Here is the breakdown on the last 7 years of Outer Banks real estate stats

             New Listings     #Sold   Avg. Sale Price Day On Market  % Of Sold Price Vs List Price

2000     3778                 2721     $176,374           216                   98.33

2001     3691                 2932     $192,140           217                   97.01

2002     4372                 3576     $254,435           169                   97.58

2003     4510                 3098     $337,086           152                   97.37

2004     5212                 3711     $402,928           150                   97.04

2005     5914                 3159     $463,657           150                   96.51

2006     7154                 1679     $445,785           179                   94.88

2007     6729                 1508     $427,199           190                   93.25

2008     1751                 336       $405,024           201                   92.33    As of 4/15/08 177 listing are U/C with 4336 active listings

 As you can see prices are back to where they were in 2004!!! It is just incredible to think you can get a home for close to or less than what someone paid for it 4yrs ago.

 The Outer Banks market as you can see from 2000 to 2005 experienced an incredible amount of appreciation in real estate that has never occurred before. Along with that came an explosion of new construction that continued on until late 2006. As buyer demand has been cut in half since 2006 the number of new listings has doubled which has led to the current buying opportunities that exist today. Those opportunities have been made even more attractive by those sellers that purchased properties from 2004 on that had no business buying for various reasons. The listings that represent the best buying opportunities are those in the $1M+, as those values have decreased the most due to increased seller competition and low buyer demand.  However there are tremendous buying opportunities across the price spectrum. Since almost all of these properties are used as weekly vacation rentals the gross rents on these properties continues to be strong. Tourist numbers the last 3 yrs has increased 10% to approximately 6 million people who vacation along the Outer Banks from Corolla to Hatteras & Ocracoke each year. Giving the proximity of the Outer Banks, a day's drive from over 75% of the entire population on the east coast, the Outer Banks will continue as one of the east coasts top vacation destinations. This is what makes the Outer Banks real estate market such an attractive investment. Investing in a beach house on the Outer Banks gives a buyer the opportunity to buy in a down market with great upside potential, earn yearly rental income to offset expenses, offer tax incentives, and is always here for personal use.   

Who knows when we reach bottom but most of the consensus is that we are at it or close to it on the Outer Banks. The reason for that thought is that buyer activity has picked up considerably since the beginning of April with some of the best deals going under contract. With so much property on the market the "great deals" are still out there to be had!!!

To learn more about the real estate opportunities on the Outer Banks email me at mhuband@htrsi.com or call 252-480-9283.

All information deemed reliable but not guaranteed. Outer Banks real estate stats compiled from the Outer Banks Association Of Realtors MLS Books 2000 to 2008.