Asheville, NC ( Change Location ) LAST UPDATE: 1/8/2014
POPULATION: 412,672 GROWTH IN 2012: 0.9%
Local Economy Status First Quarter 2014. Economic growth has been good since the recession. Growth was good in the past year, despite job losses in government, because of strong job gains in tourism and good gains in retail and the large healthcare sector. There is a large retirement population. Unemployment is average. Expect even better growth the next few years as state finances improve.
JOB GROWTH In the past 12 months, jobs in this market have changed by 2.6 percent. This compares to a national increase of 1.7 percent. Growth in local jobs should increase consumer spending, helping local retailers and service providers.
UNEMPLOYMENT The Unemployment Rate in October 2013 was 5.6% versus 7.0% last year and a national rate of 7.3%. A tighter labor market could make it more difficult for local businesses to hire new employees and could put upward pressure on local wages.
EMPLOYMENT BY INDUSTRY The local economy had a total of 177,500 jobs in November 2013. Health Care & Education, Tourism/Hotels and Finance have been the strongest industry sectors over the past 12 months.
Business Startup Activity Here are the industries with the highest number of new firms and newly developed branch operations in this local market during 2012. This data is based on analysis by Bizminer, Inc.
Offices of Physicians NAICS: 6211
Personal Care Services NAICS: 8121
Offices of Other Health Practitioners NAICS: 6213
Legal Services NAICS: 5411
Restaurants and Other Eating Places NAICS: 7225
Residential Building Construction NAICS: 2361
Building Equipment Contractors NAICS: 2382
Architectural, Engineering, and Related Services NAICS: 5413
Other Professional, Scientific, and Technical Services NAICS: 5419
Individual and Family Services NAICS: 6241
Local Residential Real Estate Status A moderate housing boom and bust in the mid-2000s has left home prices at a high level, showing good demand. Home prices were up modestly in the past year. Population growth is average. Home prices are high compared to rents, favoring apartment buildings. Expect a moderate housing recovery the next few years. Expect home prices to increase 18% over the next three years.
HOME PRICE CHANGE Home prices in this market peaked in Quarter 2 2008 at $228,347. In the last 12 months, prices have gone up by 2.2%. The average home price in this market is currently $201,558. Home values for Asheville are forecast to increase by 4 percent over the next 12 months. Nationally, prices are forecast to increase by 8.1 percent. Modest growth in home values may benefit local retailers and consumer service providers.
HOUSING PERMITS Total housing permits for the three month average ending in November 2013 were up 65.1% from last year. Single family permits were up 26.9%. Growth in housing starts will benefit construction companies, furniture and home furnishings retailers, and homerelated service providers.
RESIDENTIAL VACANCY RATES
The state Rental Vacancy Rate fell to 10.6 percent in Quarter 3 2013. The Owner Vacancy Rate rose to 2.7 percent. Lower vacancy rates could spur construction of rental units.
Web Links Asheville Chamber of Commerce
Business news, directory, and community profiles
News and opinion
Local and regional news
This data is supplied by Local Market Monitor, Inc., the leader in residential market analysis and forecasting for banks and investors. Local Market Monitor’s tools help banks make decisions involving home equity loans, mortgages, and HELOC’s by providing tools for stress testing and compliance reporting. The straight-forward logic of Local Market Monitor’s predictive models and the helpful charts in the Market Reviews give clients easy command of current business circumstances. Learn more about Local Market Monitor’s products at www.LocalMarketMonitor.com
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