Archives for December 2012

Unofficial Market Data Report

The year is almost over!  It’s been a strong year for real estate sales on the Outer Banks.  Some areas fared better than others and overall according to the November ending numbers there was only a small 1% to 2% decline in median sales price for our marketplace.

While inventory levels still remain around 12 months for most of the Banks, the number of new listings coming on is slowly shrinking.  We also noticed a change in the average days on the market, which indicates sellers are more in tune with the current market value of their homes.

Many properties actually received multiple offers!  This is clear proof that buyers are on the lookout for the BEST values and when they show up, they move…and FAST!

Here’s the breakdown of some basic numbers for each specific area.
(Keep in mind this is YTD through November only)

Median Sales Price         Down 5%
Number of homes sold    UP 11%

Median Sales Price        Down 21%
Number of homes sold    UP 19%

Southern Shores
Median Sales Price        Down 6%
Number of homes sold    UP 31%

Kitty Hawk
Median Sales Price        UP 9%
Number of homes sold    UP 7%

Kill Devil Hills 
Median Sales Price        UP 3%
Number of homes sold    Same with last year

Median Sales Price        UP 8%
Number of homes sold    Same as last year

Nags Head
Median Sales Price        UP 1%
Number of homes sold    Down 11%

Distressed Properties All Over
Median Sales Price            Down 16%
# of new Foreclosure filings        Down 5%

Major changes coming to the National Flood Insurance Program

There are major changes coming to the National Flood Insurance Program in 2013 and it seems second homes and vacation homes are the primary target.  If your home falls into certain criteria be prepared for discontinued subsidies and ultimately an increase in your premiums.

Another point of interest in relationship to this is the plans from CAMA to re-map our area effective in 2014.  This will directly impact what flood plain a home falls into and in the end the flood insurance premium paid.

I’ll report updates and new information as it becomes available.

The following was taken from a newsletter provided by the local Outer Banks Association of Realtors.


Below is additional information from last week’s briefing about new legislation that may affect flood insurance policy rates for home and business owners in your community.
The Biggert-Waters Flood Insurance Reform Act of 2012 (BW-12) requires FEMA to take immediate steps to eliminate a variety of existing flood insurance subsidies and calls for a number of changes in how the program operates. The new rates will reflect the full flood risk of an insured building, and some insurance subsidies and discounts will be phased out and eventually eliminated. Rates on almost all buildings that are, or will be, in Special Flood Hazard Areas (SFHAs) will be revised over time to reflect full flood risks. Based on various conditions set forth in the law, subsidies and grandfathered rates will be eliminated for most properties in the future.

Effective on January 1, 2013, flood insurance policy rates for some older non-primary residences in SFHAs that received subsidized rates based on their “pre-Flood Insurance Rate Map” (pre-FIRM) status will increase by 25 percent a year until they reflect the full-risk rate. A pre-FIRM building is one that was built before the community’s first flood map became effective (1974) and has not been substantially damaged or improved. If the building will be lived in for less than 80 percent of the policy year, it is considered to be a non-primary residence. Click here to read a National Flood Insurance Program (NFIP) bulletin that provides additional details around the legislation.

Effective August 1, 2013, the NFIP will also begin eliminating subsidized premiums for other buildings as mandated by Section 100205 of BW-12. Click here to read the full bulletin and note that key changes include:

• Subsidies will be phased out for severe repetitive loss properties consisting of 1-4 residences, business properties, and properties that have incurred flood-related damages where claims payments exceed the fair market value of the property.
• Properties with subsidized rates will move directly to full-risk rates after a sale of the property or after the policy has lapsed.
• NEW policies will be issued at full-risk rates.
• Policyholders should be aware that allowing a policy to lapse could be costly. A new application will be required and full-risk rates will take effect.

Beginning in 2014, premium rates for other properties, including non-subsidized properties, will increase as new or revised flood insurance rate maps become effective and full risk rates are phased in for these properties. These premium rate increases will include properties in areas that have received new or revised flood insurance rate maps since July 6, 2012 (the date of enactment Changes in the Flood Insurance Program Preliminary Considerations for Rebuilding – Early Considerations for Rebuilding of the new law). Additionally, even if you build to minimum standards today, you will be subject to significant rate increases upon remapping if your flood risk changes in the future.

Important Note on Preferred Risk Policies (PRPs)As of January 1, 2013, PRPs issued on properties located in a high-risk area may continue beyond the previously designated two-year period until FEMA completes analysis and implements a revised premium structure put in place with BW-12. For some policyholders in areas flooded by Sandy, the impact of these changes could be substantial. For this reason, the Federal Emergency Management Agency (FEMA) encourages property owners to consider flood insurance costs when making decisions about how high to rebuild. A brochure that details some of the legislation’s impacts on building is also available here. Scroll down and click on the download/print link.

For More Information:For the latest NFIP Bulletins about the implementation of these changes, visit For more details about flood insurance, visit

Best Buys for the Week of December 10th!

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Best Buys for the Week of December 3rd!

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