With the growing outdoor economy and smaller, more unique cities that have taken hold of the younger generation, it's no wonder that Asheville is having a bit of a moment. During the Covid-19 pandemic, many people moved from more densely populated areas to smaller cities to get away from the fast life and settle down. Asheville’s mountain town vibe is a huge draw, with beautiful views of the Blue Ridge Mountains, access to pristine rivers and lakes, and its proximity to the Pisgah National Forest.
In addition to the slower pace lifestyle, Asheville is also experiencing a rapidly expanding job market. Major employers include Ingles Markets INC, Veterans Administration, and several small universities. Due to the fact that Asheville is a major tourist destination, there are also plenty of leisure and hospitality jobs.
One of the best parts about Asheville is that it includes all of the amenities of a large city but with a small town footprint and feel. There are a host of incredible breweries throughout the city that have given Asheville the reputation of being a “Beer City, USA.”
The food scene in Asheville is famous and has ranked number one among Yelp’s “Top U.S. Foodie Destinations of 2020.” Asheville takes its food and beverage culture seriously.
Historically speaking, Asheville has been home to many famous poets, artists, and philanthropists, as the “Paris of the South” has been a major draw to creative types who continue to flock to this very special town. In fact, George Vanderbilt built his famous Biltmore Estate here.
In 2020 we wrote a blog about “What You Need To Know About Asheville Property in 2020,” right off the heels of the first wave of the Covid-19 pandemic. Since then, quite a bit has changed when it comes to purchasing property in Asheville and the rest of the country, in many cases for the better.
So, what does this mean for those interested in acquiring property in Asheville? Should you hold off on any decisions? Or is this a good time to invest? Let’s take a look.
Here’s What We Know About Asheville Property Values:
Housing prices in Asheville and the rest of Buncombe County have soared since the pandemic. Median sale prices in the City of Asheville are currently up to $455,000, a nearly 45% increase since our last check-in on the market in 2020. This pricing trend seems to continue climbing with a +15% year-over-year increase.
The demand for homes is fairly competitive, with most houses selling for at least the list price and hot homes selling for about 3% above the asking price. If you are looking to buy a house, be prepared to spend more time looking than ever before.
Asheville continues to be an in-demand market, especially with home buyers looking for places in less dense cities. Because of this, home prices in Asheville are even more inflated than in other cities in the Carolinas. In fact, the median home price in Charlotte, NC, is $385,000 or $70,000 less than in Asheville.
Since all of the major disruptions that occurred in 2020, it seems that the Asheville housing market is still going strong. While financial indicators such as inflation and interest rate hikes are not the most promising, investing in property is not necessarily off the table.
What Should You Do About Asheville Property?
As the economy tightens up, the real estate market has still continued to grow. Be aware that Asheville real estate is still competitive and that the current market is one in which sellers are favored. Prices are not anticipated to drop any time soon.
That does not imply that investing in real estate is a bad idea. In fact, as more people move to the neighborhood, many have discovered that now is a perfect time to buy rental homes. One draw to Asheville is its natural beauty, and the local economy is still robust. All indications show that growth should continue to grow into 2023.
As far as the rental market goes, rental prices are soaring alongside housing prices, which makes sense. However, the rental market is just as competitive, with nearly 51% of houses being renter occupied. If the trends continue, investing in multiple housing units can turn into a lucrative business with the right plan in place.
If you own rental property or are thinking about investing in it, you should establish a connection with a reputable property management business. For more than 25 years, Asheville Phoenix Properties has offered property management services in western North Carolina.
Our objective is to provide the finest service possible to the owners we represent and to our renters during their stay with us. We can assist you with renting out your home, managing tenant interactions, and making sure maintenance tasks are completed on schedule. Additionally, you may monitor your rental property at any time, anywhere, with our online owners' portal.
Contact Asheville Phoenix Properties if you have any inquiries regarding Asheville real estate in 2023. No one knows this better than we do: it’s our home! This year and beyond, let us assist you in managing your Asheville home.