Noticed the new apartment builds going up all over Charlotte? Well, get ready to see a lot more. According to a study by the National Multifamily Housing Council and the National Apartment Association, Charlotte is expected to need at least 72,000 more apartments by 2030, making Charlotte one of the fastest growing apartment markets in the United States.
What’s leading to this increase in demand? Not only are new buyers and renters entering the marketing, but increasingly the older generations are choosing apartments over single-family homes, exchanging home ownership for the convenience of renting. This demand is spread across culture and class, increasing the need for all kinds of apartments at all price points.
This trend isn’t just occurring in Charlotte. Nationwide, increased demands for apartments are expected to rise. The western U.S. and states like Texas, Florida and North Carolina are expected to have the greatest need for apartments.
At first glance, this growth seems like a positive thing—it certainly is for investors and real estate markets, and can have positive impacts on the economy through the construction and increased business activity. But adding a 53% increase to current apartment stock puts heavy demands on the rest of the city’s infrastructure—including traffic, roads and public transportation, and is also a risk to neighborhoods vulnerable to gentrification. Displacing at-risk families can have ripple effects through generations.
The need is there, but the best way to meet the demand is still to be seen. How will Charlotte take on this demand? I’ll keep you updated on my blog here.