In today’s ever-changing real estate market, many Asheville homeowners find themselves at a crossroads: stay and renovate their current home, or sell and move somewhere new? With shifting market conditions and growing inventory in our beautiful mountain city, this decision deserves careful consideration. Let’s explore what might work best for your situation in 2025.
Understanding the Current Asheville Market
If you’ve been watching the local real estate scene, you’ve probably noticed some significant changes. Inventory has jumped nearly 30% compared to last year, and new listings are up by over 22%. What does this mean for you? Buyers now have more options, which makes it essential for sellers to make their homes stand out from the crowd.
Despite these shifts, Asheville remains desirable, with the median sales price climbing 6.7% to $421,375. However, homes are taking longer to sell—about 68 days on average, an increase of 28.3% from last year. These trends should factor into your decision-making process whether you’re considering selling or staying put.
When Selling Makes Sense
Sometimes, the writing is on the wall that it’s time for a change. Selling might be your best bet if your current home simply doesn’t align with your life anymore. If your family has outgrown your home or your lifestyle has changed, moving to a new property might be the best long-term solution. Downsizing, relocating for a job, or needing more space can make selling the obvious choice.
If major upgrades are needed, the cost of renovations may not be fully recouped when you sell. Many home improvements only yield 50-80% of their cost in resale value. Large-scale projects like foundation repairs, extensive kitchen remodels, or additions can be costly with limited ROI.
If you’re planning to move to a new city, downsize, or transition into a different type of housing, selling is often the best choice. Asheville’s growing job market and lifestyle opportunities make it attractive for both buyers and sellers.
And if your home falls into the higher end of the market (above $500,000), you might be in luck. This price range has actually seen increased demand, with sales up 3.1%. Just remember that the growing inventory could mean your home might take a bit longer to find its new owner.
When Renovating Makes Sense
On the flip side (pun intended!), there are compelling reasons to stay and improve your current space. That sense of community you’ve built over the years? It’s invaluable. If you love your neighbors, your short commute, and the overall vibe of your neighborhood, that’s something money can’t easily buy elsewhere in Western North Carolina.
Not all renovations require a second mortgage, either. Small changes like kitchen upgrades, new paint, updated lighting, and landscaping can improve your home’s value and livability without breaking the bank. These projects can enhance your home’s appeal and make it more enjoyable for years to come.
With Asheville’s home values rising, you may be able to take advantage of home equity loans to finance renovations at a lower interest rate than a new mortgage. This can make home improvements more affordable and financially sound.
And let’s talk about replacement costs. The average list price in Asheville has jumped 11.4% to $607,433. If upgrading to a new home means a much higher mortgage, renovating might be more cost-effective. When you factor in moving costs, closing fees, and the current interest rates, renovating your existing home might be considerably more cost-effective.
If you choose to renovate, consider working with our sister company HomeSource Builders, a trusted Asheville-based company that offers expert design and construction services to transform your home into your dream space. Whether you need a kitchen remodel, bathroom upgrade, or full home addition, HomeSource Builders can help you achieve your goals efficiently and beautifully.
Key Factors to Consider Before Making a Decision
While market data and financial calculations are important, they’re not the whole story. Consider these additional factors as you weigh your options:
The shifting market conditions might mean a longer selling timeline than you’d prefer, especially if buyer demand continues to cool. Are you prepared for your home to potentially sit on the market for two months or more?
When considering renovations, research which improvements typically offer the best return on investment. Kitchen and bathroom updates, energy-efficient upgrades, and outdoor living spaces tend to be winners both for your enjoyment and eventual resale value.
Take an honest look at your financial situation. Can you comfortably afford the renovations you want? How do those costs compare to the expenses involved in selling and buying a new home?
And don’t discount the emotional aspects of this decision. Moving can be exceptionally stressful, even when it’s the right choice. If you genuinely love your home and its location, enhancing what you already have might bring more satisfaction than starting fresh somewhere else.
Whatever path you choose, we’re here to help guide you through the process and ensure you make the decision that’s best for your unique situation.
Final Thoughts: Sell or Renovate?
Ultimately, the decision to sell or renovate depends on your personal situation, finances, and market conditions. If you’re unsure, our team of real estate experts can help you weigh your options and determine the best path forward.
At the end of the day, remember that your home should ultimately serve your life goals—whether that means reimagining your current space or embarking on a new housing journey altogether. Reach out to us today to speak with a member of our team! 828-252-1023 or [email protected].