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Raleigh Crowned Best-Performing Large City in the U.S.

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News Summary

Raleigh, North Carolina has been recognized as the best-performing large city in the U.S. for 2025 by the Milken Institute. This accolade reflects significant economic improvements, including solid job and wage growth, an expanding tech sector, and relatively affordable housing. Alongside neighboring cities also achieving noteworthy rankings, Raleigh’s flourishing environment and educational institutions contribute to its vibrant community and job market. Despite challenges like a housing shortage, the city is focused on sustainable growth and development.

Raleigh Rises to the Top as Best-Performing Large City in the U.S.

Things are looking bright in Raleigh, North Carolina! The Milken Institute has just crowned this bustling metropolis as the “best-performing” large city in the entire U.S. for 2025. It’s quite an achievement for a city that was ranked No. 2 just last year, showcasing a tremendous leap forward in its economic performance.

What Makes Raleigh Shine?

So, what’s the secret sauce behind Raleigh’s success? A combination of solid job and wage growth, an ever-expanding tech industry, and housing that is still relatively affordable compared to other major cities. It seems like Raleigh has struck the right balance, allowing both new and existing residents to thrive.

Raleigh’s Mayor has been working diligently to enhance the city’s appeal, ensuring that it becomes even more attractive to new residents. With a growing talented labor force and a low cost of doing business, Raleigh has become a prime destination for job seekers and entrepreneurs alike.

Stats that Speak Volumes

11 out of 13 economic performance metrics, including wage growth and community resilience. The city boasts impressive rankings, earning 7th place for high-tech impact and labor market performance, while sitting at 5th for access to economic opportunities among 200 large cities!

Between 2018 and 2023, job growth in the Raleigh area averaged around 15.5%, with wages soaring by over 47%. These numbers not only reflect the city’s upward trajectory but also indicate a healthy environment for both job creation and economic development.

Neighboring Cities Join the Fray

Charleston and Myrtle Beach have also made their mark, ranking 11th and 12th among large cities, respectively. Meanwhile, smaller cities in the region like Jacksonville and Burlington are also worth noticing, placing 8th and 17th in the top 20 list!

The High-Tech Advantage

The high-tech sector has played a critical role in the Carolinas’ economic narrative, with Raleigh at the forefront specializing in software and computer systems design. Jacksonville has witnessed impressive growth as well, ranking 4th among small cities for its high-tech GDP.

Charleston, affectionately dubbed “Silicon Harbor,” is not far behind and continues to foster the development of its own tech sector, although growth may be a bit uneven.

An Educational Powerhouse

Raleigh’s success also stems from its proximity to some major research institutions, including the University of North Carolina, North Carolina State University, and Duke University. Together, these institutions churn out around 40,000 graduates annually, many of whom choose to stay in the area, contributing to its workforce.

A Growing Population

Raleigh’s population has skyrocketed, increasing by over 30% to reach approximately 1.5 million from 2010 to 2023. This population boom has coincided with North Carolina’s overall growth of nearly 165,000 residents in 2024, ranking it the fourth-highest in the nation for population growth.

Addressing Housing Challenges

However, not all is perfect in paradise. Despite the bright lights of opportunity, Raleigh faces a housing shortage of around 65,000 units. The median home price has surged to about $450,000 as of November 2024, marking a nearly 15% increase from the previous year and pushing it up almost 50% since November 2020. Fortunately, plans are underway to address this shortage through funding for affordable housing initiatives and partnerships with local organizations.

With its thriving economy and community-focused initiatives, Raleigh’s journey to the top is a vibrant tale of growth, resilience, and opportunity. As the city looks toward the future, it continues to reflect broader economic trends across the Carolinas, ensuring brighter days ahead for all.

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