I’m not sure which part of the island you are going to. I always stay in either Avon or Hatteras so I am most familiar with that part of the island. You can get a lot of recommendations by searching the forums. There have been quite a few threads about OBX. I’ll go ahead and give you a quick summary of my favorites though.
The best restaurant on the island is the Austin Creek Grill which is in Hatteras at the shops next to where you get on the Ocracoke ferry. We go there every year at least once and have never been disappointed. They also have a bakery right across from the restaurant that has great pizza and sandwiches as well as some of the best baked goods anywhere. My wife loves the chocolate croissants so much she buys a bunch and hides them in our room so the rest of the family can’t get to them.
Also in Hatteras is the Breakwater at Oden’s dock which has a great view of the sound in addition to some good seafood dishes and a great house salad. Up the road in Buxton is Buoy’s where we often have lunch. The fried oyster po’ boy is really good.
If you go to Ocracoke, everyone will tell you that Howard’s Pub is the place to go and it is. We also enjoyed Cafe Atlantic for a nice quiet dinner.
My last suggestion that I always make about eating on the outer banks if you love fresh seafood is to go to Risky Business Seafood at Oden’s Dock in Hatteras and get some of the freshest fish you’ll find anywhere, take it home and grill it yourself. They will also steam some shrimp for you so you have an appetizer as well.
Have a great week. I will be leaving for my annual two week trip on July 9th. his year we will spend the last three nights in Emerald Isle if anyone has any suggestions for that part of the coast, I’d be glad to hear them. I’ve never been that far South before.