This information is quoted directly from Wells Fargo Securities, LLC Economics Group, North Carolina Ecomic Outlook November 01, 2012. The highlitesare mine.
Charlotte
Conditions in the Charlotte metro area have deteriorated in the second half of the year. After falling to around 9.5%, the unemployment rate has begun to edge back up as the local labor force has expanded faster than employment.
Job growth in the metro area firmly outpaced the U.S. average thrrough the end of 2011, but the story this year has been one of slower-than-average growth. The service sector continues to lead job gains, The energy and power industry shows signs of continued expansion with new job announcements. In addition, employment in personal care services continues to expand, reflecting the region’s growing population.
The housing market is finally beginning to experience some home price appreciation, mirroring national home price trends. The backlog of foreclosures has begun to clear. and existing home sales continue to improve.
New construction activity also continues to pick up with permits rising for both single- and multifamily segments. Demand for local apartments has helped to support most of the new building activity in the multifamily space.
Our outlook for the Charlotte area calls for stronger job and economic growth as population gains support stability in the housing market. There is upside potential to growth for the region over the next few months; however, ongoing restrictions in local government and funding pressures within the local school district will likely keep government employment in check.