The Asheville real estate market received a potential boost October 4^th when Buncombe County commissioners voted unanimously to change the current zoning ordinance for vacation rentals.  Since December 2009, residential rental restrictions have been in place, limiting new properties from entering the rental market. 

With the rental restrictions, many Realtors reported that homebuyers looking for second homes were often deterred by the rental restrictions.  It is not unusual for people planning to retire in Buncombe County to buy a home prior to retirement and put it into the rental market until they are ready to relocate to the area permanently.  The restrictions meant that was no longer a legal option.

Rental Restrictions for Buncombe County revized.

With the commissioners' action which allows rentals countywide, homeowners will now have that option restored.  In addition, visitors to the Asheville area will have more rental properties from which to choose.  Many tourists prefer to stay in a home and have a more authentic mountain cabin experience than a hotel room may provide.

For more information about Asheville area homes and rental properties, please contact Greybeard Realty.

At a June 6^th meeting, the Buncombe County Commissioners agreed to revisit an ordinance implemented in December 2009 that restricts some areas of Buncombe County from having new rental homes.  The present ordinance has current and potential impacts on Buncombe County and Asheville's real estate market and economy.  In addition to limiting the options for renters who want an authentic mountain home stay rather than a hotel visit, the ordinance also limits options for Asheville home owners.  

Asheville rental cabins give an authentic mountain experience.

Home buyers in our area often buy homes with an eye for the future.  They purchase now with the intention of renting the home until they reach retirement age.  By limiting which homes can become rental properties, the current ordinance restricts the Asheville real estate market.  When potential buyers learn that they cannot rent a specific home within certain zones, they decide against purchasing in this area.  The present ordinance sends potential real estate buyers into other mountain communities that will allow renting.

In another economic blow, the restriction of rental properties also reduces occupancy and sales tax when renters go to other communities instead of renting here. In addition, the work force is reduced when home cleaners, maintenance and repair people, and landscapers, to name a few, are no longer needed for the upkeep of rental homes. And finally, tourism is reduced.  With the restriction of rental properties comes the limiting of renters which in turn limits the seasonal tourism dollars which our communities are so dependent on for a vibrant economy.

For more information about the Asheville real estate market and Greybeard's offerings in the area, please contact Greybeard Realty.

Statistics and statistical analysis can be varied, depending on who is parsing the numbers.  While I consider one item to be a positive sign, someone else can come along and decide it's a negative.  Regardless of how one looks at the real estate numbers for Buncombe County for the last few years, the one observation that most people would agree on is that we are a seasonal market, and we are headed toward our positive season.

In considering the first two months of market numbers for Buncombe County and Black Mountain, there are some numbers that seem solid.  The number of homes sold for Jan/Feb this year, compared with last year's numbers, are steady. In addition, in Black Mountain, the 14 homes sold are only two less than the 16 units sold for this period during 2008 before the national real estate market decline.  The County comparison for homes sold this year to date compared with 2008 during the same period, however, represents a 32% decline.

Sales volume comparison for the same period for 2011 versus 2010 in the County shows a 10% decline.  Black Mountain sales volume for these first two months of 2011 shows a 12% increase over the same period in 2010.  Those numbers parallel the average price trend, which has Buncombe County declining 9% and Black Mountain increasing 4%.

One area of concern is Days on Market which has increased in both the County and Black Mountain.  The number of days, 187 for both markets, is about double what we would like to see in a growing real estate market.  It's also interesting to note the number of homes on the market which has remained steady in Black Mountain and decreased in Buncombe County.  While that would seem like a positive, there is no way without further study to determine if those numbers are that way because people are removing their homes from the market or holding off putting them on the market until the market picks up a bit.

Again, different people will consider these numbers and perhaps have a different slant to put on them.  But I look at these numbers and the market trends over the last few years, and I feel very comfortable noting that with spring here and summer around the corner, we are entering an active period for home sales.  And if buyers enter the market willing to offer fair price, they should be able to buy a home that will meet their needs now and provide them with a solid investment for the future.

For more information about the Asheville Real Estate market, please contact Greybeard Realty.

While Tiger Woods tackles the Augusta National Golf Course this week, he faces an uphill struggle with his company, Tiger Woods Design.  In the five years since his company's founding, none of his three golf course projects has been completed.  And one course, located in Asheville, will not resume construction until at least this [...]

There are several signs that larger homes, often known as McMansions, may be headed the way of the dinosaur...or at least the albatross.  The American Institute of Architects survey in 2010 indicated that close to 60% of respondents noted that homes were getting smaller while the remainder reported that home sizes were staying the same.  [...]

The Commerce Department just released housing start numbers for January 2011, and they showed a 14.6% increase to an annual rate of 596,000 units.  That figure was up from an annual rate of 520,000 in December, but economists warned that statistic could be misleading.  They said the majority of the increase could be attributed to apartment construction, not single family construction.

 In fact, single-family home permits, which is viewed as a more stable indicator of new homebuilding activity, stayed flat for the month. Again, however, economists noted that the figures alone did not tell the whole story.  They said that staying flat in this case could be seen as positive news.  Given the harsh winter weather, making new construction more challenging, some experts had predicted a decline in new building permits.

Building Permits on the Rise

In addition, future housing permits declined 10.4% from last month to 562,000 falling short of the 575,000 figure that a national survey had predicted. Once again, however, economists qualified the numbers by saying that the December future housing permits were perhaps artificially high as people hurried to beat more stringent building restrictions anticipated for 2011.  For more information, please contact Greybeard Realty.

There are some new housing numbers that may indicate an improvement in the home sales market in the months to come.  Nationally, new home sales jumped 17.5% in December which increased sales of new homes to their highest levels in 8 months.  Economists had expected a 300,000 unit increase for the period.  Instead, there was a seasonally [...]

Annual numbers for real estate sales for 2010 have been released by MLS, and at first glance it's hard to find much good news to hang your hat on.  A quick scan down to the percent change shows negative numbers in every category except one---and that one shows no change at all.  Those declines hold true for both Buncombe County and Black [...]

If you have dreamed of owning an Asheville rental cabin of your own, you may be interested in the information presented recently in the Wall Street Journal. The article indicates that second home sales in some markets increased at dramatic levels last year. According to the article, the soaring sales levels can be attributed to deeply [...]

Chip Craig, Greybeard Realty founder, studies the Black Mountain market regularly.  In a recent Asheville-Citizens Times article, he notes that the return of positive numbers in the local market is not surprising to him.  "It was growing a lot before this downturn," he said. "We were one of the last areas to feel it, so it makes sense we'd be one of the first areas to improve," said Craig. 

Black Mountain Views

In addition, Buncombe County continues to show positive signs of real estate growth.  Another piece in the Citizens Times attributes the growth to new buyers and price shifts.  Be sure to read the particulars of this article  for more insight into the steadily improving market.

From the previously mentioned articles, it appears the numbers indicate that the local real estate market is headed toward more steady growth. As other areas of the country improve, and more people can sell their existing homes in those areas, expect to see even more people coming to Black Mountain to enjoy what the area has to offer.