Third quarter numbers of western NC real estate are in, and the market seems to be holding fairly steady to its latest upward trend. While growth in some areas is small, there are a few particular statistics that may be very telling about the market to come.
The number of units sold countywide is up a solid 4% from 3073 for this period in 2015 compared to 3192 for the same period this year. Total sales volume for this period is up 16% from 854.8 million in 2015 to $988.8 million this year. As those increases indicate, there has been an increase in average price of 11%, from $278,156 in 2015 to $309,764 this year. As has been discussed in the most recent market reports, this increase in price was expected due to a shrinking market and an increase in demand.
And that leads to the most interesting statistics in this data, the days on the market (DOM) and the sales price/list price percentage. In the county, the number of DOM has shrunk from 124 days in 2015 to a mere 72 days in 2016, year to date, and sales price is 98% of asking price for 2016. That means that homes are not staying on the market very long, and buyers are not getting much negotiating room at this time.
The Black Mountain real estate sales market is a little different. There’s only a slight change in the number of units sold, 164 in 2015 down to 162 in 2016, a 1% decreased. Similarly, sales volume is down a small 2% from $42.3 million to $41.6 million in 2016. As that indicates, there has been a negligible change in the average price from last year. It’s important to note, however, that this statistic also may be indicative of the small supply that is available in Black Mountain right now. Anecdotally, there are interested buyers who have not been able to find a home because of the small number of homes available for sale at this time.
Interestingly, there has been a similar decline in DOM for Black Mountain, down from 141 days in 2015 to only 79 days in 2016. And again at the same time, the SP/LP percentage has increased, from 95% of asking price to 98% of asking price. And the number of units on the market has increased 15% to 129 from 112 in 2015. In this instance, there were 38 units, or 29% of the homes listed as on the market, under contract at the time the numbers were extracted for analysis. If that number is extracted from the number of units listed on the market, then the supply may actually be a bit tighter than last year at this time.
So what can be garnered from these third quarter numbers? First of all, it’s important to recognize that the Black Mountain market is smaller, making some of the numbers seem more dramatic than they are. It seems apparent that buyers are out there looking, as the DOM has decreased so dramatically across the board. Also, it seems as if perhaps sellers have decided that they can get a good price for their homes and perhaps people who were holding off on selling have now moved forward.
In the months to come, it will be fascinating to watch what interest rates do, with a rumored increase in late 2016 anticipated. While that shouldn’t have any immediate impact on buyers or sellers, it may be what’s pushing both buyers and sellers forward in this positive real estate market right now. As usual, time will tell.
And in the meantime, Greybeard Realty is ready to show you the home of your dreams. Whether you're considering a NC mountain home or the ideal Asheville log cabin for your own escape, it's a great time to own your own place in western NC. Come on up and settle into your own peaceful mountain place.