Report: Asheville region moving closer to a healthy, balanced market

News release from Canopy Realtors:

Asheville region home sales declined in August, falling 2 percent compared to last August, with 935 homes sold.  Nineteen home sales marked the difference between last August and August 2024, as buyers lured by the promise of a September rate cut, wait out the market. Closings compared to July 2024 showed an increase of 5.9 percent month-over-month. Canopy MLS sales represented in this report are for single-family, condo, and townhome sales only.

Contract activity throughout the region remained steady, rising 1.7 percent year-over-year as 946 properties went under contract, compared to 930 in August 2023. Compared to the previous month, contract activity was down 6.6 percent.  The region’s showing activity, though down overall by 6 percent compared to August 2023, showed buyer interest remained highest in the city of Asheville, where listings averaged 4.1 showings (or potential buyers) per listing, followed by Hendersonville, where listings averaged 3.6 showings per listing.

New listings continued to rise across the region, increasing 17.9 percent year-over-year as sellers brought 1,449 properties to market. New listings compared to the month of July were up 12.9 percent.  Listing activity has risen for the past twelve months and has increased inventory in August by 40.1 percent, to nearly 3,350 homes for sale and four months of supply.  Canopy MLS data at report time showed a 26.8 percent year-over-year increase in new construction throughout the 13 counties, equating to 483 additional new construction homes added to the market.

“At four months of supply, our housing market is moving towards a more balanced position, and in the direction of a buyer’s market, said Caleb Phillips, a Canopy MLS Board of Director and Realtor®/broker with Lusso Realty.The September rate cut should bring more sellers to the market, who have been reluctant to sell due to the “lock-in” effect of their lower rate. More supply also alleviates pressure on prices; however, lower rates also have the added problem of bringing more buyer competition to the market. Working with a Realtor® can alleviate anxiety on both sides of the transaction when navigating the complexities of the market.”

Even as inventory and supply rose, prices increased modestly throughout the 13 counties where Canopy MLS tracks data. Both the median sales price ($427,900) and the average sales price ($554,091) increased by 3.8 percent and 8.5 percent year-over-year respectively while the average list price increased 17 percent to $621,750. This brought the original list price to sales price measure down slightly, to 95 percent, while time on market increased 28.6 percent and showed homes averaged 45 days on market until sale, compared to 35 days on market in August 2023.

Asheville MSA 

Sales throughout the MSA were down slightly, 3.3 percent year-over-year as 613 homes sold compared to 634 that sold a year ago in August. Month-over-month closed sales increased 13.8 percent.  Contract activity was roughly on par with pending contract activity a year ago, rising 0.8 percent, as 610 homes went under contract, five more than the previous year.  Month-over-month contract activity was down compared to July by 6 percent. Sellers, throughout the MSA continued to show their confidence in the market, listing 933 homes for sale, an increase of 15.6 percent compared to last year, when just a little more than 800 listings were added to inventory. Inventory and supply continued to improve, rising 38.3 percent and 37 percent year-over-year respectively, leaving the MSA with 2,029 homes for sale at report time and 3.7 months of supply.

Prices edged higher in the MSA, due to steady demand. The median sales price ($465,000) and the average sales price ($609,317) rose by 6.4 percent and 12.9 percent year-over-year respectively, while the average list price increased by 19.6 percent to $687,799.  This brought the original list price to sales price measure down less than a percent to 95.6 percent, while days on market increased 40.6 percent compared to last year and showed homes averaging 45 days on market until sale compared to 32 days on market a year ago.

A closer look at the inventory of homes for sale by property type showed condo inventory increased year-over-year by 66.7 percent, with the majority of inventory priced between $200,000 and $400,000.  Townhome inventory rose 24.3 percent compared to last year, with the majority of inventory priced higher than the condo market, between $400,000 and $600,000. Currently, there are 4.6 months of supply of condo inventory and 4.1 months of supply of townhome inventory.

Phillips continued, “More supply throughout the MSA and region means that buyers are in a better position to find a home at a more favorable price. The townhome and condo market continues to present buyers in the MSA with more affordable options. Home buyers working with a Realtor® have access to a Down Payment Assistance Resource tool in Canopy MLS to help with down payment assistance. Consumers should be aware that down payment assistance is available on a number of properties in the MLS priced up to $700,000.”

Counties in the MSA

Buncombe County home sales declined 6.8 percent year-over-year as 313 homes sold compared to 336 the previous year.  Contract activity was steady, rising 1 percent compared to last year as 317 homes went under contract, compared to 314 last August.  New listings in the county jumped by 11.9 percent year-over-year as sellers listed 479 homes for sale, boosting inventory and supply.  Inventory at report time showed 957 homes for sale and 3.3 months of supply. New construction in Buncombe County is up 7 percent year-over-year bringing an additional 184 new construction homes for sale. The median sales price ($505,000) and the average sales price ($714,328) rose by 8 percent and 19 percent year-over-year respectively, while the average list price increased by 24.6 percent to $795,977.  This brought the original list price to sales price measure to 96 percent while days on market increased 43.8 percent and showed homes on market for 46 days compared to 32 days the in August 2023.

