Hawaii Real Estate starts Here!

The Hawaii real estate market shows a continued increase in the median sales prices for the month of April 2012.  The Honolulu Board of REALTORS released resale figures today for April. According to the analysis conducted by the Board, using data collected from its computerized Multiple Listing Service (MLS) system, the statistics are:

During April, sales of 217 single-family homes and 343 condominiums were reported through the Board’s MLS, decreases of 5.2 percent and 9.5 percent, respectively, from April 2011. The median price paid for island properties in April was $600,000 for single-family homes and $319,000 for condominiums, increases of 2.6 percent and 4.6 percent, respectively, compared to the same month last year.  According to the Days on Market indicator, sales for single-family homes were accepted at a faster pace last month compared to a year ago, with single-family properties listing for 30 days; condominiums were also accepted in a shorter amount of time, listing for just 33 days.

“We’re continuing to see a steady month-over-month increase in the number of condominiums resales, which is good news for Hawaii’s real estate market,” said Joe Paikai, president of the Honolulu Board of REALTORS®.  “Home prices tend to increase every spring, but the fact that we’ve seen a year-over-year increase in both condominium and single family home prices is an indication that the market is continuing to recover.”

(This report reflects information about resales of existing properties only and does not include new home sales. All of the MLS information is compiled from sales reported during the cited months; this data is known only after closing of escrow. The time delay between the signing of a sales contract and the closing of escrow is usually between one and three months.)

Will Hawaii home values continue to rise? The latest data shows that the Oahu market is tightening.  The tightening, specifically in the single family home market, has contributed to a 13.9% increase in the Hawaii median sales price to $625,000 from March 2011 to March 2012. The Hawaii real estate market conditions are poised to show fewer listings coming on the market and therefore the median sales prices would continue to rise.  The March data clearly shows the beginning of this trend.

There are several points to consider for the March data.  Firstly,  the number of new listings is falling.  Year over year it is a stark decline of 20%.  The months of inventory (which the time that it would take to sell all of the current listings, if no new listings came onto the market) has declined by nearly 26% to 4 months.  That means at this rate, if no new listings came onto the market, all of the current inventory (listings) would be sold in 4 months.  Also the pending home sales has also risen to 7.5% means that the current inventory is being bought more quickly than a year ago.

There are many indications that the trend of a tighter market coupled with higher median sales prices will continue.  With mortgage rates still so very low, if you are thinking about buying perhaps you should consider buying now.

The Honolulu Board of REALTORS® released resale figures today for the month of
November. According to the analysis conducted by the Board, using data collected from its computerized
Multiple Listing Service (MLS) system, the statistics are:

During November, sales of 251 single-family homes and 333 condominiums were reported through the
Board’s MLS, increases of 1.2 percent and 5.4 percent, respectively, for single-family homes and
condominiums from November 2010. The median price paid for island properties in November was
$580,000 for single-family homes and $295,000 for condominiums, an increase of 1 percent for singlefamily
homes and a decrease of 5.4 percent for condominiums compared to the same month last year.
According to the Days on Market indicator, sales of single-family homes and condominiums closed at a
faster pace last month compared to a year ago, with homes listing for 35 days and condominiums listing
for 42 days.
“We are pleased to see that sales of both single-family homes and condominiums have increased
compared to last year. In fact, this is the fourth month in a row that condominium sales have been up, as
buyers take advantage of lower prices and quicker deals and the inventory clears out,” said Joyce
Nakamura, President of the Honolulu Board of REALTORS®. “This is pretty positive news given that
November is historically one of the slowest months for real estate sales.”

The public is encouraged to visit the Board’s Internet web site at www.HiCentral.com to see what’s
happening in the housing market. The public has the ability to search through Oahu single-family home
and condominium listings, available for sale and for rent, and to see a comprehensive guide of homes that
will be open to visit this Sunday. All searches can be done by geographic location, price range or both.
HiCentral.com provides useful information about buying and selling real estate in Hawaii.
Established in 1922, the Honolulu Board of REALTORS® is one of the largest of 1,600 boards of
REALTORS® in the nation and, with over 5,300 members, the largest trade organization on Oahu.
Membership is available to licensed real estate brokers, agents, property managers, appraisers, counselors
and others engaged in all aspects of the real estate industry pledged to adhere to a strict Code of Ethics
and Standards of Practice. For more information, call (808) 732-3000 or visit www.HiCentral.com.