One of the ways I like to look is by doing a quick look at the new listings and seeing what percentage of them went under contract immediately, and this is a different way of assessing the market than charts and graph...
Hello from Wilmington, North Carolina and the surrounding beaches. I'm Jay the owner of North Carolina ocean front real estate Incorporated and the website Wilmington-real-estate.com. So how's the market? Let's take a real quick look at the market Fourth of July weekend in North Carolina homes for sale. One of the ways I like to look is by doing a quick look at the new listings and seeing what percentage of them went under contract immediately, and this is a different way of assessing the market than charts and graphs and the calculator. Let me show you how I do it and it gives you a better sense of the Wilmington NC marke I think than any other way of assessing the market.
So right here I've got 31 Oceanfront and Ocean View Homes that listed recently in Brunswick County, Pender and Onslow County, maybe even the New Hanover County but it's Southeast North Carolina so you know. So there are 31 new listings in the last 2 weeks including condos, houses and townhomes for sale that are Oceanfront and Ocean view and of the 31 homes 10 or 11 went under contract already. So one out of three new listings at the beach goes under contract right away. Let's look at the Days on market also known as DOM. Right here you have two days, two days, one day, four, three, six, etc. you get the idea. So if you're looking at homes at the beach if it's a new listing and you like it you need to write an offer immediately because within a day or two or three it might be gone.Now if it's an old listing then it's going to probably have a regular pattern of being on the market 2 weeks to four months okay but of the new listings about one-third of them are off the table immediately.
Now how does this relate to other properties. Let's go see Inland in Wilmington North Carolina and see if they have the same trends or not. Here are 61 homes and these are between 300 and $700000. I like to have a sort of a mid-range price value because homes that are listed for 1.2 million... they are a separate niche of real estate with their own market trends and not nearly as many would go under contract within 3 days compared to what I called the regular middle-market. Okay does that make sense? So here we are 61 recent listings in Wilmington North Carolina from 300 to $700000 and of those 20 or 21 went under contract right away. So it's the same trend as at the beach with oceanfronts, etc. Here in one day, three, 9 days, one day, four days, etc. You get the idea. If you're looking at a house if it's a new listing you need to jump on it because there's a good chance literally-- 33% chance-- it will be gone within the first 2 days. If it's an old listing you can you can roll the dice and be a little lackadaisical about making your offer. But again I would not advise it because I've seen countless times where someone likes a home for $330,000 and they waited four days to make an offer the home and that’s been on the market for 3 months. Now all the sudden there's two or three offers at the same time. I don't know you could have gotten the home for like $305,000 but now someone is going to pay $320,000 for it and it didn't need to happen. We could have written the contract two days earlier and saved you $15,000.
So as a general rule of real estate and homes for sale in Wilmington North Carolina whether ranch homes or brick homes or new construction homes in Wilmington or whatever, it's all time sensitive. And you should gointo it with that mindset that way you can play to win; hopefully that makes sense. Real quick look at the charts. We just hit 14,000 homes are under contract right now. These are pending sales. I've never seen us break 13,000 homes under contract before.
Let me add a little bit more Market data and observations for you since I wrote this in the last few months. It seems like more and more of the prices are higher than they should be in relation to the rental income for the beach properties in North Carolina and the Wilmington NC area. It's possible that the best days of return on investment (ROI) have passed. We won't really know for sure until the spring of 2021 real estate in North Carolina for beaches such as Oak Island, Holden Beach, Wrightsville Beach condos and Carolina beach. Etc. Will the prices be appropriate for the number of bedrooms and the amount of rental income? We will see. One thing is for sure people that rent out their properties on their own using such tools as VRBO or Airbnb have the potential to gross much more rental income and keep a higher percentage of it thereby being more effective with their vacation rental investment properties.
This is a New Hanover, Pender and Brunswick County. We call this the Tri-County area here locally. A year ago it was 8502 years ago 8500 and it used to be in the 6000 sweat now in the middle of Covid-19 craziness we are at 10075 homes under contract as of July 2020. You looked at what was the 21 days on market right now 28 is the days on market for on the average or the median. But anyway a year ago it was 35; two years ago it was 38 days on market. And then much higher in previous years to many months. So in the middle of coronavirus we set new records for sales, and record lows for days on the market, Etcetera.
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