This representation is based in whole or in part on data supplied by, and to the Subscribers of the Outer Banks Association of REALTORS® Multiple Listing Service. Information contained herein is deemed reliable but not guaranteed. Data maintained by the OBAR MLS is for its own use and may not reflect all real estate activity in the market. B ased on information from the Outer Banks Association of REALTORS® for the period (9/1/2021) through (8/31/2022).
Soundfronts.com – OBX Market Report (August 2022) Rick Kinne –Village Realty OBX
Rick SeniorKinneAssociate Broker 252 256 2670 (Primary) 252-449-2047 (Office)
• This report is provided to you by Rick Kinne (REALTOR) with Village Realty Holdings, LLC in Nags Head, North Carolina. My Outer Banks real estate market report is a monthly feature for my soundfronts OBX Facebook page and soundfronts.com website, intended to keep you informed of the local real estate market.
OBX Market Report – August 2022
“This representation is based in whole or in part on data supplied by, and to the Subscribers of the Outer Banks Association of REALTORS® Multiple Listing Service. Information contained herein is deemed reliable but not guaranteed. Data maintained by the OBAR MLS is for its own use and may not reflect all real estate activity in the market.”
Soundfronts.com
• Before we get started, I need to preface the report with some stipulations and provide some context: The Outer Banks Association of Realtor’s disclosure is printed on all of OBAR’s statistical reports and reads as follows:
• Clearly, sales take place through For Sale By Owner (FSBO’s), Real Estate Agents who are not Realtors and therefore don’t have MLS access, etc. However, I don’t believe that amount is significant.
• The Outer Banks market covered by OBAR is a bit unique. It’s a mixed market but it’s primarily a vacation/rental home market. Coverage stretches from lower Currituck County and the Dare County mainland, all along the beaches from Carova through Ocracoke.
Now for the August 2022 numbers…
This representation is based in whole or in part on data supplied by, and to the Subscribers of the Outer Banks Association of REALTORS® Multiple Listing Service. Information contained herein is deemed reliable but not guaranteed. Data maintained by the OBAR MLS is for its own use and may not reflect all real estate activity in the market. Based on information from the Outer Banks Association of REALTORS® for the period (9/1/2021) through (8/31/2022).
This representation is based in whole or in part on data supplied by, and to the Subscribers of the Outer Banks Association of REALTORS® Multiple Listing Service. Information contained herein is deemed reliable but not guaranteed. Data maintained by the OBAR MLS is for its own use and may not reflect all real estate activity in the market. Based on information from the Outer Banks Association of REALTORS® for the period (9/1/2021) through (8/31/2022).
Sales – All Classes Sales – Residential
Residential Days on Market
This representation is based in whole or in part on data supplied by, and to the Subscribers of the Outer Banks Association of REALTORS® Multiple Listing Service. Information contained herein is deemed reliable but not guaranteed. Data maintained by the OBAR MLS is for its own use and may not reflect all real estate activity in the market. Based on information from the Outer Banks Association of REALTORS® for the period (9/1/2021) through (8/31/2022).
Residential Inventory
The Absorption Rate for Homes as of September 1, 2022 is 4 Months (calculation assumes under contract listings are active)
Sales – Lots and Land
This representation is based in whole or in part on data supplied by, and to the Subscribers of the Outer Banks Association of REALTORS® Multiple Listing Service. Information contained herein is deemed reliable but not guaranteed. Data maintained by the OBAR MLS is for its own use and may not reflect all real estate activity in the market. Based on information from the Outer Banks Association of REALTORS® for the period (9/1/2021) through (8/31/2022).
and
Lots Land Inventory…
The Absorption Rate for Land as of September 1, 2022 is 7 Months (calculation assumes under contract listings are active)
This representation is based in whole or in part on data supplied by, and to the Subscribers of the Outer Banks Association of REALTORS® Multiple Listing Service. Information contained herein is deemed reliable but not guaranteed. Data maintained by the OBAR MLS is for its own use and may not reflect all real estate activity in the market. Based on information from the Outer Banks Association of REALTORS® for the period (9/1/2021) through (8/31/2022).
