The so called ‘Sun Belt’ has seen steady and consistent growth since the 1970’s. Some consider it really having gotten its legs soon after World War II in the later 1940’s. Regardless, the Sun Belt is still seeing significant population growth and a corresponding push in real estate prices, which average reliable growth each and every year.
Namely, the Carolinas have been a central location for this population shift. Once nearly all farmland, the Carolinas have become a center for commerce in a number of industries, especially banking and auto manufacturing. Huge corporations such as Duke Energy and Bank of America call Charlotte, NC home to their international headquarters. The metro area has grown to the fifth largest in the Southeast United States to over 2 million residents. Both BMW and Honda have manufacturing plants in the area.
The Carolinas have attracted migration thanks in great part to its seasonal yet mild weather. Without sacrificing the four seasons, those from the Northeast can enjoy all the colors of autumn without all the backbreaking snow removal come the winter months. This is fundamental to the steady migration influx and subsequent land boom both North and South Carolina have been experiencing for years.
According to a report from MSNBC, 3 of the top ten strongest US real estate markets are in the Carolinas. They include Spartanburg, SC, Fayetteville, NC and Burlington, NC. In Spartanburg, the annual real estate value increases nearly 2% consistently while well over 50% of Fayetteville properties see annual appreciation. In Burlington, the average residential real estate price in only $125,000. Also adding to the appeal of the Carolinas are the low property taxes.
There is very little northern cities can do to compete with the beautiful weather Sunshine Belt residents enjoy day in and day out. This has been the number one draw to the region from Americans from other parts of the US. Add to that low property taxes and affordable real estate prices, and you have a consistent market demand for residential, and subsequently commercial, real estate. This further stabilizes the economic strength the region enjoys.