2021 Fourth Quarter

Highlights:

In the fourth quarter of 2021, the four-county Asheville Metro (Buncombe, Haywood, Henderson, and Madison counties) continued recovery while navigating alongside the COVID-19 pandemic. Compared to the low points experienced broadly a year earlier, overall gains in fourth quarter 2021 were widespread. 

• In the fourth quarter of 2021, the Asheville Metro gained an average 4.2 percent Employment, or 7,900 jobs compared to a year earlier.

• Averaging 3.0 percent in the fourth quarter of 2021, along with Durham-Chapel Hill, Asheville’s Unemployment Rate continued to drop and was the lowest of the state’s fifteen metros, as well as below both the state and national averages.

• All major industries except for Retail Trade added employment in the fourth quarter of 2021 when compared to a year earlier.

• Private industry Average Hourly Wages in the Asheville Metro reached $26.82 in the fourth quarter of 2021, a new high mark for the region.

• Buncombe County Lodging Sales reached a new high mark of approximately $181 million in the fourth quarter of 2021, a 47.1 percent increase compared to a year prior.

• Total Passenger Traffic at the Asheville Regional Airport was 428,283 in the fourth quarter of 2021, a 107.5 percent increase compared to a year earlier.

• The Average Sales Price of homes sold was $471,104 in the fourth quarter, an increase of 16.3 percent compared to a year earlier.

• Taxable Retail Sales in the Asheville Metro totaled $2.9 billion in the fourth quarter and marked a high point looking back at least five years.

Detailed Analysis:
Employment

In the fourth quarter of 2021, employment in the Asheville Metro increased by an overall average of 4.2 percent (Figure 1 and Figure 2). This growth rate represented an average increase of 7,900 jobs compared to a year earlier and signaled further steps toward recovery from the effects of the pandemic. Asheville’s average growth rate was above the statewide rate of 3.7 percent, but below the national average of 4.3 percent (Figure 2).

Figure 1
Total Employment
Monthly Year-to-Year
Percent Change

Source: US Bureau of Labor Statistics

Each metro in the state gained employment compared to the fourth quarter a year earlier, as did the state and nation. Asheville’s percentage rate of employment gain year-over-year was greater than eleven of the state’s fifteen metros and the state average; however, it was just below the national average (Figure 2). 

Figure 2
 2021 4Q Average
North Carolina Metros
Employment One-Year Percent Change

Source: US Bureau of Labor Statistics

Averaging 3.0 percent in the fourth quarter of 2021, Asheville Metro’s unemployment rate was lower compared to the state’s average of 3.7 percent and the national average of 4.0 percent (Figure 3 and Figure 4).  Asheville and Durham-Chapel Hill had the lowest unemployment rate among the fifteen state metros (Figure 4). The fourth quarter unemployment rate translated into roughly 7,000 Asheville area residents who were unable to find employment.

Figure 3
Unemployment Rate (%)

Source: NC Department of Commerce

Figure 4
Unemployment Rate (%)
2021 4Q Average

Source: NC Department of Commerce

In the fourth quarter of 2021, all but one major industry increased employment compared to one year earlier. Leisure and Hospitality’s net increase of 2,700 jobs led overall employment gains, followed by Manufacturing and Professional and Business Services (Figure 5).  Retail Trade experienced a decline of approximately 400 jobs compared to the fourth quarter of 2020.  

Figure 5
Asheville Metro – 2021 4Q
Major Industry Employment
One-Year Change

Totals rounded to nearest 100
Excludes ‘Other Services’
Source: US Bureau of Labor Statistics

Wages  

Private industry average hourly wages in the Asheville Metro reached $26.82 in the fourth quarter 2021, a 6.5 percent increase from a year earlier (Figure 6).  This marked a new high point and was the tenth consecutive quarter with positive year-over-year gains.

Asheville’s fourth quarter average hourly wages placed the metro eighth highest among the fifteen metros in the state, though lower compared to the statewide average of $28.92 and the national average of $31.15 (Figure 7).