Lots and Land Days on Market
Total Inventory…
This representation is based in whole or in part on data supplied by, and to the Subscribers of the Outer Banks Association of REALTORS® Multiple Listing Service. Information contained herein is deemed reliable but not guaranteed. Data maintained by the OBAR MLS is for its own use and may not reflect all real estate activity in the market. Based on information from the Outer Banks Association of REALTORS® for the period (9/1/2021) through (8/31/2022).
Under Contract – All Classes Dare County Foreclosures …
This representation is based in whole or in part on data supplied by, and to the Subscribers of the Outer Banks Association of REALTORS® Multiple Listing Service. Information contained herein is deemed reliable but not guaranteed. Data maintained by the OBAR MLS is for its own use and may not reflect all real estate activity in the market. Based on information from the Outer Banks Association of REALTORS® for the period (9/1/2021) through (8/31/2022).
Building Permits (Dare County)
New (Dare County)
Construction
This representation is based in whole or in part on data supplied by, and to the Subscribers of the Outer Banks Association of REALTORS® Multiple Listing Service. Information contained herein is deemed reliable but not guaranteed. Data maintained by the OBAR MLS is for its own use and may not reflect all real estate activity in the market. Based on information from the Outer Banks Association of REALTORS® for the period (9/1/2021) through (8/31/2022).
Building Permits (Currituck County)
Building Permits (Currituck County)
This representation is based in whole or in part on data supplied by, and to the Subscribers of the Outer Banks Association of REALTORS® Multiple Listing Service. Information contained herein is deemed reliable but not guaranteed. Data maintained by the OBAR MLS is for its own use and may not reflect all real estate activity in the market. Based on information from the Outer Banks Association of REALTORS® for the period (9/1/2021) through (8/31/2022).
Sales by Town…
This representation is based in whole or in part on data supplied by, and to the Subscribers of the Outer Banks Association of REALTORS® Multiple Listing Service. Information contained herein is deemed reliable but not guaranteed. Data maintained by the OBAR MLS is for its own use and may not reflect all real estate activity in the market. Based on information from the Outer Banks Association of REALTORS® for the period (9/1/2021) through (8/31/2022).
Sales by Town…
This representation is based in whole or in part on data supplied by, and to the Subscribers of the Outer Banks Association of REALTORS® Multiple Listing Service. Information contained herein is deemed reliable but not guaranteed. Data maintained by the OBAR MLS is for its own use and may not reflect all real estate activity in the market. Based on information from the Outer Banks Association of REALTORS® for the period (9/1/2021) through (8/31/2022).
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Sales by Town
Sales by Town
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This representation is based in whole or in part on data supplied by, and to the Subscribers of the Outer Banks Association of REALTORS® Multiple Listing Service. Information contained herein is deemed reliable but not guaranteed. Data maintained by the OBAR MLS is for its own use and may not reflect all real estate activity in the market. Based on information from the Outer Banks Association of REALTORS® for the period (9/1/2021) through (8/31/2022).
Sales by Town…
This representation is based in whole or in part on data supplied by, and to the Subscribers of the Outer Banks Association of REALTORS® Multiple Listing Service. Information contained herein is deemed reliable but not guaranteed. Data maintained by the OBAR MLS is for its own use and may not reflect all real estate activity in the market. Based on information from the Outer Banks Association of REALTORS® for the period (9/1/2021) through (8/31/2022).
This representation is based in whole or in part on data supplied by, and to the Subscribers of the Outer Banks Association of REALTORS® Multiple Listing Service. Information contained herein is deemed reliable but not guaranteed. Data maintained by the OBAR MLS is for its own use and may not reflect all real estate activity in the market. Based on information from the Outer Banks Association of REALTORS® for the period (9/1/2021) through (8/31/2022).
