BRRRR in Charlotte, North Carolina
Local considerations for Charlotte BRRRR projects, plus financing guidance tailored to investors.
Local Snapshot — Charlotte, North Carolina
Charlotte leads North Carolina BRRRR opportunities with major bank headquarters, corporate relocations, and strong population growth. The metro benefits from finance sector employment, NASCAR presence, and diverse economy. Higher rental demand from young professionals supports premium rents and solid appreciation potential.
Median 3BR Rent$2,100
Median Home Price$510,000
Rent-to-Price Ratio0.49%
Est. Property Tax Rate0.9%
Vacancy Rate6.9%
5y Population Growth11.5%
Avg Days on Market28 days
Last updated: 2024-09-24
Local BRRRR Notes
- Inventory & comps: Verify comparable sales supporting your ARV; track days on market and supply trends.
- Rent checks: Confirm realistic rent using multiple sources; underwrite concessions and lease‑up time.
- Permit timelines: Speak with local building departments for scope‑specific requirements.
- Contractor bench: Line up multiple bids and references; enforce clear milestone payments.
- Exit & DSCR: Size loan proceeds under conservative DSCR and rate scenarios.
Talk to a financing specialist to structure your deal.
Financing Benchmarks
- Target DSCR ≥ 1.25–1.35x given North Carolina's growth fundamentals and rental stability.
- Purchase LTV typically 75–85% for qualified investors in primary markets.
- Refi LTV commonly 70–80% with strong appraisal support from market appreciation.
- Seasoning requirements 6–9 months; shorter periods available for experienced investors.
- Carry 10–15% rehab contingency due to increasing construction costs and permit timelines.
- Maintain 6–10 months reserves; markets show good economic resilience.
- Property management typically 8–10% gross rents; military tenant management may warrant premium.