By Gene Galin
Pittsboro, NC – As Chatham County continues to experience significant growth and development, the local real estate market faces a myriad of challenges and opportunities. With property re-evaluations occurring this year, residents are grappling with changing home values and tax rates. I sat down with Eric Andrews of Carolina Realty World to delve into the current state of the Chatham County real estate market, highlighting key trends, the impact of property evaluations, and the implications for young families and potential buyers looking to navigate this evolving landscape.
[This is part two of a three part series]
Understanding Property Re-evaluations
The Process and Its Importance
Every four years, Chatham County conducts property re-evaluations to ensure that property values reflect current market conditions. This year, the county’s evaluations have sparked discussions among homeowners about the accuracy of their assessments and the implications for their property taxes. Eric Andrews emphasizes the importance of these evaluations, stating that they provide essential data for municipalities to make informed decisions regarding budgeting and tax rates.
Despite the rigorous process, Eric acknowledges that not all evaluations are perfect. “Do they always get it right? Heck no, they don’t always get it right,” he admits. However, he believes that the county generally does a commendable job, balancing the need for accurate valuations against the workload involved.
Tax Rates and Budgeting Concerns
One of the primary concerns for homeowners is the relationship between property valuations and tax rates. The proposed tax rate for the upcoming fiscal year is set at 60 cents per $100 valuation, a reduction from last year’s rate of 72.5 cents. While this may seem promising, homeowners whose properties have increased in value by more than 20% may still face higher tax bills, despite the lower rate.
Housing Affordability: A Growing Concern
The Struggles of Young Families
As the cost of living in Chatham County continues to rise, many young families are finding it increasingly challenging to afford housing. With a median income of approximately $88,000, these families are often pushed to the outskirts of the county or even into neighboring areas like Lee County in search of more affordable options.
Andrews notes that the disparity in housing prices is stark, particularly when comparing different regions within the county. “Our prices drop when we go south and west of this area,” he explains. For many families, this means longer commutes and a trade-off between affordability and access to amenities and job opportunities.
Andrews adds that young families, including teachers and first responders, are increasingly being pushed to neighboring counties such as Lee County or even further afield in search of affordable homes. The disparity in housing prices between different areas of the county is stark. For instance, homes near the Jordan Lake command significantly higher prices compared to those further south and west.
The Role of Manufactured Housing
One potential solution to the housing crisis is the increased acceptance of manufactured housing. Despite the stigma surrounding these homes, Andrews argues that they can offer affordable options for families looking to establish roots in the area. “Manufactured housing is affordable housing in a rural area,” he states, highlighting the need for local municipalities to reconsider regulations that may hinder the development of such housing options.
As affordability becomes a pressing issue, Andrews highlights manufactured housing as a viable option. Despite the stigma surrounding manufactured homes, he argues that they can provide affordable housing solutions in rural areas where municipal sewer services are unavailable. “Manufactured housing has gotten a lot better,” he asserts, emphasizing its potential as an entry point for families looking to build wealth through homeownership.
Andrews further clarifies the distinction between manufactured and modular homes, emphasizing that both can provide viable solutions for families seeking affordable housing. “Manufactured homes are built to federal HUD code and can be permanently affixed to property,” he explains. “Modular homes, on the other hand, are built to North Carolina building codes and offer a higher standard of construction.”
The Impact of Economic Developments
Wolfspeed and VinFast: Challenges and Opportunities
Recent developments in the local economy, particularly concerning companies like Wolfspeed and VinFast, have raised concerns about job security and economic stability in Chatham County. Wolfspeed’s recent bankruptcy announcement has left many residents worried about the future of Siler City and the potential loss of jobs that were expected to come with the semiconductor manufacturer.
Wolfspeed’s Uncertain Future
Wolfspeed, a semiconductor manufacturer, has faced challenges in recent months, raising questions about the future of its facility in Siler City. Local leaders are hopeful for a potential buyer to take over the facility, which could preserve jobs and economic growth in the area. Andrews notes that the groundwork laid for the Wolfspeed facility, including infrastructure and power demand, could attract new businesses in the future.
Andrews acknowledges the disappointment surrounding Wolfspeed’s situation but remains hopeful that the facility’s infrastructure and potential for future development will attract new businesses. “It’s tragic news right now, but there may be a potential buyer,” he notes, emphasizing the need for continued investment in the area.