Haywood County home sales in August were down by 2.1 percent year-over-year as 95 homes sold compared to 97 that sold in August a year ago. Sales however were up 12.8 percent compared to July.  Contract activity was also depressed, down 6.1 percent as 93 contracts were written during the month compared to 99 homes under contract in August 2023. Month-over-month contract activity in Haywood was unchanged. New listings continued to move higher, increasing 22.9 percent compared to last year as sellers listed 161 homes for sale, or 30 more than were listed a year ago, a significant boost to inventory.  Inventory at report time was up 63.6 percent to 391 homes for sale while supply rose 71.4 percent year-over-year to 4.8 months of supply.  A look at resale versus new construction inventory showed 49 new construction homes added to the market in August. With supply and inventory up and demand low, prices declined.  Both the median sales price ($370,000) and the average sales price ($444,593) dipped by 7.5 percent and 1.5 percent year-over-year respectively, while the average list price increased 22 percent to $611,685.  This brought the original list price to sales price measure down to 93.6 percent, while days on market showed homes averaged 38 days on market until sale compared to 40 days a year ago.

Henderson County home sales rose again in August, increasing 7 percent year-over-year as 183 homes sold compared to 171 that sold the previous August. Month-over-month sales were up 10.2 percent.  Pending sales or contracts also rose by 6 percent compared to last August, as 177 homes went under contract, ten more than in August 2023. Month-over-month, contract activity was down by 18.8 percent.  New listings continued to rise, as sellers brought 254 homes to market, an increase of 17.6 percent compared to last August.  New listing activity compared to July was down 4.2 percent. Both inventory and supply rose by 58.7 percent and 52 percent year-over-year respectively, leaving 576 homes for sale or 3.8 months of supply. A look at new construction in the county showed 127 new construction homes added to the market in August, an increase of 36.6 percent compared to last year. Prices rose modestly. The median sales price increased by 5 percent compared to last August to $458,000 while the average sales price rose by 8.8 percent to $536,284. The average list price increased by 9.8 percent to $556,102 bringing the original list price to sales price measure to 96 percent.  Days on market in Henderson County increased by 69.2 percent and showed homes averaged 44 days on market compared to 26 days on market in August 2023.

Madison County home sales in August declined by 26.7 percent to 22 homes sold compared to 30 that sold in the previous year.  Pending contract activity also declined by 8 percent as buyers wrote contracts on 23 homes compared to 25 in August 2023.  New listing activity showed sellers listed 39 homes for sale compared to 32 in August 2023, an increase of 21.9 percent year-over-year. Inventory rose 4 percent to 105 homes for sale while supply increased 19.5 percent to 4.9 months of supply.  New construction added 20 homes to the market in August, a rise of 66.7 percent compared to last year. With demand down, the median sales price dipped by 4.9 percent year-over-year to $387,000 while the average sales price was unchanged at $434,106.  The average list price rose 8.3. percent to $529,128 bringing the original list price to sales price measure to 96.4 percent. Days on market increased 86.8 percent and showed homes on market for 71 days compared to 38 days in August 2023.

Other counties around the region  See data for August 2024

Burke County experienced decreases in all pricing metrics except for the average list price which increased 12.0 percent to $361,996. The percent of original list price received fell to 92.9 percent this month. The median sales price declined by 20.3 percent to $250,000, while the average sales price fell by 7.5 percent to $328,372. Closed sales increased by 17.2 percent to 75 properties this month. Pending contract activity decreased by 6.6 percent, with 85 homes under contract during August.

There was a substantial 106.9 percent increase in inventory with 209 properties available, equivalent to a 3.1-month supply, a 93.8 percent increase from 2023. New listings jumped by 37.3 percent as sellers brought 114 homes to market compared to 83 in August 2023. Days on market reached 50 days, up from 25 the previous year.

Jackson County home sales dipped by 3.2 percent year-over-year to 30 homes sold compared to 31 sold a year ago.  Pending contract activity rose 17.4 percent to 27 homes under contract during the month versus 23 the previous year. New listings jumped by 14.8 percent to 31 homes listed compared to 27 in August 2023. Inventory rose by 9.2 percent to 95 homes for sale while supply increased 4.5 percent to 4.6 months of supply. The median sales price ($404,665) dipped by 5.9 percent while the average sales price ($528,028) dipped by 6.9 percent compared to last year. The average list price soared 20.9 percent to $565,065 bringing the original list price to sales price measure to 93.5 percent while days on market until sale increased 4.8 percent and showed homes averaged 44 days on market compared to 42 days on market in August 2023.

