Oahu Home Sales Remain Sluggish Amid Holiday Season

Median sales prices steady month over month

According to resale figures released by the Honolulu Board of Realtors®, November property sales declined slightly year-over-year, with total combined sales for the month dipping about 8% compared to November 2022. Single-family home sales declined by 6.3%, while the condo market saw an 8.8% decrease.

Both markets saw median sales prices in November that closely resembled October 2023 figures. Year-over-year, the median price of a single-family home dipped 4.3% to $1,100,055. Conversely, condos marked a 7.5% increase to $516,179.

“Market activity remains sluggish despite mortgage rates dipping slightly from the peak we saw last month,” said the President of the Honolulu Board of REALTORS®. “However, pending sales data revealed that buying activity is rising in the more affordable price ranges for both single-family homes and condos.”

A significant portion of contract signings in November were for single-family homes priced in the $800,000 to $999,999 range, representing almost one-third of pending sales with 56 contract signings. In the condo market, over 75% of pending sales occurred within the $200,000 to $799,999 range, with the highest concentration in the $300,000 to $599,999 range, accounting for approximately 46% of contract signings for the month.

For single-family homes, the $800,000 to $1,199,999 price range experienced the largest decline in sales volume, experiencing a 28% year-over-year decrease with 59 sales compared to 82 in November 2022. Meanwhile, the $500,000 to $799,999 price range surged by 60.9%, with 37 sales. In the condo market, the $200,000 to $499,999 price range slumped by 23% with 127 sales, while sales at most other price points remained relatively consistent.

Fewer transactions closed above the original asking price. In the single-family home market, 21% of transactions closed above the original asking price compared to 31% last year. Only 19% of condo sales closed for more than the original asking price, compared to nearly a quarter in November 2022.

“In a cooling market, it’s essential for sellers to reassess their pricing expectations. Partnering with a knowledgeable REALTOR® can assist sellers in maximizing their property’s value and achieving a successful sale,” added the HBR President.

Properties sat longer on the market, though single-family homes and condos continued to mark a median days on market of under a month. Single-family homes had a median days on market of 29 days, up from 18 days in November 2022. Meanwhile, condos had a median days on market of 23 days, reflecting a five-day increase compared to the previous November.

New listings for single-family homes and condos slowed compared to last year, dipping by 7.6% and 13.1%, respectively. While the single-family home market had 672 active listings at month-end, marking a 1.5% year-over-year decrease, active inventory for condos grew by 7.5% year-over-year to 1,337 listings. However, both markets still operated with active inventory levels below pre-COVID figures, plummeting by 32% for single-family homes and 26% for condos compared to November 2019.

source: Honolulu Board of Realtors

Click below to view the full report or go to:

Oahu Home Sales Cool Amid Rising Mortgage Rates, Seasonal Slowdown

Fewer properties are selling at the original asking price or higher

Sales volume remained stable in October, with both single-family homes and condos experiencing moderate year-over-year declines of 4.1% and 8.3%, respectively. The median sales price for single-family homes in October increased 4.8% to $1,100,000 while condos experienced a minor 1.0% decrease, ending the month at $515,000.

Compared to the previous month, sales of single-family homes dipped by 8.2%, while condo sales showed an increase of 6.1%. Year-to-date, sales in both markets declined approximately 29%, with single-family home median prices down 5.1% to $1,050,000 and condo median prices slipping 0.6% to $507,000.

Month-over-month, pending sales volume fell by 17.2% for single-family homes and 12.4% for condos. Year-over-year, pending sales volume experienced a modest decrease of 3.0% for single-family homes and 5.0% for condos.

Both single-family homes and condos saw a decline in properties closing at their full asking price or more. For single-family homes, 43% of sales (91 properties) closed at or above the asking price, down from 50% (111 properties) in October 2022. For condos, 38% of sales (151 condos) closed at or above the asking price, down from 48% of sales (208 condos) in October 2022. Most regions in the condo market ended the month with a median sales-to-original-list price ratio of 100.0% or higher, while only the Kailua and Diamond Head regions did in the single-family home market.

In total, 187 properties—the majority were condos—sold for under $500,000. Sales volume for single-family homes in the $800,000-$999,999 range dipped by 25.6% to 29 sales, while those priced over $1,000,000 increased slightly to 127 closings, up from 122 in October 2022. In the condo market, units priced between $500,000 and $599,999 surged by 44.7% year-over-year to 68 sales, whereas condos in the $600,000-$699,999 range saw the most significant decline, with sales falling 27.1% to 35 units compared to 48 in the previous year.

However, median days on the market for single-family homes and condos remained under 30 days, with single-family homes at 18 days and condos at 21 days, compared to 19 days each in October 2022. In the single-family home market, regions with a median above 30 days on the market included Leeward (41), Hawai‘i Kai (38), Makakilo (34) and Waipahu (32). For condos, only Leeward and the North Shore had a median above 30 days, at 38 and 37 days, respectively.

