Where are people moving to Asheville from? Who can afford it?
ASHEVILLE – While Asheville has seen record home prices in recent months, this has not kept homebuyers ― from in and out of state ― from continuing their search for Asheville housing.
Data from Redfin, a Seattle-based real estate brokerage company, indicates that homebuyers from large metro areas, like Charlotte, Miami or Austin, search the most frequently to move to Asheville.
According to one local realtor, many come from Florida, California, Ohio and Georgia, but “not too many from the Northeast,” said Valeria Wyda, a realtor with Asheville’s Nest Realty.
Wyda’s experience is not too different from Redfin data.
Homebuyers searching for housing in Asheville were most likely to be located in Florida, Washington, D.C. and Texas, according to a June to August 2023 report from Redfin.
For interested homebuyers from cities, Miami homebuyers searched for Asheville housing more frequently than any other group of metro homebuyers, surpassing Charlotte and Raleigh, according to Redfin.
Redfin’s top cities where homebuyers are searching in Asheville
- Miami, Fla.
- Charlotte
- Raleigh
- Washington, D.C.
- Austin, Texas
- Chicago, Ill.
- Tampa, Fla.
- Los Angeles, Calif.
- Atlanta, Ga.
- New York, N.Y.
How many people are moving here; why?
As home prices have reached a record median sales price of $490,000, Asheville has found itself in a primarily “luxury market,” Wyda said. She estimates a third of her customers are wealthier investors, who often age around the “early 30’s.”
“At least me, in my case, I am seeing a lot of younger, fearless investors,” Wyda said of the current homebuyer population.
Additionally, Asheville came up as one of the most popular cities to move to in 2023, according to a 2023 moveBuddha report.
Between 2010 and 2020, Asheville’s population grew 13.4%, and is now estimated at just under 94,000, according to U.S. Census estimates.
Asheville had a 2.8 in-to-out ratio Asheville — fifth in the country, according to moveBuddha’s 2023 moving trends report.
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That means that for every 100 people who are interested in moving away from Asheville in 2023, 280 people are interested in moving into the area. The report uses U.S. Census data, as well as data regarding the number of movers who have used moveBuddha to move to, or away from, Asheville.
However, the market is especially difficult for first-time homebuyers in the area, Wyda said, noting that many recent out-of-state homebuyers have been wealthier, meaning that they can bid higher than some first-time homebuyers.
Many looking for housing are either first-time homebuyers, looking for a second-home or motivated by external reasons like climate, Wyda said.
“You have a first time homebuyer — someone with a more or less than median income — having to compete with someone who’s already retired with a good retirement, or someone who comes with a work from home, well-paid job.” Wyda said.
The city’s latest matrix for affordable area median income-based rent shows an AMI for one person set at $59,500, but other metrics indicate that family median income has been growing at a faster pace in the area.
Of the homebuyers Wyda has worked with to close on homes in the past two years, only about “10% to 15%” were first-time homebuyers, Wyda said.
As recent home prices have increased, difficulty comes in the limited amount of housing and the competitive Asheville market, Wyda said. A recent Allen Tate/Beverly-Hanks report indicated that 99% of houses listed between $300,000-$800,000 sold in the second quarter of the year.
Many who are searching for housing and unable to find it are local renters, Wyda said.
“The majority of the rental population are first-time homebuyers that just can’t get into a house,” Wyda said. “But they are dying to get into a house.”
More on homebuyers: Asheville home buyers no longer paying over asking price, on average; home prices $644K
Climate change spurring homebuyers
An additional aspect of why some may be interested in the market may not be to vacation, but to avoid natural disaster.
Climate migration has been noted as a frequent motivation for moving, said Mike Figura, owner of Asheville’s Mosaic Lifestyle Community Realty.
“A lot of people are moving here for climate related reasons, and I think that’s just going to accelerate as climate change accelerates,” Figura said. “So unless we can figure out a way to build more housing in a hurry. Prices are going to remain high.”
Figura also stated that the influx of new residents comes as interest rates remain high and it takes more time to build in the mountains than it does in other locations.
Earlier this year, Asheville was ranked third on a USA TODAY list of top U.S. cities to receive an influx of residents due to climate migration.
“If you take a step back and look at the forest through the trees — the fundamentals of our market — we’re a very desirable place to live,” Figura said. “We’re climate resilient.”
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Will Hofmann is the Citizen Times Growth and Development Reporter. Email him at [email protected]
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