchens do not make a duplex.
A plug-in stove and a wet bar do not make a duplex.
Your uncle living downstairs during a divorce does not make a duplex.

A legal duplex requires approved use, zoning compliance, and town recognition. That means paperwork. Lots of it.

3. “The shed has been there forever.”

Sheds are adorable until the town asks when it went up and the answer is “I don’t know, but the squirrels like it.”

Age alone does not create legality. You can often keep what’s there, but expand it or rebuild it and suddenly you’re in matching bracelets at the zoning office.

4. “The town never said anything for twenty years.”

Silence is not approval.
It simply means no one noticed yet.

The moment you sell, renovate, apply for a permit, or annoy a neighbor with a drone, everything comes to light.

5. “The finished basement counts as living space.”

This one is a New Hampshire classic.
If it was finished without permits, without egress that meets today’s safety standards, without proper ceiling height, and without smoke/CO compliance, then no. It is not automatically grandfathered.

It is a finished basement. Not a legal bedroom. Not a legal apartment. Not a legal anything beyond a place where teenagers played video games in the early 2000s.

Why Grandfathering Is So Fragile

Grandfathered use can disappear if:
• You stop doing it long enough
• The town changes the rules and you have no proof
• You expand or alter the use
• You create more impact than originally allowed
• You can’t document continuity

It isn’t a lifetime pass. It’s a permission that must be provable.

Short Term Rentals: The Biggest Misconception in the State

STRs are not a structural condition.
They are a use, and towns regulate uses very actively now.

Even if STRs were allowed when you bought the property, the town can still require:
• Registration
• Inspections
• Caps
• Owner occupancy
• Parking compliance
• Safety standards

And no, “the previous owner rented it to tourists in 2006” does not entitle you to anything without formal documentation.

What Buyers Need To Know

Never rely on the word “grandfathered.”
Ask for:
• Permits
• Correspondence
• Tax records
• Zoning confirmation
• Evidence of uninterrupted use

If they can’t show it, you can’t trust it.

What Sellers Need To Know

Overstating grandfathering is an express train to chaos.

Tell the truth.
Say what’s documented.
Say what the town can confirm.
Say nothing that could unravel the moment an inspector shows up with a clipboard and a head tilt.

Your credibility is more valuable than any mythical exception from 1998.

The Bottom Line

“Grandfathered” isn’t a magic shield.
It’s a narrow, conditional status that survives only when the paperwork does.

If you want to know what your home is actually allowed to do, ask me. Better to hear it now than from the zoning office later, preferably without tissues.

Cheers!

Keeler Family Realtors