Both markets witnessed a rise in active inventory from September, with a month-over-month increase of 5.7% for single-family homes and 9.4% for condos. New listing volume showed mixed results for the month, with the single-family home market seeing a 4.6% decrease to 272 new listings compared to 285 in October 2022. In contrast, new listing volume in the condo market grew by 6.4%, reaching 566 new listings in October compared to 532 a year ago.

source: Honolulu Board of Realtors

Oahu Home Sales Slow as Mortgage Rate Rises

September sales volume down by double-digits, properties spend approximately three weeks on market

According to resale figures released today by the Honolulu Board of REALTORS®, the O‘ahu single-family home market maintained a 12-month rolling average of over 200 sales, with 232 properties sold last month, reflecting a year-over-year decline of 16.5%. However, the condo market 12-month sales average fell below 400 sales for the first time since January 2021. Three hundred and seventy-six condos sold last month, marking a 24.2% dive in sales volume compared to September 2022.

In September, the median sales price for single-family homes dipped by 4.5% compared to the previous year, reaching $1,050,000 by month-end. Meanwhile, condos experienced a 6.0% year-over-year increase, with a median sales price of $532,500. Properties that closed in September spent around three weeks on the market, with a median of 20 days for single-family homes and 21 days for condos.

“As the third quarter ended, average U.S. mortgage rates held above 7%, reaching the highest level in more than 20 years,” said the President of the Honolulu Board of REALTORS®. “While the interest rate has presented some challenges, we continue to see strong demand from buyers and sellers who receive offers more than the original asking price.” Approximately 9% of single-family home sales closed at full asking price, while 38% sold above original asking price. Meanwhile, 22% of condo sales received full asking price and 20% of condo sales closed above the original asking price.

Single-family home sales in the $700,000 to $999,999 price range accounted for 36% of the month’s transactions, with most sales in this price range occurring in the ‘Ewa Plain. In the condo market, sales volume increased at higher price points and decreased in more affordable price ranges. The $900,000 to $1,999,999 range was the only price point to experience an increase in sales, jumping 31.0%. In contrast, condo sales in the $200,000 to $599,999 price range plummeted by 30.2%. Similarly, third-quarter condo sales in the $900,000 and above range increased by 3.9%, while sales in the $300,000 to $400,000 price range dropped by 25.6%.

“The best way to navigate the real estate market is with a trusted, knowledgeable REALTOR® as your guide. Despite a more challenging financing environment, many opportunities are available for homeowners and first-time homebuyers,” added the HBR President..

New listing volume fell in both markets compared to a year ago, down 7.6% for single-family homes and 14.1% for condos.

Active inventory displayed mixed trends at the end of the quarter, with single-family homes experiencing a slight year-over-year slump of 5.9%, while condos saw a modest increase of 4.6%. In the North Shore and Ewa Plain regions, active inventory plunged 46.7% and 17.6%, respectively. However, the Kaneohe region displayed a 25% increase, adding 10 more active single-family homes compared to the previous year. For condos, most regions reported higher active inventory compared to the previous year, except for Hawai‘i Kai, North Shore and the Ewa Plain, which offered few units available at the end of September.

source: Honolulu Board of Realtors

Click below to view the full report or go to:  https://issuu.com/advantagerealtyhi/docs/september_2023_oahu_real_estate_report

Oahu Real Estate Market Insights: August 2023 Report

Analyzing the Dynamics of Closed Sales, Prices, and Inventory Trends

Closed sales of single-family homes and condos declined year-over-year, dropping 19.7% and 16.9%, respectively; however, compared to a month ago, single-family homes recorded a 12.5% uptick in sales, while condo sales remained steady.

Compared to 2022, the median sales price for a single-family home dipped 1.4% to $1,110,000, while the condo median sales price increased 3.3% to $515,000. From a year-to-date perspective, the median sales prices for O‘ahu properties fell for single-family homes to $1,050,000, a 5.7% decline from last year, and for condos to $502,000, down 1.6%.

Single-family homes in the $900,000 to $1,199,999 price range experienced the largest decrease in sales volume, falling 39.2% year-over-year; however, the more affordable price range of $600,000 to $899,999 range saw a slight increase of 13.1% or eight more sales compared to last August. For condos, the more affordable price points of $100,000 to $499,999 marked the most significant decline in sales volume, falling 24.3% year-over-year. At the same time, condo sales in the $900,000 and higher price range remained relatively unchanged from the previous year.

August saw more active inventory of single-family homes in the $799,999 and below range, rising 33.8% from a year ago. The Kāne‘ohe and Leeward regions experienced the largest increase in units of active inventory, with year-over-year increases of 52.9% and 16.7%, respectively. Condo inventory increased at most price points, with the bulk of the active listings in the $300,000 to $699,999 range, reflecting a 20.7% hike compared to last year.

