Asheville’s Housing Market Shows Signs of Change in August
Asheville, the charming city nestled in the Blue Ridge Mountains, recently revealed some interesting updates about its housing market. In August, the region experienced a slight decline in home sales, dipping by 2 percent compared to the same month in the previous year. A total of 935 homes changed hands last month, which is just 19 fewer than during August 2023. It seems many buyers are waiting on the edge of their seats, hoping for a promised interest rate cut in September before diving into the market.
Moving at a Steady Pace
But it’s not all doom and gloom! Despite the year-over-year decline, August brought a 5.9 percent increase in closed sales when compared to July of this year. This uptick suggests that while buyers may be hesitant, they’re also ready to act when the time feels right. Real estate closings only cover single-family homes, condos, and townhomes, making up the Canopy MLS sales reported in this update.
Looking at pending sales, the numbers remained steady as contract activity across the Asheville region increased by 1.7 percent year-over-year. In total, 946 properties went under contract compared to 930 last August. However, there was a dip in contract activity compared to July, which saw a decline of 6.6 percent.
Showcasing Buyer Interest
When it comes to showing activity, the overall numbers fell by 6 percent compared to August 2023. However, there’s still a spark of interest in the city itself. Asheville listings averaged about 4.1 showings (potential buyers) per listing, with Hendersonville following closely behind at 3.6.
Inventory on the Rise
Good news for sellers and buyers alike: new listings have jumped significantly across the Asheville region. There has been a whopping 17.9 percent increase in new listings year-over-year, with 1,449 properties hitting the market in August. Month-over-month, new listings increased by 12.9 percent compared to July. An increase in inventory is always a breath of fresh air, especially as the market inches closer to a more balanced state.
The overall inventory increased by 40.1 percent, bringing nearly 3,350 homes up for sale in August, equating to about four months of supply. Caleb Phillips, a local realtor, highlighted, “At four months of supply, our housing market is moving towards a more balanced position, and in the direction of a buyer’s market.”
Price Trends
Interestingly, even with a rise in supply, prices have been on an upward trajectory. The median sales price now sits at $427,900 with an average sales price of $554,091, marking respective increases of 3.8 percent and 8.5 percent year-over-year. Potential buyers may find comfort in knowing that while prices are rising, there is more possibility to find homes at a price that feels right.
Another upside for buyers is the growing array of options as new construction rises by 26.8 percent across the 13 counties in the area. This equates to an additional 483 new construction homes making their way into the mix, providing fresh opportunities for those looking to call Asheville home.
What Lies Ahead?
As we gear up for the potential interest rate cuts, it’s clear that the Asheville housing market is undergoing a subtle shift. With more listings hitting the market and a modicum of price increases, we can expect more balanced conditions for buyers moving forward.
Whether you are contemplating buying or selling, working with a knowledgeable realtor can ease the journey. They can help guide you through these changing waters as we all wait to see how the market evolves in the coming weeks and months.
