Coastal Carolina Real Estate Newsletter September 2023

A Closer Look at The Village at Nags Head

In 1986, a Raleigh developer purchased an expansive tract of land located in Nags Head that many remember as the Epstein Tract. The vision was to create an oceanto-sound community with modern day luxuries while maintaining the classic coastal charm Nags Head is known for. The vision became the reality known as The Village at Nags Head.

This beach community boasts a 400-acre golf course with unmatched views of the Roanoke Sound and perfectly manicured greens. If you are a golf enthusiast, play a round at Nags Head Golf Links when considering the purchase of your dream home in a beach community. It just might sway your decision.

Not a golfer? Why not purchase a membership to the Village Beach Club? As a property owner this will afford you, as well as your guests, access to a premier oceanfront beach and tennis club that features all of the amenities and recreational activities your heart desires.

You can find everything from an Olympic-size pool featuring lap lanes to a children’s-only wading pool, a snack bar and café serving lunch with a full-service bar, a game room, and much more. A daily schedule of kid’s activities led by an activities director is available. Are you getting closer to making

vate Village oceanfront bathhouse and beach access? Just call for a ride! The shuttle, as well as the oceanfront bathhouse, are exclusively available to property owners and their guests. You’ll find showers, bathrooms, sun decks, and a large gazebo at the bathhouse. Still on the fence about purchasing in the Village?

There are two soundside parks! Enjoy the convenience of your favorite water sports from the soundside parks located within the resort. Both have beautiful piers with gazebos that extend out into the Roanoke Sound. Enjoy a picnic or watch the sunset while you’re there.

your decision to purchase your dream home in The Village at Nags Head? Well, there’s more.

Did you know there’s a Village Shuttle Bus that will take you to any location/business within the Village, such as Food Lion or the pri-

Ready to make The Village at Nags Head your dream home destination? Call one of our sales professionals today at 252.489.2121 or email us at Sales@ obxcarolina.com. Be sure to ask for The Village at Nags Head | Things That Matter for an overview of membership fees and homeowner’s dues.

NAGS HEAD GOLF LINKS, THE MASTERS NEIGHBORHOOD ON ROANOKE SOUND

THE VILLAGE BEACH CLUB, THE BEACH HAVEN NEIGHBORHOOD ON THE ATLANTIC OCEAN

Homeowners Insurance on the Outer Banks

A trending topic in real estate these days on the Outer Banks is homeowners’ insurance—its affordability and decreasing option of providers.

Outer Banks homeowners typically have 2 or 3 separate policies: (1) the basic HO3 policy for primary residents or Dwelling policy for secondhome owners, (2) Wind & Hail policy and (3) possibly a Flood policy. The HO3 or Dwelling policy covers property damage due to fire or theft. The HO3 policy also provides some level of coverage against liability from accidents that injure other people or damage their property as well as a level of coverage for medical expenses for persons accidentally injured on your property. Dwelling policies are similar to the HO3 policy but are used for second homes, vacation homes or some other non-primary residence. Dwelling policies typically DO NOT provide liability coverage. The third type of policy a homeowner may have is a Flood policy. This policy is offered through the federal government (FEMA) and may or may not be required by a lender depending on the flood zone rating of the property.

In North Carolina, the insurance company lobby has petitioned the NC Insurance Commission for rate increases a record 36 quarters in a row! Their reasoning for the requested rate increases is a result of their increased substantial losses due to wildfires, thunderstorms/tornadoes and hurricanes throughout the US. As more homes continue to be built in areas where these phenomena occur, the insurance companies assume more risk of loss that esca-

late into the billions of dollars each year. The re-insurance they purchase to cover their large losses continues to increase annually. Thus, they want to pass those added costs onto their policy holders. Aside from the increased premiums, more insurance companies are opting to retreat from riskier markets that experience these continued natural disasters. In

are considering the age of the HVAC system, water heater and inquiring about updates in the electrical system of the property depending on the age of the property.

All of these factors point to the importance of homeowners doing their due diligence by shopping around for the best rate for the policy that best suits their needs, whether it’s an existing homeowner that already has coverage or a potential buyer that has just secured a contract on a listed property. Open communication with your insurance agent is a must.

Here are a few questions to ask your insurance agent:

1. Do I have enough insurance to rebuild my home (replacement costs)?

North Carolina, the “Beach Plan” was established in 1969 by the state to act as a “pool” for insurance companies to provide a Wind/Hail policy to homeowners whose policies excluded coverage for wind and storms. Initially, it was an option of last resort. Today, it is the primary policy option for wind coverage.

Insurance companies are also trying to minimize their risk by being more selective in the properties they choose to insure. Nationwide recently announced it will no longer offer homeowner coverage on properties located east of I-95 in NC. Some companies are opting not to provide coverage if the roof on the property is more than 10 years old or has polybutylene piping (common in many houses built in the 1990s). They also

2. Should I carry flood insurance even if it’s not required?

3. Do I have enough coverage to replace my personal belongings?

4. Am I eligible for any discounts?

5. Does my policy cover damage from drain or sewer back-ups?

6. What is excluded in my policy?

7. Are there any improvements I can make to lower my premium?

A special thanks to Chip Phillips at Island Insurance Agency for contributing some of the information in this article.

Island Insurance Agency, Inc. Chip Phillips (252) 473-5600 www.islandinsuranceinc.com

NAGS HEAD BEACH SLAMMED BY HURRICANE FLORENCE SEPTEMBER 14, 2018

RESIDENTIAL UNIT SALES BY TOWN

AVERAGE SALES PRICE BY TOWN

MARKET SALES

MARKET NOTES

• Inventory remains extremely low. Residential listings are down 19% from a year ago at 463 for the entire Outer Banks. The pre-COVID range for active residential listings was 1200–1500.

• Listings under contract are back within the historical “normal range” between 300–400.

• On average, listings are selling at 97.5% of list price.

• Though Units Sold are down slightly from the pre-COVID year of 2019, property values remain about 60% higher than the 2019 values.

• The Average Days on Market has remained steady at 53 days, slightly higher than this time last year but still historically low–mostly due to the low inventory. Interest/buyer demand for Outer Banks property remains relatively strong, just not at the record levels seen in 2021 and 2022.

• Property sales over $1M: 2023: 168 units; 2022; 283 units; 2019: 48 units.

Search ALL Outer Banks Real Estate listings here: coastalcarolinaobx.com/real-estate

DATA OBTAINED FROM OUTER BANKS ASSOCIATION OF REALTORS FOR PERIOD 01/01/2019 THROUGH 7/31/2023.

TEAM TIPS

FOR BUYERS:

1. Get pre-qualified from a local OBX lender.

2. Be ready to move quickly on your chosen listing.

3. Be prepared to offer some amount of Due Diligence Fee to the seller with your Offer to Purchase.

4. For cash offers, make sure you have a Proof of Funds verification letter.

5. Shopping for homeowners insurance should be a top priority upon putting a listing under contract. FOR SELLERS:

1. Make sure your agent uses a professional photographer for listing photos.

2. Address any known repair issues.

3. Know your closing costs: a) Realtor Commission; b) Dare County Transfer Tax @1%; c) NC State Stamp @ .2%; d) Closing Attorney ~$500; and e) Prorated property taxes & HOA dues

Interested in receiving an accurate assessment of your home’s current market value? Call our experienced sales team at 252.489.2121.