Wilmington NC Area market conditions

Real Estate Agent · Frederick, MD · Member since 2017 · 74 posts · 8 votes

Interested in finding out more about the Wilmington North Carolina area also including Southport, Hampstead, and Holly Ridge. Looking for a possible buy and hold rental unit.

0 Reply

40 views

Most Popular Reply

Kory Denny

Inspector · Raleigh, NC · Member since 2017 · 55 posts · 25 votes

As am I! We have started taking trips down to the coast to check out a few properties. It is such a dynamic area with many factors. I recommend visiting the area in the fall. The weather is amazing and you can make a fun time out of your research trip.

Many investors have scooped up the low hanging fruit but as with any market the right marketing and leverage can produce leads. Also consider the colleges in the area and perhaps the submarkets within those. Similar places a mile a part can have a drastic variance in price. With the end in mind consider the type of tenants you want and work back form there.

I come from a family of builders and Southport is very historically rich for my family so more than likely i'll be biased towards this area and have avoided considering property there so far. Our family has built many homes down in that area to include the Southport marina itself.

1 Reply

See this reply in the discussion

17 Replies

Jump to latestLatest

Sort by

Kory Denny
Inspector · Raleigh, NC · Member since 2017 · 55 posts · 25 votes
9y
As am I! We have started taking trips down to the coast to check out a few properties. It is such a dynamic area with many factors. I recommend visiting the area in the fall. The weather is amazing and you can make a fun time out of your research trip.
Many investors have scooped up the low hanging fruit but as with any market the right marketing and leverage can produce leads. Also consider the colleges in the area and perhaps the submarkets within those. Similar places a mile a part can have a drastic variance in price. With the end in mind consider the type of tenants you want and work back form there.
I come from a family of builders and Southport is very historically rich for my family so more than likely i'll be biased towards this area and have avoided considering property there so far. Our family has built many homes down in that area to include the Southport marina itself.
1 Reply
Account Closed
Investor · Wilmington, NC · Member since 2016 · 80 posts · 43 votes
9y
@Rachel De Faut knows the Wilmington market very well from an investors viewpoint. She's helped me find a few good properties there, even in today's market.
1 Reply
Account Closed
OP
Real Estate Agent · Frederick, MD · Member since 2017 · 74 posts · 8 votes
9y
Originally posted by @Kory Denny:

As am I! We have started taking trips down to the coast to check out a few properties. It is such a dynamic area with many factors. I recommend visiting the area in the fall. The weather is amazing and you can make a fun time out of your research trip.
Many investors have scooped up the low hanging fruit but as with any market the right marketing and leverage can produce leads. Also consider the colleges in the area and perhaps the submarkets within those. Similar places a mile a part can have a drastic variance in price. With the end in mind consider the type of tenants you want and work back form there.
I come from a family of builders and Southport is very historically rich for my family so more than likely i'll be biased towards this area and have avoided considering property there so far. Our family has built many homes down in that area to include the Southport marina itself.
Thank you so much for your perspective on the area! Your advice is very helpful. Hopefully my husband and I can get down there in the fall and start checking out some of the areas. It is definitely a beautiful place. Are you looking at the possibility of building on a lot? Or just buy and hold? I know a lot of families from Camp Lejeune seem to rent in the Hampstead, Holly Ridge and Sneads Ferry. Do you have any knowledge of how productive rentals in those areas might be due to the military presence? Thank you for all your help.
0 Reply
Account Closed
OP
Real Estate Agent · Frederick, MD · Member since 2017 · 74 posts · 8 votes
9y
Originally posted by @Account Closed:

@Rachel De Faut knows the Wilmington market very well from an investors viewpoint. She's helped me find a few good properties there, even in today's market.
Thank you for your advice. What kind of investing have you done down there if you don't mind me asking? Would you classify most of the properties as class A or class B?
0 Reply
Account Closed
Investor · Wilmington, NC · Member since 2016 · 80 posts · 43 votes
9y
Buy & hold, class C.
Rachel works with other investors, I believe some of them invest in Class A and/or Class B...
1 Reply
Kory Denny
Inspector · Raleigh, NC · Member since 2017 · 55 posts · 25 votes
9y
Im a contractor... my experience in Wilmington area has been broad. I have worked with new construction, SFHs, MFPs, College living, house hacking arrangements, Airbnb ect... Im as I mentioned not a buyer so my experience stems from my own DD.
Me personally am looking at properties surrounding colleges in this state. Wilmington is second on my list behind Raleigh. I don't know what your experience is but every area is different and has certain things to look for. I recommend trying to find a partner in the area that would do the leg work for you if you are unable.
1 Reply
Teddy Smith
Real Estate Broker · Wilmington, NC · Member since 2016 · 236 posts · 126 votes
9y
I'd agree with @Kory Denny. It really depends where you are at. What I've noticed is that the first time buyer market is really pumping up the prices and pushing down cap-rates, especially near UNCW. The listings I have within a few miles of UNCW are almost always calls from owner occupants.
1 Reply
Kory Denny
Inspector · Raleigh, NC · Member since 2017 · 55 posts · 25 votes
9y
Oh and yes we are looking to add college living to our portfolio along with beach properties along the North Carolina coast. Some of these are in the tucked away areas. I like the idea of new construction and possibly building some duplex rentals. Renting out one half throughout the year while reserving the other half for family and friends.
As for the military renting community at most bases id say this is more or less the theme. Enlisted soldiers (who make half what officers make) tend to rent properties no more than 15-20 mins from the base they work at. While officers that rent properties are more inclined to rent up to 30-45 mins from base. Officers however can move into the "buyer" category rather quickly if they are savvy. Enlisted soldiers tend to deploy more often and are less likely to buy.
1 Reply
Account Closed
OP
Real Estate Agent · Frederick, MD · Member since 2017 · 74 posts · 8 votes
9y
Originally posted by @Kory Denny:

