As we enter the start of the 2019 vacation season, I thought it would be interesting to take a look at the trends that we are seeing in the Hatteras Island real estate market.
- Last year was a flat year for the residential real estate market on Hatteras Island. Sales were down slightly, and there was no change in the median sale price from 2017. The good news is that the market recorded positive results for the first two months of 2019.
- No one is quite sure why the market did not continue to improve during 2018 as it had for the previous three years.
- Buyers continue to show a preference for residential properties priced below $300,000. In all price ranges above $200,000 – $299,999, the supply of properties exceeds buyer demand.
- The median sale price for residential properties in 2018 was $305,000, and the median sale price for undeveloped lots was $85,000.
- A total of 313 properties were sold on the island during 2018. 255 of these were residential properties; 56 were undeveloped lots; and, 2 were commercial sales.
- Waterfront properties represented 34.2 percent of total sales. Oceanside properties accounted for 55.3 percent of sales, and soundside sales were 44.7 percent.
- In terms of the geographic distribution of sales, the Tri-Village area recorded 26.5 percent of the total. Avon represented 25.2 percent, and Buxton, Frisco, and Hatteras Village completed the picture with 48.2 percent.
- We are often asked if there is a “best” time of year to sell a property. Basically, Hatteras Island has a year-round market. During 2018, 20.1 percent of sales took place in the first quarter; 27.8 percent in the second quarter; 28.4 percent in the third quarter; and 23.6 percent in the fourth quarter. Keep in mind, there is about a 45-day lag between the time a contract for the sale of a property is established and the closing date of the transaction.
- Interest rates have remained relative stable over the past year. At this time in 2018, the interest rate for a 30-year fixed rate conforming mortgage was 4.5 percent. Today, that rate is 4.25 percent. Conforming loan rates apply to mortgages up to $484,350.
With the mild winter that we had and the opening of the new bridge over Oregon Inlet, I am optimistic that 2019 will be strong year for the Hatteras Island real estate market.
I hope that you have found this article to be informative. It is a great time to buy on Hatteras Island.
Questions and comments may be sent to Tom Hranicka at P.O. Box 280, Avon, NC 27915 or by e-mail to [email protected]
Copyright © 2019 Tom & Louise Hranicka. All rights reserved.