Brad Ransome is a real estate investor in North Carolina. In the following article, Bradley Ransome discusses why luxury homes are in such high demand right now throughout the state.
Despite rising interest rates and market hiccups, the housing market in North Carolina remains strong. Luxury housing makes up a significant portion of that market and shows no sign of slowing down.
Both current trends and market fundamentals favor North Carolina’s luxury home market. Bradley Ransome says that a booming economy and out-of-state investors plus a great geographical position should keep things going strong.
Brad Ransome: Raleigh Market Hottest In The State
Brad Ransome says that a recent report by The Wall Street Journal and Realtor.com reported that Raleigh is the ninth biggest housing market in the country. No surprise when the area has such a strong economy.
Raleigh’s unemployment rate is 4.3%, well below the national average of 6%. Per capita income is 25% more than the rest of the state, too.
Ransome explains that homes in Raleigh haven’t experienced quite the runaway price growth that other homes in The Triangle have. For luxury home buyers, this means a larger house with even more bells and whistles.
As long as high-tech and life sciences companies keep moving to town, Raleigh can expect to do brisk luxury home business. And these buyers want many of the same amenities they can find in Silicon Valley reports Brad Ransome.
Economy And Population Growth
Though things have cooled down a bit, North Carolina is still one of the strongest states in terms of economic and population growth. Between 2017 and 2022, the gross state product grew by 1.8%.
Bradley Ransome says that employment growth grew almost as much over the same period, at 1.4%. As the state nears full employment, more people can be expected to move from out of state to fill jobs. This will keep the housing market hot.
Indeed, over the half decade from 2017 on, residential construction has grown at a clip of 12.9%. And a large percentage of those homes are over the $2 million mark.
New, luxury gated communities are springing up all over the Charlotte and Raleigh-Durham areas. Some are resort-style communities, offering amenities like golf courses, tennis courts, and lakes.
Bradley Ransome says that investors from out-of-state also see North Carolina as a good bet. As technological advances have made real estate investment a digital affair, close to 6% of the Charlotte market is out-of state investors. 4% of the purchases in Raleigh and Durham are from out-of-state investors, too.
Out-of-state investors are betting that property taxes lower than the national average will keep people moving to North Carolina.
While some of these investors focus on lower end apartments and single-family homes, others focus on the luxury end of the market says Bradley Ransome. Microsoft and Apple execs buy second homes in North Carolina to enjoy the scenery, sure. But those houses will likely turn a profit when they’re sold on in a few years, too.
From a pristine coastline in the east to forested mountains in the west, North Carolina is one of the most beautiful states in the nation. Throw in mild winters, and it’s no surprise why it’s experienced such robust growth.
Indeed, North Carolina has long been a destination for retirees. New luxury condo towers and gated 55+ communities are popping up everywhere to cater to this crowd.
Brad Ransome says that North Carolina’s geographical advantages should keep attracting people from out of state long into the future. Luxury homes in the state tend to feature large land acreages, showing how key natural beauty is for buyers.
Luxury Home Amenities
What luxury amenities do North Carolina buyers expect? Buyers everywhere expect good square footage, a high-end kitchen, and rooms to have ensuite bathrooms. But there are some particular things you can expect in North Carolina luxury homes in North Carolina.
Buyers are likely to place a high value on an outdoor lifestyle. As noted above, that often means a large acreage for hiking, hunting, and fishing. But it also means other amenities.
Workshops and storage for ATVs, four-wheelers, kayaks, and canoes are very popular. Buyers also want big windows looking out on to their property as well as accents that bring the outdoors in, like wood beams and rustic fireplaces.
Swimming pools and outdoor hot tubs are highly prized, as well. Buyers want multiple ways to enjoy the great weather and beautiful scenery the state has to offer.
North Carolina Luxury Homes
With rising populations, luxury home amenities, and out-of-state investors, it’s no surprise luxury real estate in North Carolina continues to grow.