Wilmington, NC, is bucking the national trend of increasingly competitive rental markets, thanks to a surge in new apartment construction, according to RentCafe’s year-end Rental Competitive Index report for 2024.
- The national market saw significant tightening with the Rental Competitive Index rising to 74.4 from 59.5 in 2023.
- Wilmington’s competitiveness increased only modestly, climbing to 68.7, up just 1.9 points from last year.
New Construction: Wilmington’s relative stability in the rental market is attributed to a surge in new apartment construction. The city added a remarkable 7.74% share of new apartments in 2024, more than double the 3.54% added in 2023 and 3.55% in 2022.
- This influx of new housing made Wilmington one of the top markets nationwide for new construction, second only to Portland, ME, which added 8.0%.
By The Numbers: The building boom has provided much-needed breathing room for renters. Average vacant days for apartments rose by three days to 40, and lease renewal rates ticked up slightly to 61.3%.
- The percentage of occupied apartments increased just 0.1 percentage points, reaching 92.4% by the end of 2024.
North Carolina: Of North Carolina’s seven major rental markets, Wilmington was the least competitive in 2024. Its Rental Competitive Index score of 68.7 was well below Asheville’s 80.5, the state’s hottest rental market, which ranked 16th nationally among small markets.
Bottom Line: Wilmington’s focus on new apartment construction has positioned it as a model for managing rental market pressures. While the national rental market continues to heat up, the Port City’s building boom is helping to keep its market balanced.
