The number of Honolulu single family home and condominium sales continues to fall. As I noted in my March 2008 Oahu Condo Outlook, the number of sales peaked in 2005 and fell in both 2006 and 2007, but this isn’t necessarily bad news. The good news is, that second quarter sales prices are slightly higher than those realized in the first quarter of 2008. The really good news is that the Honolulu real estate market is outperforming most of the comparable Mainland markets.
A slower market presents buyers with the opportunity to purchase the Honolulu real estate they’ve always wanted, but were afraid to chase when prices were quickly rising. Given the real possibility of higher inflation in the coming year, it’s a great time to buy. If you already own property, you may wish to consider repositioning your investment dollars. These posts provide more food for thought: Now is the Time to Invest in Oahu Real Estate, Should I Wait for Hawaii Home Prices to Drop? and Are You Ready to Buy Your Hawaiian Dream Home?
The Honolulu Board of REALTORS® released the following resale figures for the second quarter of 2008. The Board analyzed data collected from the Multiple Listing Service (MLS) and provided the following statistics:
Single Family Home Resales
|
|
Number of Sales |
This Quarter Compared to |
Median* Sales Price |
This Quarter Compared to |
|
2nd Quarter 2008 |
740 |
|
$636,000 |
|
|
1st Quarter 2008 |
|
|
$620,000 |
up 2.6% |
|
2nd Quarter 2007 |
1,037 |
dn 28.6% |
$665,000 |
dn 4.4% |
Condominium Resales
|
Number of Sales |
This Quarter Compared to |
Median* Sales Price | This Quarter Compared to | |
| 2nd Quarter 2008 | 1,121 | $330,000 | ||
| 1st Quarter 2008 | $330,000 | no change | ||
| 2nd Quarter 2007 | 1,617 | dn 30.7% | $328,000 | up 0.6% |
During the second quarter, the number of sales declined from last year and the median price paid for a single-family home declined by 4.4% from the record price paid one year ago, but the condominium price increased by 0.6%. Total dollar sales volume was $997.2 million in the second quarter, a decrease of $457.7 million (31.5%), from the $1.454 billion in sales achieved in the same quarter last year.
The median sales prices shown in the chart below are the prices paid for existing residential properties reported sold through the MLS system during the second quarter. The columns labeled Change indicate the direction of price change from the prior time period (NC is no change). The following table provides the quarterly median prices for the Oahu neighborhood groups.
| Geographic Area | Single Family | Change | Condos | Change |
| Entire Island | $636,000 | up | $330,000 | NC |
| Metro Oahu | $710,000 | dn | $325,000 | NC |
| Diamond Head | $900,000 | up | $425,300 | dn |
| Hawaii Kai | $870,000 | up | $557,500 | up |
| Kailua | $785,000 | dn | $415,000 | up |
| Kaneohe | $690,000 | dn | $400,000 | up |
| North Shore | $617,500 | dn | $300,000 | dn |
| Central Oahu | $626,800 | up | $319,000 | up |
| Leeward Coast | $393,000 | up | $170,000 | up |
| Ewa Plain | $469,200 | dn | $315,000 | up |
| Makakilo | $630,000 | up | $302,000 | up |
| Waipahu | $582,500 | up | $275,000 | dn |
| Pearl City | $637,500 | dn | $298,500 | dn |
*Median Sales Price means the midpoint of sales prices, where half of the sales were at prices above the given amount and half were below. Click Oahu Map to view the geographical references used above.
Contact Michael Zimmerman if you have question about Honolulu real estate. Please visit my web site to conduct your own Honolulu home search or request special reports for home buyers or sellers.
This information is provided as a courtesy only, is not a warranty and should be independently investigated by buyers. This information is deemed reliable, but NOT guaranteed.
