December OBX Market Update
Cameron Griggs
Happy New Year!
2022 can be defined as the best year for home values! Although the total units sold for the year decreased by 24% and sales volume by just 5% both the Average Sales Price ($775,500) and the Median Sales Price ($599,000) were the highest on record and increased 24% and 25% respectively year over year! Our Average Days on Market of 34 beats even last year’s record low of 62. It was a very good year for real estate on the Outer Banks! I am happy to report Coldwell Banker Seaside Realty once again led the market in both sales volume and units (9 years in a row for units)!
A few December MLS Fun Facts:
The Average Sales Price decreased just 1% compared to December 2021 and it was the
first month since June of 2020 we saw a decrease year over year. However, the
Average Sales Price back then was just $408,941!On average, property sold for 93% of the original asking price
28% were cash transactions
7 homes sold for over $2 Million including two oceanfront homes in Corolla selling for $4.8 and $5.6 million!
2022 Year to Date Highlights (residential):
- 96 homes sold for $2 Million and higher compared to 111 in 2021 and just 20 in 2020
making it the second highest year for luxury homes!
The Average Sales Price of $179,411 for residential land sales represents a 16% increase
year over year8 lots sold for over $1 Million including an oceanfront lot in Corolla which was listed for
$1,950,000 and sold for $2,000,000 in just 5 days, making it the largest land sale of the
year!
The Top 5 Areas with the highest increase in Average Sales Price (residential, 20+ sales):
1. Duck Oceanside ($1,112,834): increase of 62%
2. Colington ($530,725): 36%
3. Avon Oceanside ($832,983): 34%
4. Colington Harbour: ($494,428): 33%
5. Southern Shores Oceanside ($1,442,478) and Nags Head between the Hwys ($969,686) tied with an increase of 32%
What will 2023 bring for the national housing market?
Lawrence Yun, chief economist of the National Association of Realtors (NAR), is predicting home sales will decline by just 6.8% compared to 2022 (5.13 million) and the median home price will reach $385,800 – an increase of just 0.3% from this year ($384,500).
6. Yun expects rent prices to rise 5% in 2023, following a 7% increase in 2022. He predicts foreclosure rates will remain at historically low levels in 2023, comprising less than 1% of all mortgages.
7. After eclipsing 7% in late 2022, he expects the 30-year fixed mortgage rate to settle at 5.7% as the Fed slows the pace of rate hikes to control inflation. Yun noted this is lower than the pre-pandemic historical rate of 8%. Click to read the full article
As always, I am available to help with all your real estate needs!
- Cameron Griggs