Similarly, VinFast’s delayed plans for electric vehicle manufacturing have created uncertainty in the local market. Andrews points out that if VinFast fails to meet its operational deadlines, the state may reclaim the property, further complicating the economic landscape of Chatham County.
Disney’s Asteria: A Double-Edged Sword
The proposed Disney project in Asteria has generated excitement and skepticism among residents. While the project promises to bring new jobs and economic growth, the anticipated housing prices in the area could further strain affordability for local families. Andrews suggests that the project’s target demographic—young grandparents with children—may shift the market dynamics, making it challenging for first-time homebuyers to compete.
The Future of Chatham County Real Estate
Despite the challenges facing Chatham County’s real estate market, there are also numerous opportunities for growth and development. Projects like Disney’s planned development in Pittsboro and the ongoing Chatham Park initiative are expected to attract new residents and businesses to the area.
Andrews believes that these developments will have a significant impact on the local housing market, potentially driving up prices and attracting a demographic of young families and retirees. “The area is poised for growth, and we need to be prepared for the influx of new residents,” he states.
Chatham County’s real estate market is at a pivotal moment, characterized by rising property values, changing tax rates, and challenges related to housing affordability. As the county prepares for significant economic developments, residents must stay informed and engaged to advocate for their needs and interests. For young families and prospective buyers, navigating this complex landscape may require creativity and flexibility. For families grappling with affordability challenges, exploring options such as manufactured housing and considering neighboring counties may provide viable pathways to homeownership.
Watch on YouTube – Part 2 Chatham County Real Estate Market Update with Eric Andrews – 5.23.25
00:14 Chatham County’s property re-evaluations impact valuations and taxes.
- Property re-evaluations occur every four years, though municipalities can opt for more frequent assessments based on market growth.
- Concerns about valuation accuracy persist, but many believe tax property valuations are generally under market value.
02:49 Chatham County tax rates and services impact homeowners financially.
- Current proposed tax rate is 60 cents per $100 valuation, with neutral rate estimated around 52.9 cents.
- Homeowners should focus on service quality and cost rather than just the tax rate, as taxes may still increase with revaluations.
05:36 Chatham County needs more officers due to population growth and competitive salaries.
- Sheriff Robertson presented the need for seven additional officers to cover the growing county’s demands.
- Chatham County faces competition from nearby counties for law enforcement salaries, impacting recruitment and retention.
08:29 Chatham County’s real estate shows significant price disparities across regions.
- Prices differ dramatically between areas west and east of 751 due to sewer access and proximity to Cary.
- Seaforth School District leads the county in million-plus dollar homes, emphasizing the area’s desirability.
11:12 Affordable housing challenges in Chatham County post-COVID.
- Siler City sees stagnant prices under $200k, pushing families south or west of Pittsboro.
- Manufactured housing offers a viable option for affordable rural living despite common stigmas.
14:01 Modular homes and tiny houses face regulatory challenges despite affordability potential.
- There’s an increasing modularization in stick-built homes, incorporating features like pre-fabricated roof trusses and tub shower inserts.
- Tiny homes often conflict with municipal regulations, facing size limitations and stigma, complicating their integration into neighborhoods.
16:45 Chatham County real estate shows rising land costs impacting affordability.
- Land costs for manufactured homes are high, with 40,000 square feet priced above $75,000.
- Reselling manufactured homes remains challenging due to a weak secondary market, affecting long-term investment gains.
19:03 Wolfspeed’s bankruptcy impacts Siler City’s economic outlook.
- Wolfspeed’s bankruptcy poses job loss risks for Siler City, affecting local families and investments.
- Community leaders are exploring potential buyers for the Wolfspeed facility to revitalize the economy.
21:33 Challenges in the electric vehicle market impact local investments.
- Declining interest in electric vehicles affects companies like WolfSpeed and VinFast, delaying operational plans.
- Concerns over infrastructure and past investment failures may hinder future developments in the region.
24:25 Chatham County’s real estate market thrives due to major developments.
- Toyota’s operational growth is driving increased traffic and investment potential in the area.
- Disney and Asteria projects are advancing, solidifying Pittsboro’s attractiveness for future growth.
26:47 Asteria’s average selling price is rising, impacting local real estate dynamics.
- The starting price for homes in Asteria is expected around $800,000, which is higher than the previous county average of $725,000.
- This increase skews overall county pricing and makes homes less accessible for younger families seeking options under $400,000.