Home prices are soaring like hot air balloons but – are we really in a bubble? I don’t think so. You don’t have to listen too hard to hear doom and gloom, but, consider these three reasons the Asheville real estate market may not crash. This isn’t a prediction or a promise, just some unscientific optimism and perspective from one realtor/fan of Asheville.
Cash is Queen!
Sure, interest rates are going up, and so are home prices. In fact, interest rates are at their highest in almost 15 years. But – they are still low compared to average rates over the past three decades. And, the historically low rates we’ve had for the past several years, coupled with the fantastic appreciation the Asheville market has experienced, has placed many people in a great position to either pay cash for a new home, or make a substantial down payment on a loan.
Lessons Were Learned
Like it or not, when the government stepped in to tighten up lending in 2008, banks were forced to reevaluate who they would lend to, and home buyers were forced to put the brakes on until they were a sure thing. Okay, well, it’s not as simple as that, but we are not in the same position as we were in 2006-2007, when pretty much anyone who claimed they could afford it got a mortgage. Or two. For numerous reasons, money was harder to come by after that crash, and therefore people who did buy homes during the recession were less likely to default. So, overall, the housing market should be in a much less precarious position than the last time.
These Mountains Are Not Moving
Asheville will always be a desirable place to live for at least one main reason – our mountains! Artists, dreamers, and people just wanting to live where they wake up to something beautiful each day are not going to suddenly stop moving here. Whether you love progress or just tolerate it, Asheville will always be a community shared by natives and newcomers alike.
Like I said, this is optimism at its finest. Psychic abilities aside, Asheville Realty Group is here to help you navigate the market and reach your real estate goals.
Stop in and see us at one of our locations: 47 Patton Avenue, downtown; or 788 Merrimon Avenue in North Asheville. OR –
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About Asheville Realty Group
Asheville Realty Group is a boutique brokerage firm offering full-service real estate services. We have locally experienced agents who specialize in residential homes, luxury homes, investment properties, country-side acreage and everything in between. We love Asheville and the surrounding western North Carolina mountain communities that we call home!