Collaborating to Address the Housing Supply Gap in North Carolina

The following article is a guest post written by NC REALTORS® Chief Executive Officer Andrea Bushnell and is adapted from her remarks at the NC Chamber and North Carolina Bankers Association’s 23rd Annual Economic Forecast Forum. The event, held on Jan. 14, 2025, convened the state’s most influential leaders to discuss how North Carolina can continue to lead in job retention, job creation, and quality of life. Read part one of NC REALTORS’® remarks here.
Housing in North Carolina isn’t just about structures and market trends—it’s about creating opportunities, building stability, and fostering growth in every community across the state. Together, we face a shared challenge: to ensure that the evolving housing landscape serves the diverse needs of our fellow North Carolinians while preserving what makes this state such an incredible place to call home.
To address this challenge, we must turn insights into actionable solutions that benefit North Carolina and its residents. As a collective force, we can shape the future of housing in our state.
The reality we face is daunting. Over the next five years, North Carolina is projected to have a housing gap of 764,478 units—a challenge that affects homebuyers and our economy alike. This issue spans all income levels and housing types, including rentals. Housing is foundational to the security of North Carolina’s future, influencing our ability to attract jobs, support families, and sustain thriving communities. Importantly, this isn’t just an urban issue; rural areas also grapple with availability and affordability challenges, with many counties experiencing vacancy rates well below healthy levels.
When we ask, “Where do we need to go from here?” we must view housing not as a standalone issue but as the backbone of our economy. The potential solutions outlined in the Bowen housing study provide a starting point for industry leaders, elected officials, and community stakeholders to build a future where housing is accessible, attainable, and supportive of economic growth.
Our first step is raising public awareness and educating decision-makers about North Carolina’s critical housing gaps. Predictions indicate a 5% increase in households over the next five years. For a state already facing significant shortages across all income levels and stark disparities between urban and rural areas, it is imperative that we work with policymakers to prioritize housing initiatives.
While this is a statewide issue, community-specific needs demand tailored approaches. Urban areas experiencing rapid population growth face rising housing costs, limited inventory, and competitive markets. Solutions for these challenges include public-private partnerships to fund and construct workforce housing and adaptive reuse projects that repurpose commercial spaces into multifamily housing. Streamlining zoning and permitting processes can also help expand the housing supply in densely populated areas by enabling higher-density developments such as townhomes and duplexes.
Infrastructure investments are equally crucial. Enhancing public transportation and building housing near transit hubs can alleviate demands on state roads and highways. Reducing or eliminating parking requirements can lower construction costs and increase housing units. Mixed-use developments, which integrate housing with retail and office spaces, promote walkability, reduce commute times, and enhance quality of life.
Supporting first-time homebuyers is another essential strategy. Continued investment in organizations like the NC Housing Finance Agency can open doors to homeownership, helping residents build wealth, equity, and financial stability.
Accessory Dwelling Units (ADUs) offer a practical and effective solution. These units provide housing options for aging parents or adult children facing affordability challenges and can also serve as an additional income source for homeowners.
As leaders and problem solvers, we must consider all tangible solutions and reject the narrative that growth harms neighborhoods. Engaging stakeholders—including local governments, industry leaders, community organizations, and residents—is critical to addressing area-specific needs while preserving what makes our communities special.
Growth is not confined to urban areas. With the rise of remote work, smaller towns and rural areas are becoming more attractive. However, many of these areas lack the infrastructure and services needed to support population growth. Upgrading water, sewer, and energy systems is essential for supporting housing development in these regions. Additionally, addressing the economic challenges faced by rural residents requires working with local governments to attract employers and supporting workforce housing developments.
Financial literacy programs can empower rural residents by helping them navigate the home-buying process and build credit. Community Land Trusts can ensure long-term affordability, and modular or manufactured housing offers cost-effective solutions tailored to specific areas. Furthermore, we must protect vulnerable regions from natural disasters by building resilient homes and providing resources for rebuilding housing stock.
Collaboration is the first step to meaningful change. Tailored strategies that address urban density, rural isolation, and affordability issues are essential. Using housing gap estimates to create localized plans ensures that resources are allocated effectively to meet community needs.
Closing the housing gap is not just a challenge but an opportunity. Addressing this gap by 2029 could generate $144 billion in labor income and $489 billion in economic activity. Expanding rental and for-sale options will strengthen our economy and secure North Carolina’s future growth.
These highlights only scratch the surface of our housing needs and solutions. Leaders across the state are already addressing these issues creatively with localized approaches that demonstrate care and respect for our communities. I am grateful for the immediate attention this critical issue is receiving and commit our industry to rolling up our sleeves to find solutions that serve all North Carolinians.
I leave you with a challenge: recognize the enormity of our growing housing crisis and its impact on the state’s economy. I urge you to collaborate on solutions this year so that we can continue to be a top state for business and ensure a bright future for all who call North Carolina home.
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About Andrea Bushnell:
Andrea Bushnell serves as the CEO of NC REALTORS®, a position she has held since 2014. Under her leadership, the organization has grown into one of the most influential real estate associations in the country, representing over 57,000 members statewide. Andrea is a seasoned executive with extensive experience in association management, advocacy, and strategic planning. She is dedicated to advancing the real estate profession, fostering innovation, and ensuring members are equipped to thrive in a dynamic industry. Known for her collaborative leadership style, Andrea is passionate about building strong communities and empowering REALTORS® to make a positive impact.