As we close out the year, many homeowners and investors are asking the same question: What just happened in the rental market - and what does it mean going forward?
Across Eastern North Carolina, 2025 was a year of adjustment, recalibration, and opportunity for owners who paid attention to the details. While national headlines often told a broad story, the reality in our local markets was far more nuanced.
Below is a clear, practical look at what we saw in 2025 - and how property owners should be thinking about 2026.
A Market That Normalized, Not Collapsed
After several years of rapid rent growth and historically low vacancy, the Eastern North Carolina rental market began to normalize in 2025. This was not a collapse or a correction driven by distress - it was a return to balance.
Across Onslow, Pender, Jones, Carteret, and Craven Counties, we consistently observed:
Slower rent growth compared to prior years
Increased price sensitivity among tenants
Slightly longer days on market for overpriced homes
Strong performance for well-maintained, correctly priced properties
The takeaway was clear: the market stopped rewarding average properties with premium rents. Quality, condition, and pricing discipline became essential.
Pricing Became the Deciding Factor
One of the most important lessons of 2025 was the importance of correct pricing from day one.
Homes introduced at market-supported rents often secured tenants within the first two to three weeks. Properties that launched above market expectations tended to sit longer, require price reductions, and ultimately rent for less than they would have if priced correctly at the outset.
With more options available, tenants were willing to wait - or move on - when pricing didn’t align with value.
The owners who performed best were those who:
Relied on current local data rather than past performance
Adjusted expectations to reflect market demand
Treated pricing as a strategy, not a guess
Condition and Presentation Separated the Winners
2025 reinforced a simple truth: renters decide with their eyes first.
Homes that were clean, well-maintained, and thoughtfully presented consistently outperformed similar properties that deferred maintenance or upgrades. Even modest improvements often delivered measurable results.
We saw clear advantages for properties that featured:
Updated or neutral finishes
Strong curb appeal
Professional photography and marketing
Move-in ready condition
In a more competitive environment, condition was no longer a “nice to have.” It became a determining factor.
Military Demand Remained Strong - but More Selective
Eastern North Carolina’s military presence continued to support steady rental demand throughout the year. However, military renters were just as selective as civilian tenants.
Homes near bases, schools, and commuting routes continued to perform well - but only when condition and pricing aligned with expectations. Proximity alone could not overcome outdated interiors or deferred repairs.
Owners who prepared their homes proactively were rewarded with stronger interest, smoother leasing cycles, and fewer concessions.
What This Means for Investors Heading Into 2026
Looking ahead, we expect 2026 to remain stable and balanced - not overheated and not soft.
Our outlook includes:
Continued demand for quality long-term rentals
Ongoing pricing sensitivity among tenants
Less tolerance for deferred maintenance
Strong performance for professionally managed properties
This is the type of market where disciplined ownership wins. The days of “set it and forget it” pricing are behind us, at least for now.
Successful investors will focus on:
Long-term asset preservation
Proactive maintenance planning
Realistic rent expectations
Partnering with management teams who understand local market nuances
The Elevate Perspective
At Elevate Properties, 2025 reinforced why our approach matters.
Strong marketing creates interest - but consistent follow-up, clear communication, and disciplined execution convert that interest into qualified tenants. The market sets the conditions; management performance determines the outcome.
We’re entering 2026 with clarity, confidence, and a people-first approach that continues to serve both homeowners and residents well.
If you’re evaluating your rental strategy for the coming year - or wondering whether your property is positioned correctly - we’re always happy to talk.
Call us at 910-548-7115
