Aug 15 2008
Outer Banks not big on Foreign Investment
According to the NAR, foreign investment in US property is becoming a growing trend. From May 2007 to May 2008 the NAR estimated 150,000 to 190,000 homes were sold to foreign investors. North Carolina did not make a top state according to the NAR. That is not surprising from what I have seen on the Outer Banks. I personally have not seen a rash of foreign investment along the island.
The typical investor would seem to fit the profile for Outer Banks home buyers. This is from the NAR. The typical international buyer purchased a single-family vacation home costing $297,400. Four in 10 paid for their U.S. property with cash, compared with 7 percent for all domestic buyers. The typical international owner stayed at his or her U.S. property for 2.6 months during the year.
The NAR also found that many foreign investors were looking to purchase the more expensive homes in an area. Sometimes as great as 36 percent more than the same domestic home buyers average. One aspect of foreign home buyers preference, that for condos and townhomes, may not fit well with the Outer Banks. Besides this small fact it is shocking we have not seen an increase in foreign investment along the Outer Banks.
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