I remain optimistic about the housing markets in North and South Carolina for 2026. Compared to much of the country, the Carolinas are outperforming in many fundamental areas.
Job growth has slowed nationally, but growth in the Carolinas is stronger than the national average, with lower unemployment rates in our metro areas. Charlotte has some of the strongest growth in the country for higher-income sectors like finance, business services, and information. That bodes well for the housing market, particularly the move-up and luxury segments, where buyers typically have equity and the means to purchase.
With interest rates beginning to ease, we’re already seeing signs of a refinancing uptick. If that continues into 2026, we may see less need for builders to offer aggressive rate buydowns or other incentives, potentially improving margins and buyer affordability. Charlotte, as a financial and mortgage hub, stands to benefit from this trend in terms of mortgage activity and hiring loan officers in many of the local firms (Lendingtree for example).
Manufacturing reshoring is another major driver. There are multiple EV battery plants and auto-related manufacturing facilities under construction across the Carolinas, set to open in 2026. These bring thousands of direct jobs and generate significant secondary economic activity, especially in markets like Greenville, Florence, and outside of Raleigh.
Builders are continuing to show interest in expanding in the Carolinas. Companies, including Dream Finders Homes and Mungo Homes, for example, are entering or growing their presence in key markets like Charlotte, Charleston, and Raleigh. While spec inventory has grown, we’re still only seeing about 1 to 1.5 months of supply—manageable levels. If rates continue to drop, those incentives may phase out, easing pressure on builder budgets.
Despite the overall optimism, challenges remain. Land remains highly competitive, and entitlement, infrastructure, and community resistance continue to slow development in some areas. But pro-growth cities and towns should see continued expansion.
Affordability remains a key advantage—especially in South Carolina. Compared to other coastal states, the Carolinas offer low home prices, low taxes, and significantly lower home insurance. This makes the Carolinas attractive not only to buyers from the Northeast, but increasingly from Florida, where home insurance costs are skyrocketing.
Overall, the Carolinas are positioned for stable, healthy growth in 2026. From Raleigh and Charlotte to Charleston, Myrtle Beach, and Brunswick County, strong fundamentals are present that suggest continued strength ahead.
