North Carolina Is Winning in Affordability and Homebuilding: Can Gov. Stein Keep Up Momentum?

North Carolina continues to shine as one of the nation’s housing success stories.

The Realtor.com® State-by-State Housing Report Card gave the Tar Heel State a strong B+, reflecting its ability to build enough new homes to support a fast-growing population while keeping prices relatively stable. The report, part of the Let America Build campaign, measures how each state balances current affordability with future housing supply.

North Carolina’s results show a market that’s expanding rapidly—but still working to make sure affordability keeps pace with demand.

Which is no small feat, given that the rest of the country is feeling the pain. President Donald Trump recently put pressure on homebuilders to increase construction nationwide, given the issues with construction in the country. In a post on his Truth Social platform in early October, he accused major builders of hoarding lots to prop up prices—likening them to OPEC, which restricts oil output to maintain high prices.

“They’re my friends ... but now, they can get Financing, and they have to start building Homes. They’re sitting on 2 Million empty lots, A RECORD,” Trump wrote. He urged Fannie Mae and Freddie Mac to intervene and “get Big Homebuilders going” to “restore the American Dream.” 

So what is North Carolina doing right that the rest of the country can learn from?

North Carolina’s “B+” grade explained

Realtor.com’s analysis gave North Carolina a total score of 68.8, placing it among the top-performing states nationwide. The state’s median listing price was $408,663 in 2024, paired with a median household income of $68,774. The Realtors Affordability Score came in at 0.59—close to the national average—indicating that while homes are getting pricier, a fair portion of listings remain within reach for typical earners.

What sets North Carolina apart is its building momentum. The state accounted for 6.4% of all new housing permits in 2024 while representing just 3.3% of the U.S. population—a permit-to-population ratio of 1.94, one of the highest in the country. The new construction premium—the difference between new and existing home prices—was just 2.6%, showing that builders are delivering competitively priced homes that help stabilize the broader market.

Realtor.com economists note that this balance of affordability and robust construction is what keeps North Carolina near the top of the rankings. The state’s major metros—Raleigh, Charlotte, and Durham—continue to attract job growth and new residents, but a steady stream of housing permits has helped prevent the severe shortages seen in other fast-growing regions.

How the South stays ahead

Across the nation, new construction is emerging as a key driver of affordability. The Realtor.com New Construction Insights report found that the median new-home price held steady at $450,797, while resale prices rose 2.4%. That narrowed the national new construction premium to just 7.8%, the lowest in the report’s history.

The South remains the epicenter of new homebuilding, accounting for the majority of both new and existing listings. Realtor.com’s data shows that the region’s combination of available land, fewer regulatory hurdles, and steady population growth has made it the engine of U.S. housing supply.

As the report points out, Southern markets, in particular, are proving that strong permitting pipelines and diverse housing options can go a long way toward keeping prices in check.

In North Carolina, this dynamic is on full display. Builders have ramped up activity across both urban and suburban markets, ensuring that supply continues to rise even as demand grows.

Hopefully, the rest of the country can follow in the South's lead.

“America is short more than 4.7 million homes, and every new home built helps close that gap while fueling local economies," says Shannon McGahn, executive vice president and chief advocacy officer at the National Association of Realtors®.

"NAR research shows that the U.S. has faced a persistent housing shortage for more than a decade, driving up prices and limiting options for buyers. Expanding housing supply creates jobs, supports small businesses, and affords families the opportunity to build generational wealth.”

Governor Stein's plan to keep NC leading in Housing

North Carolina Gov. Josh Stein has made housing availability and affordability a central focus of his 2025–2027 budget proposal.

His plan calls for allocating $35 million annually to the state’s Housing Trust Fund, a key source of flexible financing that leverages private and federal dollars to expand housing options for low-income families, veterans, seniors, and people with disabilities.

Another $15 million would go toward the Workforce Loan Program, designed to support the construction and repair of affordable homes. Stein has also backed bipartisan efforts in the General Assembly aimed at cutting red tape and streamlining the homebuilding process.

“Our state is growing, and people need a safe and affordable place to live,” said Governor Josh Stein. “We will remain focused on identifying solutions to lower the cost of housing for North Carolinians at every stage of life and work to ensure every person has a safe place to call home.”

This article was produced with editorial input from Dina Sartore-Bodo and Gabriella Iannetta.