Asheville region had record number of home sales in June

Press release via Canopy Realtor Association

The Asheville region’s housing market shows no sign of slowing down as summer sales marked yet another month of gains, with 1,296 homes sold across the 13-county area of the western North Carolina mountains, representing a 24.4% year-over-year increase over sales in June 2020.

This was a record number of transactions ever for any June, according to data from Canopy MLS. Sales compared to the previous month (May 2021) increased 12.6%, while year-to-date figures show sales at midyear pacing 35.9% ahead of sales, during the first six months of 2020. These are completed transactions that include single family and condo/townhome data only.

Pending sales figures show the region still has plenty of demand, as buyers drove 1,388 properties under contract during the month, an increase of 2.4% year-over-year. June’s pending sales activity was nearly on par, with May 2021 down slightly, 0.6%, still year-to-date figures show just how strong contract activity has been during the first half of the year, rising 30.1% over the first six months of 2020.

Sellers are responding to the market favorably as represented by a 16.3% year over-year increase in new listings in June, as sellers added 1,672 homes to the market. However, with inventory already critically low, this will do little to change strong seller’s market conditions. Inventory declined 49.8% year-over-year, leaving 1,922 homes for sale or 1.5 months of supply at report time.

Dave Noyes, a Canopy MLS board of directors member and broker-in-charge with RE/MAX Results, said, “The Asheville region continues to see unprecedented growth and shows just how desirable it is to live in the region. June’s record sales numbers show how strong the market is, even as our low inventory situation continues to impact prices. However, the outlook is encouraging and the steady growth in new listings, should help to improve supply over time and give buyers more options.”

Prices across the region continued to rise in June, with both the median sales price ($348,000) and the average sales price ($427,218) increasing 24.3% and 32.1% year-over-year respectively. The average list price rose 8.5% year-over-year to $453,930, bringing the original list price to sales price measure to 99.4%, showing sellers receiving nearly all of asking prices this past month. Homes are selling quickly as indicated by days on market, which averaged 32 days compared to 64 days on market this time last year.

The Asheville region includes Burke, Buncombe, Haywood, Henderson, Jackson, Madison, McDowell, Mitchell, Polk, Rutherford, Swain, Transylvania and Yancey counties.

Asheville MSA

Sales across the Asheville metropolitan statistical area (MSA) mirrored that of the region, rising 26.4% year-over-year with 880 homes sold during the month of June. Month-over-month, June sales were up 13.5%. Though pending sales were down 3.8% compared to June 2020, showing slower buyer activity than June 2020, year-to-date figures show buyer demand remains strong across the metro-area, rising 27.9% over buyer activity during the first half of 2020. New listing activity remains a bright spot for buyers, increasing 13.2% year-over-year, as sellers listed 1,124 homes for sale versus 993 listed in June 2020. Still, buyers will find the inventory situation is less than ideal, falling 46.3% year-over-year and leaving 1,221 homes for sale or 1.5 months of supply. Buyers will continue to face headwinds of low supply amid rising prices.

Both the median sales price ($370,000) and the average sales price ($450,931) rose 23.4% and 29.6% year-over-year, while the average list price of $484,542 rose 13% compared to last June. Sellers in the metro area are getting nearly all of asking price, as displayed by the original list price to sales price ratio increasing 4.1% year-over-year to 99.8% of asking price. Days on market averaged 28 days this past June versus 50 days in June 2020.

Noyes added, “While Realtors® are encouraged that housing continues to lead our economic recovery, we are keenly aware that the lack of inventory and rising prices, are keeping a number of first-time home buyers and workforce buyers from being able to purchase. Industry leaders working with elected officials will need to work creatively to address the challenges surrounding affordability, until the market reaches a more balanced position, allowing more people access to homeownership.”