Sales by Town…
• Appraisers, Inspectors, Surveyors, and Attorneys remain busy
This representation is based in whole or in part on data supplied by, and to the Subscribers of the Outer Banks Association of REALTORS® Multiple Listing Service. Information contained herein is deemed reliable but not guaranteed. Data maintained by the OBAR MLS is for its own use and may not reflect all real estate activity in the market. Based on information from the Outer Banks Association of REALTORS® for the period (9/1/2021) through (8/31/2022).
• Under Contract listings were at 483 as of September 1, 2022 and are down 35% over last year.
Ø Residential inventory is up by 9% over last year and is at only 546 units with the Median home price up by 2% or $510,000 (See individual pages by town).
So, what does it mean for you?
Ø Lots/Land inventory is down 17% over last year and is at 470 units
• Seller’s It remains a great time to sell! Nice homes that are priced correctly are going under contract quickly. Multiple offers are not as prevalant as they were a couple of months ago and not as many are selling over asking price. DOM remains very low but is creeping up. I believe we are in transition from a fast/furious seller’s market to a moderate seller’s market. Inventory is starting to slowly rise but this is historically our busiest listing season. We will continue to keep a close eye on inventory!
• Residential Sales are down 24% and Land Sales are down 22% over August 2021! However, both were up over July numbers.
• OBX real estate remains in high demand but the lack of inventory and interest rates are continuing to impact sales
• Absorption is a direct reflection of inventory for both homes and land. Home absorption was at 5 months and Land was at 7 months as of September 1, 2022 . Representative of a strong Seller’s Market!
• 2022 vacation rentals appeared to have another banner year
• Many vacation rental homes are still booked. So, showings are limited to turnover days in most cases (Saturdays or Sundays).
Wrap-up…
• Home inventory is extremely low but there are also considerations for buying land and building new. The price of lumber and other building supplies, supply chain issues, and many builders are booked for the next 18 24 months.
• The average Days on Market (DOM) is down significantly over this time last year and is at 34 days for homes and 155 days for land
• MLS Inventory is down by 5% but residential inventory has been slowly creeping up and is now up 9% over last year (but still low). Home prices remain high!
• As of now, we are seeing some inventory coming on the market but it could just be the season. We will remain positve and continue to track.
• Some Buyers are still purchasing “sight unseen“ or based on a virtual tour, and then doing an “in person“ showing during due diligence. Homes are moving too fast in many cases to wait for weekend showings. Due Diligence Fees (money at risk) is required to make an offer attractive. How much can you risk? Offers need to be carefully structured. It can still be done. After all, 197 people did it in August and we are still at 483 under contract!
• It is always a good time to plan and strategize if you are interested in buying or selling. Call me today to get started!
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Wrap-up…
• Higher interest rates in general (especially on 2nd homes and high balance loans), along with the impact of inflation appears to be detering some sales.
• Remember that most homes remain uner contract for 45 to 60 days before closing. So, data is always behind. it‘s like turning a large ship.
Buyer’s It remains challenging to find the “right” home due to low inventory but that appears to be slowly getting better as inventory rises. Nice homes are still moving very quickly despite higher prices and some are still getting over asking price. We are not seeing the bargains that were once commonplace. So, be prepared get pre approved, be ready to make a move quickly, and to potentially address multiple offers! Interest rates have come down slightly as the Fed attempts to curb inflation . Fannie and Freddie have raised rates on all 2nd home purchases and high balance loans effective in April 2022.
So, what does it mean to you?
• Please feel free to call, e mail or text me at any time with questions or assistance... This representation is based in whole or in part on data supplied by, and to the Subscribers of the Outer Banks Association of REALTORS® Multiple Listing Service. Information contained herein is deemed reliable but not guaranteed. Data maintained by the OBAR MLS is for its own use and may not reflect all real estate activity in the market. Based on information from the Outer Banks Association of REALTORS® for the period (9/1/2021) through (8/31/2022).