Real estate has created more millionaires than any other business. Over the past two decades, retail real estate has created an average annual return of 10.8%, according to data from the National Council of Real Estate Investment Fiduciaries Index.
In Charlotte, specifically, the real estate market is at an all-time high. Twenty-seventeen was especially a strong year for the Queen’s City. Investors will be particularly pleased to hear that the hot streak continues into 2018.
Charlotte’s Economic Growth
Charlotte has attracted many business and corporations. It is home to six Fortune 500 companies. These include the Family Dollar Stores, Domtar, Sonic Automotive, Nucor, Duke Energy, and Bank of America, as well as numerous Fortune 1000 companies.
In addition, the Queen City is home to a number of prestigious learning institutions that help sustain above-average employment for the city residents. The Universal Technical Institute, Central Piedmont Community College, and UNC Charlotte are good examples.
Also, Charlotte’s growth continues to be recognized year in and year out. Once again, the city was ranked by US News as one of the best places to live in America. U-Haul migration trends also ranked it as the 10th Top U.S. Destination Cities. In addition, U.S. News & World Report ranked it one of the top 20 cities to live in.
The population continues to rise. In 2017, the U.S Census Bureau estimated the population was 859,035, making it the seventeenth most populous city in the U.S.
In addition to this, did you know that Charlotte is the largest city in North Carolina?
Charlotte Home Prices
Charlotte’s home prices have risen rapidly in the past 5 years, as demand resumed, and supply stayed low. The median home price was $165,800 in July 2012. But 5 years down the line, it had increased by a staggering 42% to reach $236,000.
The average home prices for cities, counties and towns in the Charlotte area as follows:
- City of Charlotte: $285,574
- York County: $281,807
- Uptown Charlotte: $286,758
- Union County: $352,277
- Stanly County: $152,731
- Montgomery County: $339,791
- Lincoln County: $305,876
- Lancaster County: $269,991
- Iredell County: $315,367
- Gaston County: $189,370
- Cabarrus County: $245,018
- Anson County: $120,608
- Alexander County: $183,160
- Mecklenburg County: $297,774
- Waxhaw: $448,782
- Statesville: $ 173,764
- Salisbury: $169,714
- Rock Hill: $206,765
- Mooresville: $386,310
- Monroe: $214,754
- Matthews: $326,325
- Lincolnton: $164,568
- Lake Wylie: $382,558
- Lake Norman: $498,461
- Kannapolis: $159,790
- Huntersville: $316,926
- Gastonia: $171,103
- Fort Mill: $340,520
- Denver: $412,502
- Davidson: $414,150
- Concord: $230,301
Note: This data is from the Charlotte Regional Realtor Association (July 2017).
Charlotte Real Estate Trends
1. The Blue Line Light Rail and Its Extension
This is set to connect Uptown to UNC Charlotte and is sparking new trends.
With stops along University City, Optimistic Park, NoDa and more, renters are considering living farther from Uptown. Hence, if you are thinking of buying an investment property in Charlotte, don’t ignore areas further from Uptown.
2. Condo Prices Are Soaring
This one comes down to supply and demand. The existing condos can barely meet the rising demand. The current inventory is limited and there is simply not enough construction going on.
Hence, if you are interested in investing in the Charlotte condo market, this is certainly exciting news.
3. Millennials Are Driving Up the Single-Family Rental Market
According to a new report by rental listings website RentCafe, the average millennial will have spent a whopping $92,600 on rent before the age of 30.
Unlike baby boomers who are approaching retirement age and are looking for the convenience factor that comes with downsizing, millennials are getting ready to get married, have kids and move to the suburbs.
4. Urban and Suburban Lifestyles Are on a Collision Course
The trending “suburban lifestyle” is bringing a thoughtful blend of the most desirable traits of the urban and suburban lifestyle to Charlotte’s peripherals.
This is quite evident in Waverly – a 90-acre development with restaurants, shops, offices and residences near the edge of the city at Providence Road and Interstate 485.
Where to Invest in Charlotte, NC?
Considering these, where is the best place to buy an investment property in Charlotte, NC? Well, here are our suggestions:
In east Charlotte, you should consider investing along the newly completed Highway 485. This area also includes the extension at Plaza Road.
In west Charlotte, consider looking at Beatties Ford Road and Rozzelles Ferry Road. In the south part of the city, consider investing near Charlotte Douglas International Airport.
While in the north of the uptown area, consider areas around Interstate 85 and Highway 77. They are proving to be great investment opportunities.
With proximity to the beach and mountains, strong job market, a four-season climate, and home to many large corporations, Charlotte is a top destination for real estate investors.
However, it is important for you to remember that researching the right investment property is key. The right investment property can turn into a solid asset and help you grow your wealth over the long turn. However, it is needless to say that choosing the wrong one can be disastrous.
If you need help with your investment property in Charlotte, NC, don’t hesitate to contact us! We are experts in Charlotte’s real estate market.