Figure 6
Asheville Metro
Average Hourly Wages
Private Industry

Source: NC Department of Commerce

Figure 7
North Carolina Metros – 2021 4Q
Average Hourly Wages
Private Industry

Source: NC Department of Commerce

Leisure & Hospitality

Buncombe County lodging sales totaled $180,681,066 in the fourth quarter for an increase of 47.1 percent compared to a year earlier when sales were at $122,860,484 (Figure 8 and Figure 9). Fourth quarter lodging sales in 2021 set another quarterly record dating back at least a decade.

Figure 8
Buncombe County
Lodging Sales

Source: Buncombe County Tourism Development Authority

Figure 9
Buncombe County
Lodging Sales
Quarterly Year-Year Change (%)

Source: Buncombe County Tourism Development Authority

Hotel occupancy in Buncombe County averaged 76.6 percent in the fourth quarter of 2021, down slightly from the previous quarter (Figure 10).  Fourth quarter occupancy has averaged 73.1 percent over the past decade.

Figure 10
Buncombe County
Hotel Occupancy

Source: Buncombe County Tourism Development Authority

Passenger traffic at the Asheville Regional Airport experienced strong gains totaling 428,283 in the fourth quarter of 2021. This represented a 107.5 percent increase compared to a year earlier as the effects of the pandemic on air travel continued to ease (Figure 11 and Figure 12).

Figure 11
Asheville Regional Airport
Total Passengers

Source: Asheville Regional Airport

Figure 12
Asheville Regional Airport
Total Passengers
Quarterly Year-to-Year Change (%)

Source: Asheville Regional Airport

Housing

Housing activity in the fourth quarter of 2021 showed 2,051 new listings and 2,469 closed sales in the Asheville Metro (Figure 13). Compared to the fourth quarter a year prior, the number of new listings was 6.3 percent lower. The number of closed home sales was 5.4 percent lower than the number closed a year prior.

The fourth quarter average sales price was $471,104 while the median sales price was $378,615. The average sales price increased 16.3 percent and the median sales price increased by 13.2 percent year-over-year (Figure 14).

Figure 13
Asheville Metro
Home Sales

Source: Canopy MLS

Figure 14
Asheville Metro
Home Sales Trends
Quarterly Year-to-Year Change (%)

Source: Canopy MLS

At 21.5 percent, Asheville Metro’s same-home annual appreciation rate in the fourth quarter ranked fourth among the state’s fifteen metros. Asheville’s rate was above the national average of 17.9 percent and the statewide pace of 20.7 percent (Figure 15). This estimate marked the highest year-over-year percentage change in at least a decade.

Figure 15
North Carolina Metros
Same-Home Annual Appreciation Rate (%)
2021 4Q

Source: Federal Reserve Bank of St. Louis

Estimated permit activity for new residential building totaled 985 units in the fourth quarter 2021 for single family and multi-family units combined (Figure 16). The total value of permits reached $211,645,000 ($212 million) or $4.8 million more than the fourth quarter a year prior. In the fourth quarter, the total number of units permitted was up 29.9 percent and the total value was up 2.3 percent from one-year earlier. Permitted multi-family units totaled 385, accounting for 39 percent of building permits.

Figure 16
Asheville Metro
Estimated Residential Building Permits Activity*

*Based on a survey of permitting agencies. The Census Bureau provides estimates for any missing
agency data, which typically amounts to less than 20% of the total permits.
Source: US Census Bureau

Retail Sales

Taxable retail sales in the Asheville Metro totaled $2,850,838,945 ($2.9 billion) in the fourth quarter of 2021 and marked the highest quarterly retail sales dating back at least five years. This represented a 22.3 percent increase compared to a year earlier (Figure 17 and Figure 18).

Figure 17
Asheville Metro
Total Taxable Retail Sales

Includes collections of penalties, interest, and sales & use tax; and may reflect activity from prior periods.
Source: NC Department of Revenue

Figure 18
Asheville Metro
Total Taxable Retail Sales
Quarterly Year-to-Year Change (%)

Includes collections of penalties, interest, and sales & use tax; and may reflect activity from prior periods.
Source: NC Department of Revenue

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End note: Data reflects a snapshot or point in time, March 2022, and may be subject to periodic adjustment.