Asheville Real Estate Market Report – 4th Quarter 2018
Interested in learning about how Asheville and Buncombe County looked overall last year, as well, as how the markets closed out 2018? Read below for the Asheville real estate report, including the Buncombe County real estate report. The 2017 Asheville housing market was marked by renewed optimism because of a strong stock market and higher wages while 2018 delivered a more reserved approach toward real estate. Home buyers have been seeing rising prices and low inventory over the past several years. As a result, buyers have become more selective in their purchase choices as housing affordability reached a ten-year low. The overall median sales price increased 5.4 percent to $255,000 for the year. Single Family home prices were up 5.5 percent compared to 2017. A booming economy would seem to indicate more sales, but fewer homes to choose from coupled with lower affordability made it tougher for buyers in 2018. Despite the low affordability, there is still a strong desire for home buying, driving up prices in virtually all the U.S. markets. Prices have been rising so much the last few years that we’ve seen over a 50% price increase from February 2012 to September 2018. Accounting for inflation, that increase comes to about 40 percent. The national median household income was last reported with a year to year increase of 1.8 percent, while home prices have gone up 5.5 percent in roughly the same amount of time. That kind of gap is unsustainable, but for now prices are expected to rise, but at a slower pace.
Sellers received about 93.8 percent of their original list price at sale, that comes out to about a 0.1 percent improvement from 2017 to 2018. If demand shrinks in 2019, original list price received at sale could drop as well. Consumer optimism has been tested by four interest rate hikes by the Federal Reserve in 2018.
For a closer look at our 4th quarter real estate markets we’ve included line graphs below to show the differences in new listings, closed sales, and median sales in Asheville and Buncombe County in 2017 and 2018.
Real estate is local and requires a high level of local knowledge. Our Agents understand the Asheville and Buncombe County markets and they know the best ways to help you Move Smarter. If you would like to learn more about our market insights or are interested in buying or selling a home, please don’t hesitate to contact us!