The Outer Banks Association of Realtors released the August 2017 MLS Statistical Report – you can get the full report here.
Real estate sales for August 2017 in the Outer Banks dipped to 156 units, after July’s sales of 178 units. Under contract fell by 1% to 419 units compared to July’s 422 units. The average home price increased by 4% compared to 2016. Over the last 5 years the median home price has increase by 23% with most of the increase over the past two years. Some highlights from this month’s report follows.
Residential inventory decreased by 8% compared to last year, following last month’s 10% drop. Active inventory is 1513 units. The quantity sold increased by 11% following last month’s 13% increase; with volume sold up by 16% following last month’s 18% increase; compared to year to date sales last year.
Lots and land quantity sold increased by 8%. The average sale price for lots fell by 21% and while the median price increased by 3%. Inventory is down by 11% compared to last year.
Commercial unit sales are down by 20% following last month’s decrease of 21%. Only 16 commercial units were sold compared to 20 last year. The average and median sale prices have little relevance with such a small sample and appear skewed from a large sale last year. Commercial inventory is down 16% compared to last year with only 63 units active on the market.
There were 19 residential short sale units sold, only 1 more than the 18 units sold last month. However, this is down 17% from last year when there were 23 short sales. The average sale price decreased by 11%. The median sale price increased by 7%.
Sales for bank owned properties increased from 54 units to 57 units compared to last year. Bank Owned unit sales increased by 6%. The average sale price for Bank Owned property fell by 15% compared to last year; while the median decreased by 3%.
Overall, the quantity of distressed property sold fell by 1% compared to the same period in 2016. The average price decreased by 12% and the median increased by 3%. Total volume sold is down by 17% compared to last year.
The effect distressed real estate will have on the overall Outer Banks market will continue to diminish as foreclosure and short sale inventory is depleted and the market returns to pre-recessionary levels of distressed real estate. Overall distressed sales account for only 2% of total residential sales.
Single family unit sales increased by 12% a bit lower than the 14% increase reported last month, with 1,118 units compared to last year 996 units. The volume sold increased 16% with the average sale increase by 4% and the median sale price increased by 1%.
Condos unit sales increased by 16%, following last month’s increase of 18%; compared to last year. August condo unit sales were 140 compared to 120 a year ago. The volume sold increase by 14% following last month’s 15% increase. Median sale prices for condos increased by 8% compared to last year. Average sale prices fell by 1%, compared to last year. Unlike many other markets, the Outer Banks did not see an oversupply of condo construction during the boom years and current demand for condos has been strong in 2017.
Residential land unit sales increased by 5% YOY; a sharp decrease from the 19% increase reported in July. The average sale price fell by 12% while the median increased by 1% compared to last year.
Overall Days on the Market for the all residential properties is down by 23% compared to last year at 151 versus 197. More interesting is for the 643 properties listed and sold since Jan 2017, the average DOM is only 45 days. Outer Banks properties are selling much faster; especially new inventory.
New Construction building permits are down by 23% 170 compared to 220 last years. This follows July’s decrease of 15%. Building permit value decreased by 14%.
Outer Banks Town Statistics
The August 2017 median sale prices for the towns in the Outer Banks and the percent change compared to 2016 appear below:
Corolla experienced the largest percentage gain of 12% compared to 2016. The next highest YTD increase was Hatteras Island at 7%; this is unchanged from June and July.
The Outer Banks real estate market is on track for a solid sales year. OBXMLS reports 419 units are listed as under contract at the end of August. September is a great time to visit the Outer Banks and view real estate as the crowds have reduced and the weather is the best!
If you have been thinking about an Outer Banks vacation home purchase, second home purchase or permanent home, now is the time to act. Purchasing power will decrease once the anticipated mortgage rates increase. Smart buyers and investors will lock in rates now before the increase.
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If you have considered selling your Outer Banks home, now may be the best time. The lower inventory levels will allow your property to be seen with less competition. The strong demand will sell your home with fewer days on the market. Our 1.5% listing commission will save you thousands of dollars!
The rental market continues to be strong to provide income from the investment and enjoyment for the family for years to come.
The Outer Banks continues to be named a top beach destination every year. Beach nourishment has recently been completed for a large portion of Dare County beaches and will ensure strong future appreciation for real estate.
Schedule an appointment today to find your vacation rental property, second home or investment property.