North Carolina, now home to over 10.6 million people, has become a significant player in the national housing scene, reflecting substantial growth and an evolving economic landscape.
North Carolina’s population growth is more than just numbers; it’s a testament to its allure. Between July 1, 2021, and July 1, 2022, the population swelled by 133,000, a 1.3% increase that surpassed the decade’s average annual change of 1.0%.
This rapid growth positions North Carolina among the top states in the nation for population increase, trailing only behind Texas and Florida.
North Carolina experienced a significant demographic shift between 2010 and 2020, with approximately 904,000 new residents arriving through domestic migration, mainly from neighboring and distant states. This influx has dramatically influenced the state’s housing market, increasing demand and property values and rents substantially. Notably:
2022 marked a milestone year for North Carolina’s economy with the addition of 28,690 new jobs, surpassing 2021’s figures and generating an impressive $19.3 billion in capital investment.
In April 2023, the state’s unemployment rate dipped to 3.4%, reflecting a robust job market with significant growth in sectors like Leisure & Hospitality and Education & Health Services. The Department of Commerce projects an addition of 445,000 new jobs between 2021 and 2030, further bolstering the state’s economic vitality.
In 2022, despite the headwinds of rising interest rates, the demand for construction workers in North Carolina remained high. Homebuilders have strategically navigated these challenges, offering deals and incentives to maintain market momentum.
By April 2023, the median sale price had increased by 2.5% year-on-year, a sign of the market’s resilience despite a 23.2% decrease in home sales.
The state is actively tackling issues like restrictive zoning to promote residential home growth.
For instance, a Cato Institute study highlighted the disparity between population growth and housing construction, particularly in areas like Greensboro. Proposed legislation, such as the “deannexing” of properties in Summerfield, aims to address these challenges and foster housing supply growth.
In the context of North Carolina’s expanding real estate market, Charlotte, NC, distinguishes itself with unique characteristics that align with statewide trends while also offering exceptional investment prospects.
Key aspects of Charlotte’s housing market include:
These factors collectively position Charlotte as a prime destination for real estate investment, reflecting the strength and potential of North Carolina’s broader market while offering unique opportunities due to its specific market dynamics.
The future of North Carolina’s real estate market is ripe with potential, marked by its growing population, flourishing economy, resilient construction sector, and proactive government policies. At Henderson Investment Group, we are dedicated to guiding our clients through the nuances of this market, offering tailored insights and strategies.
Whether your interest lies in the bustling streets of Charlotte or the broader expanses of North Carolina, our expertise is your asset in capitalizing on the state’s real estate opportunities. Join us in exploring the promising avenues of North Carolina’s real estate market. Sign-up now!