WILMINGTON, N.C. – Powerful winds and heavy rainfall are causing havoc across parts of southeastern North Carolina on Monday as Potential Tropical Cyclone Eight approaches the coast of South Carolina.

The National Hurricane Center (NHC) said little change in strength is expected before the system reaches the coast, but steady weakening is anticipated after the system moves inland. The area of low pressure is forecast to dissipate over the Carolinas by early Wednesday.

The National Weather Service office in Wilmington, North Carolina, received reports that roads have become impassable in parts of southeastern North Carolina due to high water levels. Widespread flash flooding is affecting Bald Head Island, which is also without power.

WATCH: CAROLINA BEACH FLOODED AS NORTH CAROLINA GETS HAMMERED BY POTENTIAL TROPICAL CYCLONE 8

About 16 miles to the north, FOX Weather Correspondent Brandy Campbell was in Carolina Beach, North Carolina, where she was greeted with wind gusts as high as 50 mph in portions of the region. According to the NWS, emergency managers there reported that multiple vehicles had been flooded along Canal Drive.

"Folks, do not go out," said Carolina Beach Mayor Lynn Barbee after issuing a state of emergency for the coastal town.

Barbee noted that the small town's fire department was overwhelmed by a deluge of rescue calls following the city's inundation with over 10 inches of rain within just four hours. Residents reported being trapped in their homes and businesses as high-clearance vehicles were deployed to reach the hardest-hit areas. A Flash Flood Warning is in effect there until 1:30 p.m. ET.

Santi Neuberger, who was visiting the area, is looking to return home to Connecticut, where the weather is sunny and 85 degrees.

"Even with an SUV, I've got some doubts that we'll be able to get the car through the water to get to the bridge, much less get to the airport," he said.

MORE: BRYAN NORCROSS ANALYZES POTENTIAL TROPICAL CYCLONE 8

Resident Ed Alexander said the storm's flooding effects are probably the worst he's seen in the area since Hurricane Florence in 2018.

"It's a mess for sure," he told FOX Weather. "I don't think anyone was ready for this … that's living by the ocean. This is what to expect."

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According to the NHC, the system formerly known as Invest 95L was designated as a potential tropical cyclone so that the agency could issue tropical storm alerts along the Southeast coast. A Tropical Storm Warning is in effect from the North Carolina coast through the northeastern South Carolina coast.

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Hurricane Hunters have measured winds well north of the center of circulation at 50 mph. If the system can organize over the warm Gulf Stream waters and fight off the hostile upper-level winds, it will be named Helene. However, the odds of that happening continue to decrease.

"It's a lopsided system with most of the bad weather north of the front that stretches through the broad center," FOX Weather Hurricane Specialist Bryan Norcross said. "The pressure contrast between the disturbance's low pressure and a broad high over New England is causing the air to be squeezed. Like squeezing a toothpaste tube, the pressure difference accelerates the air. In this case, the focus of the channel of stronger winds is on North Carolina and the northern coast of South Carolina."

Strong winds from the east will cause flooding in some coastal areas south of Cape Hatteras, especially near Pamlico Sound and the Neuse River, Norcross added. The flooding will be worse because the tides are higher than usual right now. Waves could be up to 3 feet higher than normal in these areas.

"Stay alert for local warnings from the National Weather Service. Inland flooding can be very dangerous in and around the streams and rivers in the Carolinas," Norcross said.

What's left of the disturbance will move inland and die out, but the moisture will spread north into the mid-Atlantic and Northeast.

What's the latest on Potential Tropical Cyclone 8?

Potential Tropical Cyclone Eight is located about 95 miles east of Charleston, South Carolina, and about 70 miles south-southwest of Cape Fear, North Carolina.

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A Tropical Storm Warning is in effect from South Santee River, South Carolina, northward to Ocracoke Inlet, North Carolina.

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A Flood Watch is in effect for much of central and eastern North Carolina, including Raleigh and Wilmington, and northeastern South Carolina, including Myrtle Beach.

Coastal Flood Advisories have been issued from New Jersey to North Carolina as winds from Potential Tropical Cyclone Eight push water up against the mid-Atlantic coastline.

What is the forecast for Potential Tropical Cyclone 8?

Potential Tropical Cyclone Eight is likely to bring gusty winds, heavy rain with the potential for flash flooding, coastal flooding and dangerous beach conditions to portions of the Southeast and mid-Atlantic coasts over the next couple of days, the NHC warned. It could become a subtropical or a tropical storm Monday, but those odds continue to decrease.

Computer forecast models show a widespread swath of 4-8 inches of rainfall, with isolated totals near 10 inches across portions of northeastern South Carolina and southeastern North Carolina on Monday. Across the remainder of North Carolina, 2-4 inches of rainfall, with isolated totals near 6 inches, are expected through Tuesday.

Over much of Virginia, 1-3 inches of rainfall, with locally higher amounts, is expected through Wednesday.

NOAA's Weather Prediction Center has highlighted northern South Carolina, much of North Carolina and southern Virginia for potential flooding on Monday. The highest risk is in the area surrounding Wilmington, North Carolina.

WATCH: HURRICANE ERNESTO’S SWELL CAUSES NORTH CAROLINA HOUSE TO COLLAPSE INTO OCEAN

Rough seas to result in rip currents, beach erosion

The formation of the potential tropical cyclone brings an increased threat for rip currents and the potential for additional coastal erosion.

The coastline around North Carolina's Outer Banks and southeastern Virginia is highly susceptible to rough seas, as evidenced by swells created by Hurricane Ernesto that were over 1,000 miles away.

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Waves triggered by the once-Category 2 hurricane caused flooding along North Carolina Highway 12, the main thoroughfare through the islands. At least one abandoned home collapsed into the ocean.

Following the collapse, parts of Cape Hatteras National Seashore were off-limits to swimmers due to concerns about debris in the water.