Although it is a beautiful area, you are pretty isoloated from things to do. Of course kids that age don't need entertainment but since you asked, Kitty Hawk will be close to an hour or more with traffic if you are there in the summer. Corolla is the closest area with restaurants and stores. I am not a car officianado, but if your car has 4WD you should be fine. Others may weigh on this.
Keep in mind the road from Corolla through Duck/Southern Shores area is a nightmare in the summer, traffic and gridlock is possible, just need to plan on plenty of time to go to Nag's Head area.
Re Swan Beach. I is about 4 o5 five miles up the sand from the end of the road. There is absolutely nothing for kids to do except go to the beach and dodge all the traffic running up and down the hard-pack sand.
The speed limit on the beach is supposed to be 35, I believe. It is about 29 miles to the north end of KH and about 8 miles from there to the south end of KDH. You will experience considerable traffic in high season, especially if it is raining. It will take you maybe an hour to get from Swan to Kitty Hawk.You are about 30 miles from the nearest doctor.
Unless you are an experienced soft sand driver, and even if your Pilot is 4x4, not AWD, you'll have a tough time even getting to the hard-pack maybe 150 yards across soft rutted sand. Then once you get to where you turn to go up through the dune, you have an even tougher drive.
It's maybe 12 miles to the nearest grocery store.
You have to time your trips to avoid high tide. There are stumps from an old cedar forest along the surf line, often escarpments on the beach, and far too many drunks running up and down the beach in their trucks and SUVs. People park on the beach, set up tarps and etc. and there are many kids and dogs darting in and out of traffic. And boy is it dark at night.
Maybe look for a house in South Nags Head.
Most people seem to come to the $X$ beaches to get away from the atmosphere of Kitty Hawk & KDH. Everyone is correct that you can expect at least an hours drive to get to Kitty Hawk depending on traffic.
the secret to driving on the sand safely is to let the air out of your tiers and I don't mean a little I'm talking 50%. Then you don't have to don't the Hard packed and worry about the pedestrians and the salt water. You can drive along the dune line instead.
The tree stumps and high tides are not really an issue in the summer, because of all the sand that washes on the beach in the spring.
It is beautiful up here, and I live this way 365 days a year so it certainly possible to survive a week. :)
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