Columbia home builder makes big push into Charlotte, with first-time buyers in mind

A South Carolina developer is expanding into the Charlotte market with first-time home buyers in mind .

Mungo Homes, based in Columbia, has already branched out in its home state to Beaufort, Charleston, Greenville/Spartanburg and Myrtle Beach, as well as in Raleigh/Durham, Richmond, the Triad, and Wilmington.

Charlotte is its 10th market, and its first projects will be in west and north Charlotte. “The Charlotte market is one of the most prolific new home markets in the country. The job growth here is excellent. The migration is usually near the top nationwide,” said Matt Kearns, Mungo’s lead development manager.

“The big appeal of the Charlotte metro area is the relative affordability,” he said. “You look at other metro areas this size that have all the attractions and appeals that a place like Charlotte does and we’re still relatively affordable. One of our strategies as we enter the market is to target that first-time home buyer.”

In a seemingly scary housing market with high mortgage rates, targeting first-time buyers may also seem daunting. Mortgage rates have steeply increased since 2022, hitting about 7% this year. In April 2021, rates were around 3%, according to the New York Times .

Then there’s the sizable down payment too.

But Kim O’Quinn, Mungo’s corporate vice president of marketing, said labeling the rates as extremely high is a misnomer.

“The 40-year average interest rate is 7.41%, so we’re just average right now,” O’Quinn said. “What we saw several years ago with the 3% (rate), was the pandemic.”

According to Bankrate , a personal finance company, the 30-year fixed rate bottomed at 3% in 2021. Freddie Mac, one of the largest home lenders, added that the average rate since 1971 is just under 8%. O’Quinn says the rates may feel extremely high because of the recent low, but interest rates are average when looking at the long term.

As for affordability, Kearns said Mungo is pushing town homes within the city limits because the density of the community allows for more homes to be built, lowering overall costs.

Here’s what Charlotte can expect first

Mungo’s first project in the city will be Sloan Station in west Charlotte and Lakeview Village in north Charlotte.

Sloan Station, at 5805 Tuckaseegee Road, will have about 56 town homes, while Lakeview Village at 4700 Lakeview Road will have 41 town homes.

Kearns said town homes appeal to first-time buyers because they provide more of a community atmosphere and typically aren’t built in super suburban areas. Town homes are also typically maintenance-free. No lawn mowing in 100-degree weather.

O’Quinn echoed the community sentiment.

“Coming out of the pandemic, people are just hankering for community and a town home community is just that community,” O’Quinn said.

Each of the town homes will be similar in build ranging from 1,250 to 1,700 square feet, with three bedrooms, 2 1/2 bathrooms, a one-car garage and priced at the low to mid-$300,000.

Sloan Station and Lakeview Village are in the early stages of development. Kearns said they should be online in early spring.

Other development plans in the Charlotte region

Mungo is also working on seven additional sites, including 286 town homes in north Charlotte and 90 duplexes and 158 duplexes and triplexes in east Charlotte.

It also be expanding to the surrounding area with 246 single-family homes in Newton, 126 singles in Shelby and 94 town homes in Gastonia.

The single-family homes will all have a similar build. They’ll be about 1,500 to 2,400 square feet, three to four bedrooms, 2 1/2 to 3 bathrooms all priced in the mid- to high-$300,000s.

Overall, Mungo intends to bring several hundred town homes and single-family houses to the area annually.

“We want to bring an experience to homebuyers in Charlotte that they haven’t seen before,” O’Quinn said. “ What sets us apart from a lot of builders is our process and the experience of building a home with us is very personal.”