The Boone Area Chamber of Commerce recently released its second Economic Indicators report of 2024.
The Q2 report examines key statistics within the Watauga County and High Country economy, including home sales, tax and unemployment rates.
Dr. Harry Davis, Appalachian State University's NC Bankers' Association Professor and long-standing regional economist, provides a summary of local impacts:
"Watauga County continues to be the little engine that could when it comes to economic vitality. Anyone driving in Boone, trying to eat out in a restaurant, or get a room in a hotel can see the evidence of the strength of tourism on the local economy. If you look at the numbers on the previous page for occupancy tax and sales tax, you can see the incredible strength of tourism in the high country.
Both the county and state unemployment rates remain under 4% and under the national rate. The state’s rapid population growth continues to be an engine for economic strength. That growth plus companies moving to the state and new start up businesses keep employment tight. With the growth of tourism and businesses of all types, our county unemployment rate remains one of the lowest in the state.
The inventory of unsold homes will remain low for as far as the eye can see. Housing starts are lower than they were 30 years ago when the population was much smaller. The combination of high home prices and mortgage rates make it increasingly difficult for first time home buyers. All of this is evidenced by the data in this report.
The national state and local economies can be likened to Goldilocks. They’re not too hot nor too cold, but are very steady. That type of growth makes it easier to plan for the future. The FED will start lowering interest rates soon, and a recession is not possible before 2025. A “soft landing” is still possible where a recession is even avoided next year."
To contact Davis for follow-up comments, call (828) 262-4030.
Review the full report to read additional updates from: Joe Furman, Watauga Economic Development; Wright Tilley, Boone Area Tourism Development Authority; David Jackson, Boone Area Chamber of Commerce; James Milner, CCIM, Appalachian Commercial Real Estate; and Stacie Pineda, Stacie Pineda Real Estate Group.
Boone Chamber releases Economic Indicators report, Harry Davis provides summary of local impacts
Boone Chamber Report