Wilmington Housing Market

Last weekend, my wife and I visited Raleigh to see our oldest daughter and her husband.  At 26, they have just signed a contract to buy their first home. They gave us a tour of the house, and I could see their excitement and pride. They have been saving diligently for three years and were fortunate enough to lock in a mortgage rate under 7%.  

As my wife and I drove home the next day, we reminisced about buying our home in Wilmington just twelve years ago.  We reflected on how much the housing market has changed and how difficult it has become for younger couples to achieve the “American Dream” 

Wilmington, NC Housing Market: A Decade in Review 

Over the last 10 years, Wilmington’s housing market has undergone a significant transformation. In 2015, the median home price was around $225,000. Fast forward to 2025, and that figure has nearly doubled, with median prices now pushing $413,000. This steep rise mirrors what we have seen in larger cities like Charlotte and Raleigh, where home values have surged due to population growth, limited housing inventory, and changing work-from-home trends that reshaped demand. 

A Tough Road for Younger Buyers 

For couples in their 20s and 30s, buying a home in today’s environment is far more challenging than it was just a decade ago. Back in 2015, a combined income of roughly $60,000 could secure a median-priced home in Wilmington with a reasonable down payment and manageable mortgage. But today’s higher prices and interest rates have drastically increased that requirement.  

To comfortably afford a median-priced home in Wilmington in 2025, couples may need to earn closer to $100,000 annually, especially if they are grappling with student loans, rising insurance costs, or limited savings. The Living Income Standard – which estimates how much a household needs to earn to meet basic needs without public or private assistance – for a family of four in North Carolina now stands at $97,500 per year. This figure highlights how challenging it has become for younger households to establish roots. 

Mortgage Rates & Shrinking Buying Power 

Another significant shift has been mortgage rates. In 2015, 30-year fixed rates were around 3.5% or less, with many families securing rates less than 3%. Today, rates are closer to 6.5%–7%, which dramatically reduces how much home a buyer can afford. For instance, a monthly payment that bought a $300,000 home a decade ago might now only be sufficient for a $240,000 home. Higher interest rates have contributed to lower inventory since those who locked in lower rates may not be able to afford a similarly priced home, forcing them to remain in their current residences. This situation is especially difficult for first-time buyers who do not have equity from a previous sale. 

Are These Gains Sustainable? 

The past 10 years have seen one of the most rapid housing increases in housing on record. Even during the housing boom of the early 2000s, price growth was not as steep across so many markets. Historically, periods of rapid appreciation are often followed by a correction, or at least a slowdown. Many of us remember the real estate collapse in 2008 and 2009, when foreclosure rates soared to ten times the national average, resulting in over seven million foreclosures. However, Wilmington and much of North Carolina may be more resilient this time around due to strong in-migration, low housing supply, and persistent demand for coastal living. 

That said, affordability challenges could force a recalibration in the market, especially if mortgage rates remain high or if job growth slows. 

Final Takeaway 

Wilmington’s real estate landscape appears vastly different from what it was 10 years ago. For younger couples, homeownership is still possible, but it requires more income, careful planning, and greater patience than ever before. Whether you are buying your first home or advising the next generation, understanding these market shifts is essential for making informed and confident decisions.