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Cashiers: Mountain Town Sees Soaring Home Values Amid Ownership Fluctuations
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
Loading Content...
Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Cashiers, North Carolina, is a picturesque mountain community located in Jackson County. Known for its stunning natural beauty and upscale amenities, this charming town has experienced significant fluctuations in homeownership rates and property values over the past decade. The overall trend shows a slight increase in homeownership, coupled with a substantial rise in average home prices, particularly in recent years.
The homeownership rate in Cashiers has seen a notable increase from 73% in 2017 to 88% in 2022. This upward trend in homeownership coincides with a dramatic surge in average home prices. In 2017, the average home price was $565,080, but by 2022, it had skyrocketed to $1,118,361, representing a staggering 98% increase in just five years. This rapid appreciation in home values may have incentivized more residents to invest in property, contributing to the rising homeownership rate.
Federal interest rates have played a significant role in shaping homeownership trends in Cashiers. The period from 2010 to 2021 saw historically low interest rates, ranging from 0.08% to 2.16%. These low rates likely contributed to the increase in homeownership, as they made mortgages more affordable for potential buyers. For instance, the jump in homeownership from 79% in 2019 to 88% in 2022 coincided with interest rates dropping from 2.16% in 2019 to 0.08% in 2021, before rising to 1.68% in 2022.
The rental market in Cashiers has experienced its own set of changes. The percentage of renters decreased from 27% in 2017 to 12% in 2022, inversely mirroring the rise in homeownership. Despite this decrease in the renter population, average rent prices have shown a general upward trend. In 2017, the average rent was $1,027, which increased to $1,142 by 2022, representing an 11.2% rise. This increase in rent prices, despite a shrinking renter population, suggests a tight rental market with limited supply.
As of 2024, the average home price in Cashiers has reached $1,154,585, showing continued growth from the 2022 figure. This represents a 3.2% increase from the 2023 average of $1,125,429. The federal interest rate for 2024 stands at 5.33%, a slight increase from the 2023 rate of 5.02%. These higher interest rates may impact future homebuying decisions and potentially slow down the rapid price appreciation seen in recent years.
Looking ahead, the real estate market in Cashiers is expected to continue its upward trajectory, albeit at a potentially slower pace due to higher interest rates. Applying predictive models based on historical trends, we can forecast that average home prices may reach approximately $1,300,000 by 2029, representing a more modest annual growth rate of about 2-3%. Average rent prices are projected to increase to around $1,300 per month in the same timeframe, assuming a similar growth pattern to recent years.
In summary, Cashiers has experienced a significant shift towards homeownership, accompanied by a substantial increase in property values. The interplay between low interest rates, rising home prices, and a shrinking rental market has shaped the real estate landscape of this mountain community. As interest rates continue to rise and home prices reach new heights, it will be crucial to monitor how these factors influence future homeownership rates and housing affordability in Cashiers.
