August 2025 Market Trends

Welcome to our latest rental market trends update, where we examine the current landscape for investment properties and rentals. As we provide the trends of the present month, we will also share comparisons with the same period in previous years. This market analysis focuses on Single Family Homes, Condos, and Townhomes in the dynamic Charlotte area. Whether you own rental properties or are considering entering the market, our analysis offers valuable insights into year-over-year trends.

In the ever-changing rental market, understanding shifts in demand, pricing, and property availability is crucial for property owners and managers. Join us as we break down the data to offer insights into the rental market’s current state, providing essential context for those managing or investing in rental properties. Whether you’re focused on growing your portfolio, optimizing returns, or staying informed, we hope this overview proves valuable.

Median Days on Market

Charlotte’s housing market has seen a clear shift in how quickly homes are selling. In early 2022, homes typically went under contract in less than a week, with median days on market as low as five. Since then, selling timelines have steadily lengthened, reaching 25 days by August 2025. This upward trend reflects a cooling from the frenzied pace of the 2021–2022 boom, giving buyers and renters considering homeownership more breathing room to make decisions.

For rental property owners, longer selling times can be a sign of increased inventory and more negotiating power for buyers, but it also strengthens the case for holding rental properties as demand for rentals remains steady. Renters, on the other hand, may benefit from a less competitive buying environment if they’re looking to transition into ownership. However, with prices continuing to rise, the balance between timing and affordability remains key.

Months Supply of Homes

Charlotte’s housing market has seen a steady increase in inventory over the past few years. In early 2022, supply was extremely tight, holding at just 2.3 months for much of the year. Since then, inventory has gradually risen, reaching 4.5 months by August 2025. This shift indicates a market moving closer to balance, as the extreme seller’s conditions of 2021–2022 continue to ease.

For rental property owners, growing supply means more competition among sellers, which could temper price growth but also strengthen the case for holding rental units as demand shifts. Renters may benefit as well, since a larger supply of homes generally provides more options and could slow the pace of rising housing costs, making ownership a more realistic step for those ready to buy.

Homes for Sale

Charlotte’s housing inventory has expanded steadily over the past few years, signaling a notable shift from the tight market conditions of 2022. In January 2022, there were about 16,884 homes for sale, but by August 2025, that number had risen sharply to 22,643. This increase of nearly 6,000 homes highlights how much more choice is available to buyers compared to just a few years ago.

For rental property owners, rising inventory can create both challenges and opportunities. More homes for sale may ease upward price pressure, encouraging some renters to transition into ownership, but it also positions well-maintained rentals as attractive alternatives for those waiting out higher mortgage rates. Renters, meanwhile, benefit directly from the expanded supply, as more housing options—whether for rent or purchase—can help temper competition and improve affordability in a market that has been increasingly strained.

Sales Price

Home prices in the Charlotte area have shown steady long-term growth, though gains have slowed compared to the rapid increases of a few years ago. The median sales price rose from about $309,000 in January 2022 to $375,000 in August 2025, reflecting a solid upward trend. After peaking in 2022, price growth leveled off through much of 2023, with prices holding in the mid-$350,000s before resuming a gradual climb in 2024 and 2025.

For rental property owners, the consistent rise in home values helps reinforce property appreciation, supporting higher rent pricing over time. Renters, on the other hand, continue to face affordability challenges as ownership costs climb, making rentals a more practical option for many households. This ongoing price pressure underscores the importance of competitive but sustainable rent levels in order to capture demand while minimizing turnover.

Summary

The Charlotte area housing market continues to shift toward a more balanced environment. Median days on market have climbed, reaching 25 days in August 2025. At the same time, inventory has expanded: months supply rose from the extreme lows (around 2.3 months) in 2022 to 4.5 months currently, and the total number of homes for sale increased from roughly 16,800 in January 2022 to over 22,600 in August 2025. These shifts indicate that buyers now have more choices.

For property owners and managers, this environment brings competition when marketing rentals, but also greater leverage in selecting quality tenants given the expanded housing supply. Renters may benefit from this increased inventory as well, since more
balanced sales activity and higher availability can ease pressure on rent growth in certain segments. However, with the median sales price still climbing steadily, affordability challenges remain, keeping rental demand strong. The current market balance suggests owners should focus on pricing competitively and highlighting value, while renters may find more opportunities than in recent years.

If you’re a property owner looking to maximize your rental potential, now is an ideal time to explore how professional property management can enhance your investment strategy. Reach out to learn more about how we can help you adapt to these evolving market conditions and make the most of your rental properties.