North Carolina is one of the best states to buy a rental property. With a cost of living that’s almost 10% lower than the country’s average, it is becoming an attractive place for many young professionals. The landlord-tenant laws in North Carolina are also very landlord-friendly. Are you looking to invest in a rental property in North Carolina? You’ll need to consider which of its 552 cities is the best for owning a rental property.
Charlotte is considered the best city for rental property investment. Almost 47% of its residents rent their homes. Charlotte is also the most populous city in North Carolina. It is also ranked by CNBC as the third best city in the US for starting a business.
Read on to learn more about why more rental property owners are investing in Charlotte, NC homes for sale.
Which City is the Best for Rental Property Investment?
You might be searching for the best rental property investment in North Carolina. If you do so, it’s best to consider Charlotte as your top priority.
Charlotte, NC is the best for rental property investment if you look for a place in North Carolina to invest in rental properties. The city is considered a hot real estate area in the country. Hence, you should resort to choosing this area when investing.
Top 5 Reasons Why Rental Property Investors Choose Charlotte NC
Here are five reasons why you should consider investing rental properties in Charlotte, NC:
1. Growing Population
Charlotte ranks fifth in population growth in all the United States. It is also the 23rd largest metro area in the country. The metropolitan population of Charlotte is almost 2.6 million people. Charlotte had 7,810 people moving into the city in 2019. Between 2017 and 2018, it had a net population growth of 13,151 people. This growing population ensures a steady demand of people looking to rent long term.
2. Better Quality of Life
The quality of life in Charlotte is among the best in the world. Research from Numbeo (a crowd-sourced global database of quality of life metrics) ranks Charlotte within the world’s top 10 cities for quality of life in 2020. Charlotte also has one of the best year-round climates in the country. It even has the best regional medical group, the Carolinas Medical Center.
3. Positive Job Market Trends
The Charlotte metro area is the second-largest financial center in the US. According to the US Bureau of Labor Statistics, the unemployment rate in Charlotte was down to 6% in October 2020.
Employment in Charlotte has increased by almost 4% year over year. Tech-related jobs have increased by 30% since 2013. This growth rate is twice the national average. Overall, employment in Charlotte has increased by 17%. Because of this, the city ranked 7th best place in the United States for business and careers.
4. Attractive Renters’ Market
The home values in Charlotte, NC have increased by almost 10% year over year. They are projected to grow by more in the coming year. This puts the median listing price per square foot for a home in Charlotte at $172. According to the most recent research from RENTCafe, average rent in Charlotte as of October 2020 is $1,276 per month. Almost 60% of the rental housing units have rents of between $1,000 and $1,500 per month.
5. Strategic Location and Great Amenities
Charlotte’s metro area is home to seven Fortune 500 companies. It is also the country’s 2nd-largest banking center after Wall Street.
There are several major companies based in the greater Charlotte metropolitan area. These include Wells Fargo, Food Lion, Compass Group USA, and Dixon Hughes Goodman.
Albemarle Corporation and Coca-Cola Bottling Co. also have their headquarters in Charlotte. The city also offers popular attractions such as the National Whitewater Center. Charlotte also has several shopping centers, hundreds of restaurants and is home to renowned universities and colleges. The University of North Carolina and Queens University are two of them.
Where does Charlotte, NC Rank in the Best Places to Live?
Among several cities, Charlotte, NC ranks highest in the best places to live. Besides that, the city also ranks highest for rental properties.
9 North Carolina Cities that Rental Property Investors Find Attractive
Here are 9 North Carolina Cities that rental property investors find attractive, where Charlotte ranks the highest.
Home to the NASCAR Hall of Fame, Charlotte is the most populous city in North Carolina. It tops the list with an almost 12% increase in home value, population growth of nearly 4%, and employment growth of 3%.
Known as the “City of Oaks,” Raleigh is the state capital. It is also the second-largest city after Charlotte. You can find North Carolina State University and part of Research Triangle Park here.
Located in the heart of North Carolina, Greensboro is the third most populous city in the state. It has over 500 restaurants, 135 attractions, and 88 hotels and accommodation facilities. Home values in Greensboro have increased by almost 8%. Its population growth increased by almost 2%, and employment has increased by 1% year over year.
Durham is home to Duke University and North Carolina Central University. Home values in this city have increased by almost 12% year over year. At the same time, the population has grown at an impressive rate of 4%. Employment growth has inched up by 1% in the past year. Properties in Durham get an average of 20 leads and last an average of just 16 days on the market.
Winston-Salem is located in Forsyth County in the north-central part of North Carolina. Last year, the Triad of Winston-Salem and Greensboro was the 4th-best market for rent increases (This is according to the Triad Business Journal). With the average rent up 5% year-over-year, rents in Winston-Salem are still continuing to rise. There are several factors driving the rental property market in Winston-Salem. These include a dynamic economy, a growing population and job market, and strong demand from tenants.
Fayetteville is home to the US Army installation Fort Bragg and where Babe Ruth hit his first home run. Home values have increased by 2% year over year. Also, the median sale price is a little over 100k, and rents average $783. Employment has also grown by 1%.
Cary is a medium-sized city outside of Raleigh. It is an affluent area with a high number of white-collar workers. The city is very family-friendly. It also offers high-quality schools and convenience to the entire Triangle area.
Wilmington is a beautiful city with lots of tourism. Its population is continuously growing. Each year, more and more people move to this beautiful town. They love Wilmington’s charm and proximity to the beach and other attractions. Add that to its small-town feel, and you’ve got yourself a winning combination. A growing economy and job market are also bringing more residents to Wilmington. More business-minded individuals and families are beginning to call this area home.
Concord is a growing, suburban city just outside of Charlotte. It is home to NASCAR’s Charlotte Motor Speedway, and many of the NASCAR teams are based in Concord and surrounding cities. Once a small textile town, the city is experiencing record growth and is four times the size it was in 1980.
As mentioned, among these top cities, Charlotte is the best place for rental property investment. It not only offers a better quality of life for its residents, but it also has an attractive renters’ market.
Showcase Realty can help you get the most for your buck when looking for a rental property. We have helped hundreds of real estate investors increase their portfolios. If you’re new to investing in rental properties, investing in Charlotte is a great way to make that first step.
You might be looking for an affordable property that will be in demand among renters. Perhaps you’re on the hunt for a luxury property so you can charge premium rates. Either way, we have many styles of homes that will suit your taste. Contact us at (704) 997-3794 today!