Tag Archives: home

First “Green” Home on the Outer Banks

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First Outer Banks LEED-certified Dwelling

First Outer Banks LEED-certified Dwelling

The essence of the Outer Banks is contained in its pristine, natural setting, and the goal of every OBX enthusiast is to keep the Outer Banks that way. Unfortunately, development does not always coincide with this goal. But there are an increasing about of building efforts that are making great strides toward working with nature rather than against it.

The Outer Banks is a relatively small community, and we can be behind the times a bit, but a recent OBX building project made a huge leap towards the forefront of “green” building efforts on the Outer Banks. The first “green” home on the Outer Banks… literally and figuratively.

The Virginia Pilot recently reported that this three-bedroom, two and a half-bath home in Southern Shores is setting the stage for earth-friendly building on the Outer Banks as the first and only LEED-certified dwelling.

Some of the “green” highlights include:

  • Strategic surface-water management and rain-water harvesting systems passively direct water away from the dwelling to various purposeful reservoirs. Including, a French drain, rain garden, landscaped berm and 1,500-gallon holding tank to collect water for irrigation.
  • Landscaping includes drought-tolerant native plants and a small grove of American hollies.
  • The home is heated and cooled geothermally, and lit easily by the sun through generous-sized low-E4 windows, which mitigate summer heat infiltration.
  • High-efficiency appliances, lighting and plumbing fixtures.
  • Well-sealed and double-insulated framing between 6-inch-thick walls.
  • A whole-house water filter and radiant-barrier roof sheathing.
  • Low-volatile organic compound, or VOC, paints, coatings, adhesives and carpets, as well as a central vacuum system and fresh air filtration/ventilation system

The homes estimated monthly energy-related cost to operate is $100. The Common Sense Green House is listed for $655,000. The builder explains “the whole point of green building is while we use less energy, water and materials, the quality of life is as good, if not better” than what we are accustomed to.

It’s great to see “green” building starting on the Outer Banks…and just in time for St. Patty’s Day!

Are Sunnier Skies on the Way for Real Estate?

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OBX Sunrise

OBX Sunrise

It’s exciting to see all the news of better market conditions. Are sunnier skies on the horizon? A recent article on Realtor.org attempted to answer this burning question.

With home ownership rates at a sustainable 66 percent and a projected growth rate of 340 million by 2020, real estate’s long-term prospects remain bright.

Manufacturing output has been rising. The stock market has recovered nicely. Many companies are flush with cash. Consumer confidence has rebounded from very low levels, and jobs are being created.

Against this improving picture, we can expect to see some release of the demand that’s been building up for the last three years. Rising rental costs will also likely tip more renters into home ownership.

Putting these and other factors together, existing-home sales are projected to rise 8 percent to nearly 5.3 million units nationwide this year and possibly to 5.5 million in 2012.

At this level, home ownership is solid, and it’s also sustainable given our level of population growth.

Skies seem to be brightening.

Increased Confidence in a Real Estate Market Recovery-Where do we go from here?

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The economy has always been, and will always be, cyclical. What goes up must come down, and visa versa. This goes for the real estate market as well. Recent reports have continued to show gains in existing and new home sales, increasing investor activity and an overall improvement in the market. These growth may not be substantial, but we continue to be moving in the right direction for restoring confidence among consumers and industry experts.

What’s Ahead

As the busy time in the real estate cycle approaches, RIS Media is predicting that we can expect 2011 to be better than 2010, with healthier trends compared to the abnormal boom times we saw in the early 2000’s. The market ahead will be driven by hopeful buyers who are regaining their financial footing and building their savings, as well as a generational wave of consumers just reaching their prime home-buying years.

With the damage caused by default payments and foreclosures subsiding, homeowners will be managing responsible mortgage terms, affordable payments and the ability to sell their home with equity.

Could this be the faint glow of the light at the end of the tunnel?

Light at the end of the tunnel?

Light at the end of the tunnel?

February Housing Scorecard Shows Increase in Existing Home Sales as Home Affordability Remains High

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Although the real estate market remains rocky, the U.S. Department of Housing and Urban Development (HUD) and the U.S. Department of the Treasury released the February 2011 edition of the Obama Administration’s Housing Scorecard. The newest figures show an increase in existing home sales as home affordability remains high.

In the face of the deepest economic recession and housing crisis since the Great Depression, these statistics show signs of a slow but favorable recovery. The Obama Administration remains committed to its efforts to prevent avoidable foreclosures and stabilize the housing market.

With good news coming in, we must keep in mind that the market remains extremely fragile. HUD recognizes they cannot stop every foreclosure but is confident that responsible homeowners are still fighting to make ends meet, and with multiple government programs in place, they plan to put help in reach of those homeowners as early as possible.

Since April 2009, record low mortgage rates have helped more than 9.5 million homeowners to refinance, resulting in $18.1 billion in total borrower savings. These rates are also allowing potential homebuyers to finally be able to afford a new home. With mortgage delinquencies on a downward trend and confidence up, financing may be available to candidates who may not have qualified before.

