Competition Getting Fiercer in Charlotte’s Residential Market

Charlotte maintained its title as one of the nation’s most-competitive housing markets, according to the latest Zillow ranking.

Charlotte is No. 7 in its 2025 rankings, a strong showing for the metro, where demand continues outpacing supply, the Charlotte Business Journal reported.

This marks another year of robust housing performance for the city, with experts forecasting a 3.2 percent increase in home values for this year, placing Charlotte firmly among the country’s hottest housing markets.

Zillow’s ranking is based on the pace of home sales, job growth and expected inventory increases, among other factors. Charlotte has consistently been a standout in those areas.

The city reached $377,450 on Zillow’s home value index last year, a 1.6 percent increase from the previous year. The index captures home values across location and housing types. Affordability is a challenge, and the expected 3.2 percent price growth this year suggests that trend will continue.

Charlotte’s real estate landscape has benefited from rising job opportunities and increased new-home permits. However, inventory remains tight despite a 17.5 percent increase in housing stock in December compared to pre-pandemic levels, a sign that the market may begin to ease some of its supply constraints.

The city is the highest-ranked Southern metro in Zillow’s list, ahead of Richmond, Virginia, which ranked No. 9. Raleigh, North Carolina, placed No. 21, slipping four spots from the previous year.

Charlotte’s strong showing is echoed by other industry reports. Realtor.com placed Charlotte at No. 14 on its list of the top 100 housing markets for 2025, a significant improvement from No. 97 last year.

Some of the developers contributing to Charlotte’s growth include local firm Crescent Communities, which is working on the Carson & Tryon mixed-use project in South End, and Trammell Crow Company, leading the redevelopment of the former Charlotte Pipe & Foundry site.

Additionally, the Fallon Company is involved in the Centre South development in the Dilworth neighborhood, focusing on affordable housing. That project, at 1203 South Caldwell Street, calls for about 330 apartments, with over 60 earmarked for residents earning between 65 and 80 percent of the area median income.

— Andrew Terrell