|February 2, 2017
Hatteras Island Real Estate:
2016 Real Estate Market Summary
By TOM HRANICKA
results have been finalized for the 2016 real estate market on Hatteras
Island. The following table provides detailed information comparing the
major market indicators at the end of 2016 with the same data at the
end of 2015.
Thanks to a last minute spurt of closings in December, the year ended
with fairly respectable results for residential properties. Home sales
were up 6.7 percent over 2015, and the total dollar value of sales
increased 4.8 percent.
The average sale price for residential properties last year was
$326,249 while the median sale price was $271,000. Average selling
prices have vacillated between approximately $325,000 and $350,000 over
the past eight years. The variations in median sale prices have been
greater than for average sale prices. During 2016, buyers showed a
clear preference for properties at the lower end of the price spectrum.
It was a seller’s market for homes priced below $300,000. Above that
price point, the supply of properties exceeded buyer demand in all
Taking a slightly longer view of the residential market on Hatteras
Island, the profile since 2014 shows positive trends indicative of a
market in the early stages of recovery. The inventory of properties for
sale is down, and sales are up. While the average selling price remains
flat, the median sale price has consistently risen over the past three
years, as has the total dollar value of home sales.
In contrast to the residential market, the undeveloped lot market on
the island had a very poor year in 2016. All major market indicators
reported double digit declines except selling prices which increased
between 15 and 20 percent depending on the statistical measure being
Delving deeper into the selling prices, higher priced waterfront
properties accounted for almost 42 percent of lot sales last year. The
average selling price of waterfront lots was $176,704, while the
average selling price of non-waterfront properties was $68,870. My
sense is that buyers were taking advantage of the relatively low prices
of the higher demand building sites.
Geographically, the southern end of the island between Buxton and
Hatteras Village accounted for 37 percent of all sales in 2016. The
Tri-Village Area represented 33 percent of purchases, and Avon recorded
30 percent of the transactions.
Finally, it appears that the wave of short sales and foreclosures that
plagued the market several years ago is for all practical purposes
over. At the present time, there are two lots and one home short sale
available for purchase. In addition, there are only two residential and
four bank-owned lots for sale.
When you think about all of the challenges that Hatteras Island has
faced over the last few years and the positive developments that are
taking place concerning the stabilization of access to the island via
Highway 12, I believe that it is reasonable to anticipate a
continuation of the improvement that we have seen in the real estate
Let us never forget the very special place that Hatteras Island
represents in an increasingly turbulent world, and the refuge that it
provides to residents and visitors through its simple pleasures of the
wind and the waves and the solitude of the beach and the sea.
Hranicka is a broker with Outer Beaches Realty. Questions, comments, or
suggestions for future articles may be sent to Hranicka at P.O. Box
280, Avon, NC 27915 or emailed to [email protected]. Copyright © 2017 Tom & Louise Hranicka. All rights reserved.)