Market Update September 15th, 2023
John Head, VP of Sales & Marketing, REALTOR®/Broker
John Head at Colony Realty with a market update for the Outer Banks of North Carolina.
We will be including this report, the Outer Banks MLS statistical reports for August. But I wanted to kind of break down some numbers for you that you will see on the first page. So just a quick overview of the statistical reports.
Nationwide, everything active listings are down almost 8%. We’re down 14%. Under contracts nationwide, we’re down 9.2%. We’re down 24%. Days on the market nationwide, 46. It’s five days less than the last report. And as of August 31st, we’re showing about 51 days.
I’m going show you something here real quick that it’s a little off because I want to include just specific to the beach property, not the Inner Banks, and or in mainland Currituck, or even mainland Dare. And then new homes listed are down. Now you’ve heard me talk about median price points before. I don’t think that’s really relevant. The market’s down because of a lack of inventory and rising interest rates at different price points.
You’ll see here from out of the 305 active listings currently, that as of today, the 15th, the average there, you’re looking at a million three, and the median price is 880. So again, just a little quick catch-up, median prices only mean we’ve had some lower price point houses sell then compared to the higher price houses. The average price still is very high here across the board. But here’s the breakdown by village and town, across the board, all the way up to Corolla. I don’t go normally off the pavement. So, and that’s from Hatteras Village to Corolla. Depending on where your home is located, and where you’re considering making an investment, these are the numbers that you can look at.
You’ll see as of the moment, the average days on the market as of today is 77.
Now, there is also, for those of you who are thinking about maybe buying and building in the future, get over here to the land, see there’s 118 land actives in that same criteria, Corolla to Hatteras Village, and not, and staying on the pavement, including Manteo. So just to kind of give you that ballpark of where those are, I’m gonna run a quick report for you. As far as current market activity, you will see out of that 118, the average price is 393. Look at the days on the market, 249. The lot value. Interest rates right now are about eight and a half, so that’s slowing things down.
Second home prices are below eight as far as interest rates are concerned, and then it just kind of gives you an idea of where you would be if you’re considering making a purchase here. Now, you’ll hear me say this again, if you listened to all the speculators and or the crystal ball people from 2022, we were gonna see a drastic price reduction across the board nationwide and specifically in the second home market. That has not happened. We did see some negative numbers in late 2022, and early 2023, but we’re returning to some appreciable numbers and that’s, right now, between three and 5%.
We expect if nothing drastically happens across the nation, as far as economics go, that will remain historically correct in those numbers, five to 10% is my projection of appreciation.
And if those interest rates kick back down to five and a half, I think we’re gonna see a little bit of a frenzy again. So nothing like the unicorn years we saw in late 2020, 2021, and the first two quarters of 2022. But that is where we’re at. So I’m gonna include this in a link below and kind of review each of the numbers with you guys.
If you have specific questions about a town or a village that you’re considering, buying, or selling, reach out to us here at Colony Realty and you can reach me directly if you like. 252-592-4629 is my cell. My email is email@example.com. Obviously, if this is coming to you with one of our team agents, then just reach out to them directly, and that would be Sylvia, Vicki, Bonnie, Karen, Scott, or Kristian.
So just keep those folks on your radar and ask them the questions if you’re considering making a purchase here on the Outer Banks. Until we see you here, have a great fall endeavor. Take care.
Thank you and have a great day, until we see you here at the beach!