Revitalization began in the 1980's, and escalated in the 1990's. Tropical Storm Isabel destroyed many of the waterfront homes and boardwalk in 2003. Since then, the waterfront of North Beach has been rebuilt with multi-story homes and a condominium. North Beach currently has no gambling venues, other than MD Lottery sales, although many establishments in Chesapeake Beach offer games that exploit loopholes in the current laws to make playing profitable for patrons. The legalizing of slot machines at some horse racing tracks is currently scheduled to be decided in a statewide referendum in Nov. 2008.
There were 802 households out of which 32.8% had children under the age of 18 living with them, 37.9% were married couples living together, 15.1% had a female householder with no husband present, and 41.8% were non-families. 34.4% of all households were made up of individuals and 8.5% had someone living alone who was 65 years of age or older. The average household size was 2.34 and the average family size was 3.01.
In the town the population was spread out with 27.3% under the age of 18, 7.3% from 18 to 24, 37.2% from 25 to 44, 20.9% from 45 to 64, and 7.2% who were 65 years of age or older. The median age was 33 years. For every 100 females there were 89.1 males. For every 100 females age 18 and over, there were 84.1 males.
The median income for a household in the town was $46,111, and the median income for a family was $51,042. Males had a median income of $42,266 versus $31,563 for females. The per capita income for the town was $22,854. About 10.5% of families and 11.2% of the population were below the poverty line, including 20.4% of those under age 18 and 9.2% of those age 65 or over.