Covid-19 has shaken Asheville’s real estate market, in some areas more than others.
Before the pandemic, real estate agents were anticipating a booming spring buying season.
“I really feel like currently, it’s like a bottle that’s been corked," Byron Greiner, president of the Land of Sky Association of Realtors, said.
Prior to coronavirus, Buncombe County’s housing market was seeing an annual increase of about three to four percent, Greiner said. He points to factors like interest rates and a shortage of homes, particularly in the $250-400,000 range.
“There is not enough production to keep up with the demand in that pricing segment," Greiner said. "We don’t have enough new construction that’s being built to supply the demand, and it’s even gotten worse because we have a pent-up demand from consumers, there’s not a lot of new construction going on right now.”
He says the stay-at-home order added to that pent-up demand, since real estate agents were unable to show homes in Buncombe County for three weeks. They’ve since returned to their jobs, but under strict social distancing and sanitation guidelines. Sales were down slightly in March -- 270 homes compared to 297 last year. April sales were up slightly, with 214 compared to 203. Greiner says he’s hopeful that sales will remain steady through summer and fall, especially as people from other states like New York look to move to areas with less population density.
But more uncertainty lies in the rental market. And before the pandemic, Buncombe County was already experiencing a shortage of available properties.
“When the economy goes down, the rental market is certainly more desirable because people rent rather than buy," Greiner said.
Greiner says only 2 percent of Buncombe County’s rentals are available. When this story went to air, 22 rental properties under a thousand dollars were listed on Zillow.
