It’s been a great summer on the Outer Banks, particularly in the real estate market. August saw residential sales increase across the board, with some markets experiencing rises of up to 16%.
In total, property sales have generated $552,104,149 in the twelve months leading up to the end of August, a figure which represents a year on year increase of over 10%. This represents a prevailing atmosphere of optimism and confidence in the property market, which is helping to make the Outer Banks one of the most active and exciting markets in North Carolina.
Residential Property Statistics
• The number of single-family detached houses sold rose by 12% year on year from 996 to 1118.
• The average selling price for a single-family detached house rose by 4% from last year.
• The number of residential lots sold increased by 8% year on year, from 327 to 354.
• The average selling price for a residential lot fell by 3%.
• The number of condominiums sold increased by 16% year on year, from 121 to 140.
• The average selling price for a condominium fell by 1%.
• The total number of residential properties sold rose by 11% year on year, from 1176 to 1310
• The average selling price for residential properties rose by 4%.
Commercial Property Statistics
• The number of commercial properties sold fell by 20% year on year, from 20 to 16.
• The average selling price for a commercial property fell by 30%.
Short Sales, Bank Owned, and Total Statistics
• The number of residential short sales (a sale in which the amount received does not cover the credit secured against the property) fell by 17% year on year, from 23 to 19.
• The number of residential bank-owned properties, including properties which have been reclaimed, fell by 1% year on year, from 57 to 54.
• In all, distressed properties like these made up 2% of the market.
• The total number of properties sold in all classes – including all residential and commercial properties – rose by 10% year on year, from 1523 to 1680.
• The average price of all units sold rose by 1%.
• Based on the figures for August, the most in-demand properties on the Outer Banks are single-family detached houses and condominiums.
Analyzing the Numbers
With summer now behind us, estate agents and property developers will be looking forward to autumn with interest. August saw the sales of 156 units on the Outer Banks, and sellers will be looking to push that figure even further in September.
There is no reason why this shouldn’t be the case. The figures show that the market is in a state of acceleration, with most of the recent growth occurring within the last two years.
As well as sales volumes, property prices are rising also. The median home price has risen by 23% over the last five years, while the average home price on the Outer Banks is now 4% higher than it was in 2016. Despite this, the average property stays on the market for only 45 days before securing a sale.
This is something developers are hoping to capitalize on, but not as quickly as you might expect. Inventories are down across the board, with residential inventory suffering an 8% reduction, commercial inventory falling by 16% and lots/land inventory falling by 11%. However, some key areas of the Outer Banks are bucking this trend; Kill Devil Hills, for example, issued 43 new construction permits in August.
Let’s see what the future holds for this dynamic market.
*Data provided by Outer Banks Association of Realtors Multiple Listing Service (OBAR MLS). Data should be used for guide purposes only and is subject to change.