The housing market is hot right now, but what are the hottest areas? Are there places where home price appreciation is still lagging? Front of sound or front of sea? What does the market look like so far in 2022? With all the changes in the national real estate market this year (including skyrocketing interest rates and FHFA lending changes), you might be surprised that it still looks a lot like 2021.
Based on Outer Banks Association of REALTORS® MLS information for the period 01/01/2019 through 04/21/2022.
What are the hottest neighborhoods?
Looking at the percentage gain in median house prices (2019 to 2021) by village, here is the ranking:
- Waves – up 68.46%
- Avon – up 59.65%
- Frisco and Hatteras – both up 43.3%
- Rodanthe – up 39%
- Salvo – up 33.7%
- Buxton – up 28.25%
Where is the price appreciation a little lagging?
Ready for an amazing stat? Overall home prices have increased 53.82% across Hatteras Island from 2019 to 2021. You might think oceanfront and beachfront properties would lead the charge, but beachfront properties Beachfront properties increased by 31.87%, while beachfront properties only increased by 25.27%. With the growth of water sports like windsurfing, kitesurfing and paddleboarding, it’s surprising to see that beachfront properties are appreciating at less than half of all properties on Hatteras Island over the past this period. There may be potential in the sound!
How is the market today?
So far in 2022, the median sale price for all of Hatteras Island is $585,500. The median sale price in 2021 was $523,000, so home prices have already increased by 11.9%. It will be difficult for house prices to continue the surge we have seen over the past three years, but they continue to rise despite today’s higher interest rates. There have been a total of 268 sales across Hatteras Island for the whole year in 2019. There have already been 144 sales so far as of April 21, 2022. This is slightly less than the total of 2021 over the same period, but it’s still a very strong sales volume. We are still in a seller’s market – there are currently only 74 active single family home listings on Hatteras Island.
About the Author: Stephen Smith is an Outer Banks Realtor with Coldwell Banker Seaside Realty. He was recognized in 2021 as one of the top 10% Coldwell Banker agents in the world. He has lived on the Outer Banks for nearly 20 years and met his lovely wife on Hatteras Island. They currently reside in Nags Head with their daughter, but Hatteras Island is still home in many ways. For any questions on the Hatteras real estate market or larger OBX, you can contact Stephen directly at firstname.lastname@example.org or 252-216-9230. His website is https://www.stephensmithobx.com or you can receive his weekly newsletter by subscribing to https://mailchi.mp/43cd4a4bf1a6/obxnewsletter.