Buncombe County

Sales in Buncombe County rose 23.8% year-over-year in June with 468 homes sold compared to 378 that were sold in June 2020. Pending sales were level with pending sales activity last year, rising just 1.2% year-over-year with 504 properties entering the pipeline of sales. Seller confidence seems to be rising, as indicated by new listings, which rose 6.1% over last June, as sellers brought 577 homes to market versus 544 that were newly listed in June 2020. Inventory fell 51.9% year-over-year leaving 581 homes for sale or 1.3 months of supply at report time. Prices are being impacted by the low inventory environment, causing both the median sales price ($400,000) and the average sales price ($507,976) to rise 23.1% and 32% year-over-year respectively. The average list price rose 17.8% year-over-year to $538,628. While the original list price to sales price ratio showed sellers getting 100.4% of asking price during the month of June. Buyers can expect a fast-moving market, as indicated by days on market averaging 33 days during the month of June.

Haywood County

Home sales in Haywood County continued their positive streak, rising 46.1% year-over-year as 130 homes sold versus 89 that sold this time last year. Pending sales declined 14% year-over-year, a sign that buyer competition may be slowing, as buyers drove 141 homes under contract during the month compared to 164 that were under contract this time last year. Still buyers in Haywood will welcome the rise in new listings. Midyear figures show pending sales activity has been strong during the first half of 2021, with 24.2% more pending sales activity than during the first half of 2020. New listings rose 17.4% year-over-year as sellers brought 189 homes into active status. However, buyers will find that homes are selling nearly as quickly as they’re listed, as inventory fell 38.8% year-over-year during the month of June, leaving 230 homes for sale or 1.8 months of supply at report time. Both the median sales price ($299,500) and the average sales price ($313,933) rose 15.2% and 9.6% year-over-year respectively, while the average list price rose 14% to $390,060. Sellers are inching closer to receiving all of asking price, as indicated by the original list price to sales price ratio of 97.7% during the month of June. Homes are selling quickly as indicated by days on market, showing homes averaged 26 days on market in June 2021.

Henderson County

Positive sales continued in Henderson County in June. Closed sales rose 22.5% year-over-year as 256 homes sold during the month compared to 209 that sold this time last year. Pending sales, which indicate buyer demand, declined 6.6% year-over-year as 228 homes went under contract versus 244 under contract in June 2020. New listing activity rose a welcome 18.4% year-over-year, showing seller confidence on the rise, as sellers brought 309 properties to market. However, inventory is critically low, falling 39.2% year-over-year, leaving 338 homes for sale or 1.6 months of supply. Supply woes will continue to pressure prices, which rose sharply in June. Both the median sales price ($362,500) and the average sales price ($414,888) rose 23.7% and 31% year-over-year respectively, while the average list price rose slightly, 0.3% to $429,818. Sellers in Henderson County received all of asking price in June and then some, as indicated by the original list price to sales price ratio topping 100.2% during the month. Sellers also have the added plus of faster sales, as homes were not on market very long in June. Days on market showed homes averaged 20 days on market until sale in June 2021 compared to 46 days on market this time last year.

Madison County

(Due to small ample size of homes for sale, percentages of change can look extreme) Sales in Madison County rose 30% in June as 26 homes sold compared to 20 that sold this time last year. Pending sales, however declined 7.7% year-over-year as 24 homes went under contract during the month.  New listing activity rose 81.5% year-over-year as 49 homes were added to inventory. However, this will not improve the inventory situation, which declined 45.5% in June, leaving 72 homes for sale or 2.7 months of supply. Prices rose sharply in relation to supply. Both the median sales price ($430,000) and the average sales price ($466,192) rose 91.1% and 87.3% year-over-year respectively, while the average list price rose 45.7% to $555,229. Sellers received 95.7% of asking prices in June 2021, as indicated by the original list price to sales price ratio. The market moved rather quickly in Madison, as indicated by days on market averaging 29 days in June versus 92 days on market in June 2020.

For more residential-housing market statistics, visit www.CarolinaHome.com and click on “Market Data.”