What It Means for Buyers and Sellers
As the summer season blazes on, the Outer Banks real estate market has shown signs of significant change, offering both opportunities and challenges for buyers and sellers. The July 2024 MLS Statistical Report, presented by the Outer Banks Association of REALTORS®, provides a comprehensive snapshot of the current market dynamics. Here’s what the latest numbers mean for you.
Inventory Growth: A Buyer’s Advantage
One of the most notable trends this July is the sharp increase in inventory across the Outer Banks. Compared to July 2023, overall inventory has surged by 37%, with residential inventory seeing an impressive 52% jump. Even lot and land inventory has climbed by 21%. For buyers who have been frustrated by limited options, this increase is a welcome development, providing a wider range of properties to choose from.
Sales Trends: A Mixed Bag
While the boost in inventory is good news for buyers, the sales trends tell a more nuanced story. Year-to-date residential sales have dipped by 6%, reflecting cautious buyer behavior possibly influenced by high mortgage rates. However, there’s a silver lining: July 2024 saw a 21% increase in residential sales compared to the same month last year. Single-family detached homes were particularly strong, with a 32% rise in sales. Unfortunately, the same cannot be said for condos, which suffered an 11% decline in sales for the year and an 18% drop in July alone.
Challenges on the Horizon
Despite the positive developments in inventory and single-family home sales, challenges persist. The number of listings under contract is down 18% for the year, and 17% compared to July 2023, indicating that many buyers remain hesitant. This caution is likely due to the ongoing high mortgage rates, which continue to pose a significant barrier for many potential buyers.
Looking Forward: Optimism Amid Uncertainty
As we move past the peak of summer, there’s cautious optimism in the air. If mortgage rates begin to ease, we could see a further boost in sales, especially with the increased inventory levels. For sellers, this means the potential for more activity in the market, but also more competition as buyers have more options to choose from.
What Does This Mean for You?
For buyers, now could be an opportune time to explore the market, with a broader selection of homes available than we’ve seen in recent years. Sellers, on the other hand, should be prepared for a competitive market, where pricing and presentation will be key to standing out. Whether you’re buying, selling, or simply keeping an eye on the market, the expert team at Trisha Midgett and Team is here to guide you through these changing times in the Outer Banks real estate market.
Stay tuned for more updates as we continue to monitor the trends that impact your real estate decisions. If you have any questions or need personalized advice, don’t hesitate to reach out to our team.