Im a contractor... my experience in Wilmington area has been broad. I have worked with new construction, SFHs, MFPs, College living, house hacking arrangements, Airbnb ect... Im as I mentioned not a buyer so my experience stems from my own DD.
Me personally am looking at properties surrounding colleges in this state. Wilmington is second on my list behind Raleigh. I don't know what your experience is but every area is different and has certain things to look for. I recommend trying to find a partner in the area that would do the leg work for you if you are unable.
i've also thought about colleges too especially since my son goes to college in Raleigh. It should be a solid source of income as long as it is close enough to the Wolfline. Thank you for the advice!
0 Reply
Account Closed
OP
Real Estate Agent · Frederick, MD · Member since 2017 · 74 posts · 8 votes
9y
Originally posted by @Account Closed:

I lived in Wilmington for 18 years and it is recently undergoing a drastic transformation in the form of massive apartment building construction and big money coming in to invest. Home values have gone up tremendously and all the lower priced homes in B neighborhoods have been snatched up. Every now and then a 60k 3/1 brick ranch in a blue collar neighborhood will pop up and will be snatched up within a day or two. The least expensive houses, and rightly so, are the houses in the hood which is in the north-west part of town. So if you want a deal you have to watch the market intently and pull the trigger quick.
Thank you for the insight. At the moment I only can use the standard Trulia and Zillow options to look since I don't have any contacts established in the area yet. Will have access to MLS sometime in the near future once I complete my license here. I've been tracking the general area for several months now and Sfh's are selling quickly.
0 Reply
Account Closed
OP
Real Estate Agent · Frederick, MD · Member since 2017 · 74 posts · 8 votes
9y
Originally posted by @Teddy Smith:

I'd agree with @Kory Denny. It really depends where you are at. What I've noticed is that the first time buyer market is really pumping up the prices and pushing down cap-rates, especially near UNCW. The listings I have within a few miles of UNCW are almost always calls from owner occupants.
Are you in investors agent that I could consult with as far as potential properties? How do the towns just back from the beach do such as Hampstead and Holly Ridge? Are they all military rentals or is it a mix?
0 Reply
Account Closed
OP
Real Estate Agent · Frederick, MD · Member since 2017 · 74 posts · 8 votes
9y
Originally posted by @Account Closed:

Buy & hold, class C.
Rachel works with other investors, I believe some of them invest in Class A and/or Class B...
Thank you for the information. I have reached out to Rachel.
0 Reply
Teddy Smith
Real Estate Broker · Wilmington, NC · Member since 2016 · 236 posts · 126 votes
9y
@Account Closed Yes, I specialize in investments in the immediate Wilmington area (specifically near UNCW). To be honest, I know very little about the Hampstead market. There is another agent on my real-estate team that sells condos out in that market and does military stuff. Here name is Renee Clark. If you can't find her on Google, e-mail me for contact info. She's a really good agent.
1 Reply
Account Closed
OP
Real Estate Agent · Frederick, MD · Member since 2017 · 74 posts · 8 votes
9y
Originally posted by @Teddy Smith:

@Account Closed Yes, I specialize in investments in the immediate Wilmington area (specifically near UNCW). To be honest, I know very little about the Hampstead market. There is another agent on my real-estate team that sells condos out in that market and does military stuff. Here name is Renee Clark. If you can't find her on Google, e-mail me for contact info. She's a really good agent.
Thank you for the info. I was just thinking more along the lines of Hampstead etc. due to Wilmington proper been seemingly saturated at the moment. Any insight into downtown Wilmington and proximity to UNCW would be great thank you.
0 Reply
Gregory SchwartzBusiness Member
Rental Property Investor · College Station, TX · Member since 2016 · 1k+ posts · 1k+ votes
9y
@Account Closed I am currently searching for homes in the Holly Ridge/Hampstead area. After spending nearly everyday searching the MLS I can confidently say that off market is going to be your best bet to find a deal. So far I haven't found a deal that surpasses the 1.3% rental to house value ratio. As a Marine living in Holly Ridge, I can confirm that this area is sought after by Marines looking to live half way between base and Wilmington which makes for a strong rental market. If you have questions about particular neighborhoods feel free to PM me.
On a completely unrelated note, I grew up not far from Fredrick in Woodbine, MD. Small world.
[email protected]443-812-0357
Schwartz Realty Group5117 Reviews
Website View Page
1 Reply
Account Closed
OP
Real Estate Agent · Frederick, MD · Member since 2017 · 74 posts · 8 votes
9y
Originally posted by @Gregory Schwartz:

@Account Closed I am currently searching for homes in the Holly Ridge/Hampstead area. After spending nearly everyday searching the MLS I can confidently say that off market is going to be your best bet to find a deal. So far I haven't found a deal that surpasses the 1.3% rental to house value ratio. As a Marine living in Holly Ridge, I can confirm that this area is sought after by Marines looking to live half way between base and Wilmington which makes for a strong rental market. If you have questions about particular neighborhoods feel free to PM me.
On a completely unrelated note, I grew up not far from Fredrick in Woodbine, MD. Small world.
I was starting to think the same thing too as far as Holly Ridge goes. I can see a lot of appreciation in the future though. But strictly in a buy and hold. Seems to be one of the last beach community areas on the East Coast that is even remotely affordable in general. Though the margins are not that great as far as renting. This is after looking up and down the entire coast at least from Maryland down.
I will certainly be looking for advice from you especially closer to when we head down and take a look at the area. Thank you for your perspective and thank you for your service.
0 Reply

Join the conversationCreate a free account to reply, vote on answers and follow this thread.