Hi @Paul F. I'm a Realtor in southern New Hampshire, and while I don't operate in Hanover, I do have a few thoughts for you.
First of all, I don't think the market in Hanover is the problem. I just looked in the MLS for houses that sold for $700,000-1,000,000 in Hanover over the past six months and found 9 properties. Their Average Days on Market was 27, with a Median of 10, which is pretty strong. All 9 sold more than 90 days ago, and none have sold in the past 90 days, but I would attribute that partly to seasonal factors.
There are also 9 properties either Active or Under Contract that have been on the market an average of 87 days, which isn't terrible.
As for renting it, you said your plan would be to rent it until the market improves. What indications do you have that the market as you see it will improve any time soon? We're entering a period of economic uncertainty with a new president and Congress, and it's anyone's guess what the next 1-5 years holds. So you're gambling on the future, and in the meantime you're a landlord (although obviously you have experience with that).
You could do some rehab, but the problem with putting lipstick on a pig (if you'll pardon the crude expression) is that you have a good chance of picking the wrong shade lipstick. In a $200,000 house that's not a big problem, but at your price range the buyers tend to have definite visions of what they want (because they can afford to), so the chance that you'll pick the right cabinets, tile, appliances, etc., to appeal to the ultimate buyer are pretty slim. Someone will look at your gleaming new kitchen with its cherry cabinets and say, "I want white cabinets"--in which case you've not only wasted the money, but also the time involved in a rehab.
Which brings me to the marketing. If it needs updating, I wouldn't bother with a video. You want to stress the bones and curves of the property and its potential, not the dress it's wearing. I'd provide floor plans (easily done via HomeDepot or other services). In the MLS photos I would include some photos of details of the post-and-beam construction, not just whole-room shots; and if it's got a good location or lot, I'd stress that. I'd send a flyer (withe a link to a single-property web site) directly to local designers, architects, and contractors, who might have clients looking for a project. And whatever the local economy is doing, Dartmouth University will always be a bastion of steady employment, so I'd try to target staff and administration, as well as alumni (who probably don't live nearby, but who probably still communicate with staff and administration). And there are plenty of audiences to target with Facebook and other social media marketing.
Feel free to PM me if you have any questions that I might be able to answer!