McDowell County home sales in August increased 17.1 percent to 41 homes sold compared to 35 that sold in August 2023.  Contracts also increased by 6.3 percent to 34 homes under contract compared to 32 under contract the previous year.  New listings increased 6.7 percent to 64 homes listed during the month compared to 60 listed during the previous year. Inventory and supply rose by 26.5 percent and 13.2 percent year-over-year respectively.  Inventory showed 148 homes for sale and 4.3 months of supply. Prices moved lower this month. The median sales price declined 7.4 percent to $315,000 and the average sales price dipped less than a percent (-0.9%) to $370,061. The average list price increased by 29.6 percent to $522,643 bringing the original list price to sales price measure to 93.9 percent. Days on market lengthened by 30.6 percent and showed homes averaged 47 days on market in August compared to 36 days on market a year ago in August.

(Due to smaller sample sizes in counties where there is a smaller pool of listings, percentage increases or decreases may seem extreme)

Mitchell County had 14 homes sold in August, which is unchanged compared to August 2023, while pending contracts declined 15.4 percent to 11 homes under contract compared to 13 in August 2023. New listings increased 11.1 percent to 20 homes added to inventory, increasing inventory by 27.4 percent to 79 homes for sale or 7.6 months of supply.  The median sales price rose 16.8 percent to $373,750 while the average sales price rose 32.8 percent to $423,464. The average list price increased 20.1 percent to $350,081 bringing the original list price to sales price measure down to 88.3 percent. Days on market increased 26.9 percent and showed homes on market for 66 days compared to 52 days in August 2023.

(Due to smaller sample sizes in counties where there is a smaller pool of listings, percentage increases or decreases may seem extreme)
Polk County home sales rose 10.2 percent year-over-year as 32 homes sold compared to 29 that sold the previous August. Contract activity was also up by 30 percent as 26 homes went under contract during the month compared to 20 in August 2023. New listings also increased by 35.5 percent year-over-year as 42 homes were listed compared to 31 listed the previous August. Inventory rose by 53.2 percent to 121 homes for sale or 4.9 months of supply. The median sales price rose by 13.8 percent to $432,500 while the average sales price dipped by 8.1 percent to $493,739. The average list price increased 26.6 percent to $731,669 bringing the original list price to sales price measure to 91.1 percent.  Days on market increased by 6.1 percent to 52 days on market compared to 49 days on market in August 2023.

Rutherford County home sales this past August declined 12.7 percent year-over-year as 55 homes were sold compared to 63 the previous year. Pending contract activity showed buyers drove 72 homes under contract during the month, an increase of 4.3 percent compared to last August when 69 homes were under contract. New listings continued to increase rising 13.7 percent as sellers listed 116 homes for sale compared to 102 the previous August. This boosted both inventory and supply which rose by 55.4 percent and 48.5 percent year-over-year respectively. At report time Rutherford County had 314 homes for sale and 4.9 months of supply.  The median sales price increased 14.7 percent to $269,500 while the average sales price increased a modest 3 percent to $367,713.  The average list price rose by 12.3 percent to $396,930 bringing the original list price to sales price measure to 93.3 percent. Days on market continued to increase, lengthening by 53.6 percent to 43 days on market, compared to homes averaging 28 days on market a year ago in August.

Transylvania County home sales in August declined 15.1 percent to 45 homes sold during the month compared to 53 that sold in a year ago in August. Contract activity showed buyer demand down 8 percent year-over-year to 46 homes under contract compared to 50 last August. New listings increased 13.3 percent 68 new listings, which is eight more than were listed in August 2023. Inventory rose by 34.3 percent to 184 homes for sale or 4.2 months of supply. The median sales price dipped by 5.9 percent year-over-year to $495,000 while the average sales price increased by 2.6 percent to $701,054. The average list price increased 12.1 percent to $737,357 bringing the original list price to sales price measure to 98.7 percent.  Days on market declined 47.2 percent and showed homes averaged 28 days on market until sale compared to 53 days on market in August 2023.

(Due to smaller sample sizes in counties where there is a smaller pool of listings, percentage increases or decreases may seem extreme)

Yancey County home sales rose again in August, 4.3 percent year-over-year as 24 homes sold compared to 23 the previous year.  Contract activity showed buyer demand also increased by 30 percent year-over-year to 26 homes under contract compared to 20 in August 2023. New listings jumped by 63.3 percent to 49 homes listed, up from 30 the previous August. Inventory and supply rose by 30.4 percent and 23.6 percent year-over-year respectively.  At report time there were 133 homes for sale and 6.8 months of supply, a solid buyers’ market.  The median sales price dipped by 2.5 percent to $355,750 while the average sales price increased 15.1 percent to $462,897. The average list price in Yancey County increased 2.5 percent to $566,818 bringing the original list price to sales price measure to 94.7 percent.  Days on market decreased by 49.4 percent and showed homes averaged 44 days on market compared to 87 days on market in August 2023.