Decent news for a housing market treading water right now.

Vacation Rental Market Growing 4 Times Faster than the U.S Economy

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Outer Banks Vacation Rental Home

Outer Banks Vacation Rental Home

Vacation Home Rentals recently named the Outer Banks one of the top growth markets for vacation rentals in the United States. Studies show that the vacation rental market is expected to grow 13.1% in 2011, more than twice the rate of the travel market and four times faster than the U.S economy. About 85% of vacation rental property owners expect 2011 to be as good as, or better than 2010. The OBX is projected to have a 20% increase from last year alone!

Vacation rental property owners believe this growth may be attributed to the fact that vacationers are looking for small, reasonable destinations they can drive to, rather than fly.

With this news coming from one of the most visited vacation rental sites in North America, there is a lot to look forward to this year. Whether interested in buying a potential vacation home or searching for a weekend getaway Coldwell Banker Seaside Realty and Seaside Vacations can help you find your own beach oasis.

Will Real Estate Turn Around in 2011?

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Is relief finally on the way in 2011? The Wall St. Journal recently published an article indicating that 2011 could be the year real estate turns around. It’s hard to be sure, but there may be some good news in 2011 about the nation’s struggling housing market…or at least, the bad news could come to an end.

Either way, it will be welcome relief for current homeowners as well as for potential real-estate investors. Reasons to be optimistic have been sadly lacking since the housing bubble burst.

Last week we learned from the widely watched S&P/Case-Shiller that the home-price index fell 1% in December; its fifth straight decline. But what’s new? In this case, what goes down must come up. If forecasters are correct it might make sense to jump into real estate. The trick is avoiding getting burned again, and it doesn’t necessarily mean owning a home.

Let’s recap a few economic signs that seem to support the belief that a bottom is close.

Houses Are a Good Deal

Housing is the most affordable it has been in decades – analysts consider not only home prices but average family incomes. Nationally, the cost of a house is the equivalent of about 19 months of total pay, the lowest level in 35 years.

“Pricing is down so much in some markets that when you analyze renting versus owning it makes much more sense to own,” says Michael Larson, a real-estate analyst at Weiss Research in Jupiter, Fla.

In the end, it will be affordability that will drive people to buy homes. But what about timing?

Consider this: In some markets, home prices have fallen by half or more since 2006. Even if prices fall another 5%, it’s a small margin in the grand scheme.

Investors Stepping Up

One of the best indicators that the market is nearing a bottom is when investors are buying up houses and condos, in some instances paying entirely in cash.

Take Miami again. Last year, more than half of all transactions were made entirely in cash, according to a recent report in The Wall Street Journal. That compares with 13% of deals in the last quarter of 2006, the height of the bubble. Similarly, in Phoenix 42% of sales in 2010 went to all-cash buyers, up threefold since 2008. It seems like these investors are betting on a rebound in the near future.

Plan to Stay Put

Buy and hold. While the good news is that the worst of the housing crash might be over, the bad news is that the fast gains of the glory days of 2005 and 2006 won’t be back any time soon. To avoid heavy losses and driving down neighborhood values, plan to own for the long-term…10+ years is a good bet.

Below is a graph from AOL Real Estate showing home prices in the Kitty Hawk, NC real estate market. With Kitty Hawk home prices being sold far above state and national averages, the OBX may be more fortunate than we assume.

The OBX – a strong real estate market getting stronger in 2011?! The magic 8-ball seems to be pointing to yes.

AOL Real Estate - Kitty Hawk - 3.2.11

AOL Real Estate - Kitty Hawk - 3.2.11

Is It Time to Reduce Your Home Price?

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Top dollar is the goal. But sometimes reality doesn’t cooperate. It is a challenging real estate market with an abundance of competition; as much as it may seem counterintuitive to decrease the price of your home on the market, there are times when a reduction makes the most sense.

Home Logic recently had a great article with six reasons to reduce the price…it’s worth considering:

1. You’re drawing few lookers
2. You’re drawing lots of lookers but have no offers
3. Your home’s been on the market longer than similar homes
4. You have a deadline
5. You can’t make upgrades
6. The competition has changed

Outer Banks Real Estate Update – January 2011

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The traffic on the Outer Banks was busy compared to last January and pending sales are up. The OBX had 133 pending sales in January 2011 & 110 in January 2010.  The Outer Banks real estate market continues to improve.

Inventory is also declining slightly. Last year at this time there were 3,548 active listings and now there are 3,058 – this is a 14% decline.  Less inventory = more sense of urgency to BUY!

Distressed Sales: It’s important for sellers know where the buyers are spending their money and for buyers to understand current market values.  Pricing needs to be set competitively, even if the competition is a distressed property.

