By Jamie Strickland
The real estate market in Johnston County is booming, but with growth comes challenges. As one of the fastest-growing counties in North Carolina, Johnston is experiencing high home prices, a limited inventory of available properties, and increasing affordability concerns for both buyers and renters. Here’s a closer look at the state of the local housing market and what it means for residents and potential investors.
Rising Home Prices & Shrinking Inventory
According to the 2024 Carolina Core Region Housing Needs Assessment by Bowen National Research, at the end of the year, Johnston County’s median home list price stood at $377,950. The county’s relatively newer housing stock, with an average build year of 2001, is attracting buyers seeking modern homes. However, the Months Supply of Inventory (MSI) sits at just 0.9 months, well below the balanced market threshold of 4-6 months. With an availability rate of only 0.5 percent, demand is far outpacing supply, leading to competition among buyers.
Affordability Concerns
Affordability remains a major issue for many residents. According to the report, while the median household income in Johnston County is $72,736, nearly 42 percent percent of renters and about 19 percent of homeowners are considered cost-burdened, meaning they spend over 30 percent of their income on housing. Even more concerning, 18.7 percent of renters and 7 percent of homeowners are spending more than 50 percent of their income on housing costs. This financial strain is making it increasingly difficult for first-time buyers and lower-income families to find suitable housing.
The Rental Market: High Demand, Low Availability
For renters, options are slim. According to the report, vacancy rates for non-conventional rentals, such as single-family homes and duplexes, are at a mere 0.7 percent, signaling a significant shortage of available rental properties. While multifamily rental properties in the county have higher-than-normal vacancy rates, exceeding 10 percent, much of this is attributed to new developments that are still in the leasing phase. Despite this, long waitlists and rising rental prices indicate strong demand for affordable rental options.
What does this mean for the economy?
Maureen McGuinness, President and CEO of the Triangle East Chamber of Commerce, said the availability and affordability of housing has a big effect on the workforce in our area. “From the Chamber’s perspective our concern is the role housing plays on the ability to attract talent to the region. For the most part people like to live close to their jobs and not have long commutes. In Johnston County 45 percent of employers surveyed identified the cost and availability of housing as very or extremely challenging in recruiting and retaining a skilled workforce,” she said.
McGuinness said this topic is of high priority to the Chamber, which recently hosted a breakfast on the State of Workforce Housing where panelists and community engagement to try to stay on top of this issue in Johnston County.
“In addition to the disparity between rent and income there is a significant housing supply gap in the state. The North Carolina Chamber, along with the North Carolina Home Builders Association and the North Carolina Realtors shows the state faces a significant housing gap across all income levels and geographic areas,” she said.
What’s Next for Johnston County?
With its rapid population growth and strong housing demand, Johnston County remains a desirable location for homebuyers and investors. However, addressing affordability challenges and increasing the housing supply will be critical in ensuring the market remains accessible to all income levels. Local policymakers, developers, and community leaders will need to work together to create sustainable housing solutions that meet the county’s evolving needs.
