With access to Dare and Currituck County beaches closed off to most people without local driver’s licenses, we are sure to see some virus effects to Outer Banks Real estate. Some changes to the busy Outer Banks real estate market are already happening. Probably the most affected type of property is homes for sale since people can not get here. Here are some initial thoughts about how local real estate is being affected.
It makes sense to compare residential real estate activity between March of 2019 and March of 2020. Yesterday afternoon we pulled the residential real estate activity statistics from the Outer Banks Association of Realtor’s Multiple Listing System for both months. Instead of getting the data for all areas we decided to limit it just the Northern Beach towns in Dare County. That’s a manageable size to provide a good picture of what’s happening.
The statistic I was most curious about is how many residences went back on the market. That’s typically when a house was under contract and the buyer decided to void the contract. The standard North Carolina Offer to Purchase allows the buyer to void the contract during their due diligence period.
In a normal market the most common reason for voiding a contract is an unsatisfactory inspection. In March of 2019 there were twenty-five residences that came back on the market. This March there were thirty-six. That’s an increase of 44%. That sounds like a huge number but when you consider that there are still around 135 residences currently under contract in this same area it changes my perspective. More than three times as many buyers have decided to wait it out instead of voiding their contracts.
If you are a seller and are looking for some good news then you can look to the number of price changes. It’s very rare to see a seller raise a price so almost every price change is a reduction in the asking price. March of 2020 saw less than half of the price changes that occurred in March of 2019. That means that sellers have been much more likely to hold their ground this year.
Change has always been a constant in the Outer Banks real estate market. What tomorrow brings is anyone’s guess. As virus effects to Outer Banks real estate continue, you can count on Scott Team Realty will be watching it and analyzing it. You can see updates on our Market Info page in the future. If you need information on a specific market or just need someone who is here to help you with something then please don’t hesitate to call on us. We’re here. We’re working and are happy to serve you. Stay healthy!