Building Details

Year Built 2000

Stories 3

Listing Agency: All At Sea Realty

Listed By: Pete Conley · License #313819

Source: Crexi

Added: Aug 4 Changed: Aug 9 Last Checked: Aug 11 at 9:43AM

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Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of All At Sea Realty

Investment Insights

Based on property information with market context.

Located at 5022 South Virginia Dare Trail in Nags Head, this 4,000-square-foot short-term rental property was built in 2000 and carries SPD-C zoning. The residence includes 8 bedrooms, including 7 en-suite rooms, across a spacious multi-level layout with ocean views. Interior improvements include luxury vinyl plank flooring, shiplap details, quartz countertops, stainless steel appliances, and coastal finishes.

Outdoor amenities include multiple levels of decking, a private heated pool, a hot tub, and areas designed for both sun and shade. A dedicated game room adds a pool table, arcade game, wet bar, and additional entertainment space. The property is near the beach, shopping, dining, Jockey's Ridge, and Jennette's Pier, providing convenient access to Nags Head attractions and coastal recreation.

Key Highlights

• 4,000‑square‑foot short‑term rental property in Nags Head
• 8 bedrooms, including 7 en‑suite bedrooms
• Private heated pool, hot tub, and multiple levels of decking

Financial Insights

Estimated NOI and Cap Rate

NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).

NOI / Yr

$54,710

Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.

Cap Rate

3.10%

Suggested Prices Based on Cap Rates Cap rates vary significantly by property type, market, and asset quality. Typical U.S. stable-market ranges: Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+) Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand) Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically) Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher) Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk) Self-Storage — 5.5% to 7.5% Medical Office — 6.0% to 7.5% Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term Rules of thumb: Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%). Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C. Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI. Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.

Cap Rate 5%

$1,094,200 $1.1M

Cap Rate 7%

$781,571 $781.6K

Cap Rate 9%

$607,889 $607.9K

Market Conditions

NOI Build-Up for 4,000 SF Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent. EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs. OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements. NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.

Gross rent

$104.2K $26.04/SF

− Vacancy

−$4.7K −$1.17/SF

EGI

$99.5K $24.87/SF

− OpEx

−$44.8K −$11.19/SF

NOI

$54.7K $13.68/SF

Area

Dare County, NC

Vacancy

4.50%

Lease Rate

$26.04 /SF/Yr

Expense Ratio

45.00%

Simulate Cap Rate and NOI

Suggested Prices Based on Cap Rates Cap rates vary significantly by property type, market, and asset quality. Typical U.S. stable-market ranges: Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+) Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand) Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically) Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher) Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk) Self-Storage — 5.5% to 7.5% Medical Office — 6.0% to 7.5% Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term Rules of thumb: Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%). Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C. Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI. Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.

Cap Rate 5%

$1,094,200

Cap Rate 7%

$781,571

Cap Rate 9%

$607,889

Alternative Uses

Best Use

Apartment 5plus

$781.6K

$683.9K – $911.8K (±1% cap)

NOI $54,710 @ 7.0% cap · market cap 3.10%

Second Best

—

—

no second resolved use

Theoretical Best

Office A

$965.5K

$844.8K – $1.13M (±1% cap)

NOI $67,584 @ 7.0% cap · market cap 3.83%

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

Property Profile

Current Use

Short term rental ...

Suggested Use

Top Pick Dental Office Big Box & Wholesale Store (Bike/Boat/Book/etc) Store Pharmacy Carpet & Flooring Store Nail Salon

Score = modeled unmet demand for each use within ~1 mi (higher = bigger opportunity). Zoning and permitted uses should be independently verified with local authorities.

Location Intelligence

Trade Area within ½ mile

429

Businesses Nearby

Explore this area Business Placement

Demographics for 27959, NC

3,182

Population

5,214

Households

0.6

Avg Household Size

54

Median Age

51%

College-Educated

96%

High-School Grad

14.7 sq mi

ZIP Area

216

Density / Sq Mi

$87,619

Median Household Income

$46,213

Median Earnings

$1,005

Median Rent

$451,100

Median Home Value

Market

Vacancy Rate% for Multifamily in South region

8.5% 2022

10.2% 2023

11.4% 2024

11.3% 2025

Questions? Ask Rey

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What type of property is this? Where is this short term rental properties located? What is the asking price? Find similar properties ... What are key features of this property?

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Frequently Asked Questions

What type of property is this?

Short term rental property - Updated coastal residence with multiple bedrooms, a private heated pool, and layered outdoor decks.

Where is this short term rental property located?

The property is located at 5022 South Virginia Dare Trail Nags Head, NC.

What is the asking price?

The asking price for this property is $1,765,000.

What are key features of this property?

This property features: 4,000‑square‑foot short‑term rental property in Nags Head; 8 bedrooms, including 7 en‑suite bedrooms; Private heated pool, hot tub, and multiple levels of decking