Drawn in part by an affordable cost of living and low unemployment rate, many people have been making the move to the “Queen City” of Charlotte, North Carolina.
Charlotte, the state’s largest city, has seen strong inward migration for several years and is expected to continue seeing vigorous population growth through 2027. The city continued to grow through the pandemic as well. Charlotte’s metro area population increased by 1.6% since the start of the pandemic according to an economic forecast by Oxford Economics. Migration accounted for 73.5% of that increase.
Young and educated
With an average age of 34 and almost 1 in 4 residents under 18, Charlotte’s average population is younger and growing. In addition, when looking at the larger Charlotte metro, the entire area boasts a higher educated, skilled workforce as 44% have a college degree and 29% of households earn over $100k per year.
Demand for new apartment units remains high despite high deliverables. Rent growth is strongest in suburban areas, where a growing number of residents in their 30s are driving demand, according to a CoStar market report. Charlotte, rent growth accelerated in 2021, with 17.4% growth year-over-year.
To meet demand, multifamily construction has been following two trends, according to CoStar – urban high-rises being built along transit lines, and suburban complexes near business sectors and highways. Currently, there are 58 properties under construction in the metro area, accounting for 13,371 units.
Like many cities in the U.S. Sun Belt, Charlotte demonstrates many of the qualities investors look for in a market. CONTI monitors over 100 key data points in our ongoing analyses in order to make the most informed decisions possible. Considering the trend in population growth, strong renter profile, and numerous other market factors, CONTI recommends keeping your eye on the Queen City.