Are Land Values Increasing In The Triangle?
February 21, 2024
The Raleigh/Durham area of North Carolina has been experiencing significant growth in recent years, leading to rising home values.
According to data from Zillow, the median home value in the Raleigh-Durham-Chapel Hill area is currently $355,000, an increase of 18.4% over the past year.
This trend is likely due to a variety of factors, including the area's strong job market, high quality of life, and desirable climate.
In addition, many people are relocating from other parts of the country, particularly California and New York, which is driving up demand for housing.
According to data from Redfin, Raleigh is one of the top destinations for people looking to relocate from these areas. This influx of out-of-state buyers is contributing to the rise in home values in the area.
I was featured in an article about the increased home values in Realtor.com. You can check it out here.
Despite the high home prices, however, the Raleigh/Durham area remains an attractive place to live, with a thriving economy, top-rated universities, and a vibrant culture.
If you are a land developer looking to invest in North Carolina, then the Research Triangle Park of the state may have what you are looking for.
Universities in the Raleigh-Durham Triangle
The Raleigh-Durham area is home to several prestigious universities, making it a hub for higher education.
One of the most well-known institutions is Duke University, which consistently ranks as one of the top universities in the country.
Located in Durham, Duke is a private research university with a strong emphasis on undergraduate education.
Another notable university in the area is the University of North Carolina at Chapel Hill, a public research institution that is part of the renowned UNC System.
UNC Chapel Hill is known for its top-ranked programs in fields such as business, law, and medicine.
North Carolina State University, located in Raleigh, is another public research university with a strong reputation for engineering and agriculture programs.
The area is also home to several smaller private colleges, such as Meredith College and William Peace University, which offer a more intimate and personalized educational experience.
With so many options for higher education, the Raleigh-Durham area is an ideal location for students looking to pursue a wide range of academic interests.
Plenty of Land in NC
The Triangle Area region is widely spread-out, consisting of both urban and rural areas. Regions that were once dilapidated farming areas are now becoming significant contributors to The Triangle housing market.
Places rich with natural beauty and historical significance are now heavily neglected in real estate. This creates an exciting opportunity for both buyers and sellers.
Developers are rushing in to build in areas like Clayton, Garner, Knightdale, Creedmoor, Wendell, Louisburg, Pittsboro, New Hill, among others.
These areas are perfect for developers looking to meet the demand for homes in the $130k-$300k range.
Growing Pains in Raleigh-Durham : Traffic & Commutes
While the new development is promising for the area, there are some concerns people who are thinking about making the move may have. Traffic congestion will always be an inconvenience in high thriving areas.
According to a 2017 article, How Traffic in Raleigh, Durham Compares to NC, Global Cities by The Triangle Business Journal, commuters in Raleigh and Durham spent 6 percent and 4 percent of their driving time stuck in traffic last year.
Raleigh ranked 432nd out of 1,064 cities worldwide when it came to congestion. Durham ranked 778th.
Triangle cities still rank much better than their neighbors like Austin and Atlanta.
Increasing population and urbanization usually leads to longer commute times. However, there are systems in place to better the situation.
Expanding The Reach of Public Transportation in The Triangle
Public transit in The Triangle is improving, but there is still progress to be made for it to be considered a reliable option. The good news is that construction is underway to add a long-awaited loop to Interstate 540.
The new 18-mile segment of the Triangle Expressway, also known as N.C. 540, will run between this 650-acre interchange and N.C. 55 in Apex, extending the toll road that begins at I-40 near Research Triangle Park.
Completing the Triangle Expressway's southern leg will leave a 10.8-mile stretch in the southeast corner to build. Contracting is still open for completing the final designs and construction of that final leg of the Triangle Expressway.
Many of the area’s key backroads have begun the necessary improvements to handle the influx of traffic that is expected, as growth rates continually increase.
An Opportunity for Property Investment
The ROI for the area is impressive. The average rent for North Carolina residents is about $1300 a month. That rate includes small starter homes and mid-sized apartments.
You could get far more than that for a rented four-bedroom single-family home.
You could comfortably charge 1% rent on a single-family home and capitalize on the appreciation if you ever decide to sell.
The Right Decision Requires The Right Expertise
For a majority of investors, buying or selling real estate is one of the most important decisions they will make. Choosing a local real estate professional is a vital part of this process.
They stay informed and updated about critical factors that affect your specific market areas, such as changes in market conditions, market forecasts, consumer attitudes, best locations, timing, and interest rates.
I strive to set the standard for our industry and inspire others by raising the bar to provide exceptional real estate service to my clients. I can help you succeed by minimizing risk and maximizing profitability.
Talk to someone with the Tim M. Clarke Team now, and you won't regret it later.
—Tim M. Clarke, Triangle Area Real Estate Specialist
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