This article is inspired by WalletHub’s recent 2025 “Best State Economies” rankings, which placed North Carolina #6 in the nation—ahead of high-profile peers like Texas and California.
For real estate investors, that’s more than just a talking point. A top-ranked economy translates directly into:
- Job growth
- Population migration
- Rental demand
- Property value appreciation
North Carolina is squarely in the sweet spot—offering dynamic growth without the overheated pricing of coastal markets.
| Metric | North Carolina (#6) | Massachusetts (#1) | Utah (#2) |
|---|---|---|---|
| WalletHub Rank | 6th | 1st | 2nd |
| GDP Growth | 6th—strong and broad-based | Top-tier, R&D driven | Strong, diversified gains |
| High-Tech Share | 11th, led by RTP | Highest in nation | Fast-growing via “Silicon Slopes” |
| Median Household Income | 26th—improving with migration | Among top, supports high-end appreciation | ~$88.5K, very competitive |
| Unemployment | ~3.7% (April 2025) | ~4.6%—higher, more volatile | ~3.1%—slightly better, very stable |
| Rental Demand | High, ~92% occupancy | Very strong—skewed toward top earners | High in major metros, tight supply |
🏘️ Why This Matters for Real Estate Investors
1️⃣ Job and Population Growth = Demand
- North Carolina is adding jobs at a rate that outpaces the national average.
- Raleigh ranked the #1 large U.S. city for economic strength and livability.
- In-migration of young professionals is driving sustained housing demand.
2️⃣ A Maturing Tech Ecosystem
- Research Triangle Park (RTP) anchors one of the fastest-growing high-tech hubs in the U.S.
- Amazon’s planned $10 billion AI and data center investments will bring thousands of new high-paying jobs.
3️⃣ Rental Resilience and Appreciation
- Occupancy rates >90% in key markets reflect a chronic housing undersupply.
- Metro housing markets like Raleigh and Charlotte show consistent 6–8% annual price gains, with rental rate growth keeping pace.
4️⃣ Balanced Market vs. Overheated Markets
- Unlike Massachusetts and Utah, NC still offers affordable entry points in both single-family and multifamily segments.
- Investors can achieve better yield-to-cost ratios while benefiting from strong upside potential.
5️⃣ Pro-Business, Landlord-Friendly Climate
- NC combines low property taxes, efficient permitting in growth corridors, and landlord protections that support sustainable returns.
🚀 The Takeaway
North Carolina’s top-10 national economic ranking isn’t just an abstract win—it’s a powerful signal for real estate investors.
- Job creation → more renters and buyers.
- Population migration → upward pressure on housing demand.
- Corporate investment → rising incomes and market stability.
- Favorable regulatory climate → investor-friendly environment.
In a national market where many coastal states face affordability ceilings and regulatory headwinds, North Carolina offers a rare combination of growth, affordability, and pro-investor fundamentals.
Doug Kline, PhD, has held income properties in North Carolina for more than 20 years. He holds a North Carolina broker’s license, and is a member of the National Association of Realtors and the Triangle Real Estate Investors Association. He holds an MBA and a PhD in business. In addition to his real estate activities, Doug enjoyed a successful career in academia, achieving the rank of Full Professor in the Cameron School of Business at UNC Wilmington. He was honored with research and teaching awards, served as Director of the MS Computer Science and Information Systems program, and was awarded the endowed position Distinguished Professor of Information Systems.