Here are the results for January:

Property Type

Total Units Sold Bank Owned Short Sales % Units Distressed
Residential 82 24 10 41%
Land 14 2 3 36%
Commercial 1 1 0 100%
Total 97 27 13 41%

Why Buy an Outer Banks Beach Vacation Rental Property NOW?

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Seaside Vacations - Big Mama's

Seaside Vacations - Big Mama's

Editors Note: This is a guest post by Coldwell Banker Seaside Realty agent Hugh “Scooter” Willey.  Thanks for the great thoughts Hugh.

If you are considering buying a beach vacation rental investment on the Outer Banks, then NOW may be the best time of year to make that purchase.

  1. Prices on real estate are dramatically discounted! With the soft real estate market nationwide, right NOW you can get a real bargain on a home! Currently, vacation destinations are experiencing the dare before the dawn and there is going to be a short window of opportunity for smart investors to jump in and make their future fortunes. For the first time in years, vacation home prices have slipped enough in some regions for the math to work, including the Outer Banks of North Carolina.
  2. While price does play an important part in the buyer’s decision. The most important thing to most buyers is the cost – that is the mortgage payment they must pay every month. That payment is determined by the price of the home AND THE INTEREST RATE ON THE MORTGAGE. Interest rates are artificially low right NOW because of government intervention. This will not last forever.
  3. By buying NOW and closing before May, 2011 you will have the best opportunity to earn 100% of this year’s rental income while only paying for approximately 75% of this year’s operating costs!! Even better, if the house you are purchasing has weeks already booked for the summer vacation season you will get a check at closing for those monies already collected by the property management company. That’s right! You can close on a house and get a check given to you for the pro-rated amount of rental income already booked for 2011.

How does that work you ask?

Since many vacation renters pre-book their vacations for the next year while they are currently on vacation, they are generally required to put down a small deposit to hold the week they have selected. Then, the property management companies mail out the rental agreements in January/February to all the renters who have pre-booked weeks for the upcoming rental season. A deposit of 50% of the rental amount is required at the time this rental contact is signed. The second half of the rent is usually due 30 days before their vacation date. You as the new property owner get a percentage of the deposit money when the renters send in the signed rental contract and the remainder comes to you after the renters satisfy their weekly stay. Thus, if a property is sold during the rental year, then you as the buyer receive the pro-rated deposits/rents which have been collected for all the weeks that vacation renters have not yet used.

Naturally, you should be cautious and do your homework before you buy any property–but don’t be so cautious that you miss this window of opportunity!

You can find additional information about Hugh and contact him at:

2010 Outer Banks Real Estate Market Report – Year End

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Outer Banks Real Estate Market Report - Q4 2010

Outer Banks Real Estate Market Report - Q4 2010

Outer Banks Real Estate Market Report - Q4 2010

Outer Banks Real Estate Market Report - Q4 2010

Outer Banks Real Estate Market Report - Q4 2010

Outer Banks Real Estate Market Report - Q4 2010

Outer Banks Real Estate Market Report - Q4 2010

Outer Banks Real Estate Market Report - Q4 2010

Outer Banks Real Estate Market Report - Q4 2010

Outer Banks Real Estate Market Report - Q4 2010

2010 Year End Report

Total Property Sales – A total of 1672 units were sold in 2010 which is a 21% increase over 2009 sales with residential property leading the way (see below). Total Volume Sold for 2010 was also up by 19% over 2009 with a total volume of $504,568,644. For historical perspective, sales in 2010 were approximately 57% of what the sales were at their peak in 2004.

o Residential property - Sales in December were up 16% from November and up 22% for the year and the sales volume was up 18%.

o Land – Sales in December were down slightly (3%) from November but were up 19% for the year.

o Commercial – Sales were down 26% for the year; however the sales volume was up by $838,475 (12%)

How Sold – Buyers were looking for different / unique ways to finance their purchase. The data showed that the numbers of “Cash” sales were up 54%, “Other” sales are up 312%, “Conventional” loans are up 17%, “VA” loans are up 18% while the number of “FHA” loans were down 6.7%.

Distressed Properties – Distressed properties accounted for approximately 16% of residential property inventory while sales of distressed properties accounted for 38% of all sales in 2010.

Under Contracts – The number of listings placed under contract took a dramatic downturn in December (-46%) when compared with November 2010; however, this appears to be a seasonal trend. The number of listings placed under contract in 2010 was up by 19% from 2009.

Inventory – The total number of active listings declined 10% in December and 15% for the year. Overall, residential listings declined by 11%, land listing declined by 21% and commercial listings declined (23%). The majority of the current active residential listings fall in the following price ranges:

Price Range

Number of Listings Price Range Number of Listings
$1 – $99,999 58 $600K – $699K 140
$100K – $199K 252 $700K – $799K 69
$200K – $299K 309 $800K-$899K 64
$300K – $399K 323 $900K-$999K 49
$400K – $499K 233 >$1M 175
$500K – $599K 167