Properties in both markets moved at a consistent pace, albeit five days slower than last year, with a median of 18 days on the market for both single-family homes and condos. Homes in the Leeward region and condos in the Waipahu region are moving into escrow at the slowest paces compared to other neighborhoods, with median days on the market of 50 and 41 days, respectively.

Pending sales volume remains down year-over-year, but both markets witnessed a modest month-over-month increase. Contract signings rose 8.1% for single-family homes and 1.0% for condos compared to July.

Click below to view the full report or go to: https://issuu.com/advantagerealtyhi/docs/market_report_-_aug_2023?fr=xKAE9_zU1NQ

Oahu Home Sales Dip Amid Rising Borrowing Costs

Active inventory and days on market increase as sales volume continues to decline

According to resale figures released by the Honolulu Board of REALTORS®, both single-family homes and condos experienced a slump in sales as elevated borrowing costs continued to dampen summer buying activity. Single-family home sales fell by 28.2%, and condo sales dropped by 18.5% compared to the same time last year. In both markets, properties that sold in July spent a median of 16 days on the market, just a slight jump up from July 2022, where single-family homes had a median of 11 days and condos had 12 days.

“While the market is different compared to last year, we’re seeing similar trends month to month,” said the President of the Honolulu Board of REALTORS®. “Rising borrowing costs have buyers taking a more cautious approach, so homes remain on the market for longer periods, but demand and median sales prices are holding steady due to low inventory.”

Median sales prices were stable year-over-year, with single-family homes down 1.6% to $1,090,000 and condos even at $500,000. Approximately 53% of single-family home sales closed for the full asking price or more, compared to 65% a year ago. In the condo market, 47% of sales received the total asking price or more compared to 60% of sales in July 2022.

“The best thing you can do if you’re interested in buying or selling is to work with a REALTOR® who is not only committed to helping you achieve your real estate goals but understands the nuances of the market and the complexities of a real estate transaction,” added the HBR President.

The market also experienced a decline in new listings, with a 28.8% year-over-year drop for single-family homes and a 15.4% fall for condos. However, active inventory for single-family homes and condos remained relatively unchanged from the previous year, with a modest 2.6% growth in active single-family home listings and 9.9% in active condo listings.

Despite a weakening in contract signings from a year ago, July 2023 saw a 6.9% month-over-month hike for single-family homes and a 1.4% bump for condos. There were 247 pending sales for single-family homes and 421 for condos during the month. Notably, Ewa Plain, Waipahu, and Pearl City saw increased contract signings for single-family homes, with growth rates of 18.5%, 18.8%, and 13.3%, respectively. The Leeward region stood out for condos, experiencing a significant 92.3% boost in contract signings year-over-year. Ewa Plain condo pending sales remained steady year-over-year but rose by 38.2% from June to July.

Oahu Home and Condo Markets Cool in June

Sales and median prices dip, but pace of sales remains relatively quick

According to resales figures released today by the Honolulu Board of REALTORS®, the monthly median sales price for both single-family homes and condos fell 4.5% year-over-year. The single-family home monthly median sales price in June was $1,050,000, and $510,000 for condos. Single-family home sales dropped 30.5%, and condo sales dove 24.9% compared to the same time last year. However, the market pace remained relatively quick, with most properties entering a contract in just over two weeks.

“The directional shift in several market indicators—the modest pullback in median sales price, the slightly longer days on market and the dip in the percent of original list price received—affirm the transition from last year’s intense buyer competition to a moderating environment in some areas,” said the President of the Honolulu Board of REALTORS®. “Market headwinds that persist are low inventory and shifting affordability as average mortgage rates remain elevated from recent years.”

There was a noticeable impact on pending sales, with contract signings declining in both markets year-over-year and month-over-month as average mortgage rates rose in June. In the single-family home market, pending sales fell 24.3% year-over-year and 10.5% month-over-month. The condo market experienced a pending sales slump of 17.2% from June 2022 and 18.1% from a month ago. Throughout June, contract signings totaled 231 for single-family homes and 415 for condos.

“While market statistics provide a helpful overview, real estate is nuanced from neighborhood to neighborhood, so it helps to have an expert to guide you. It’s possible to achieve your real estate goals with support from experienced, trusted advisors,” added the HBR President.

Although both markets experienced double-digit sales growth from the first quarter of 2023 to the second—up 28.4% for single-family homes and 27.2% for condos—sales were approximately one-third down from a year ago for both the second quarter and year-to-date.

Through 2023, prices have somewhat steadied from the rapid rise seen through 2021 and the first half of 2022. Midyear, the single-family home year-to-date median sales price stood at $1,050,000, down 5.5% from the 2022 median price of $1,111,211. Similar to 2022, the $800,000 to $999,999 range accounted for a notable portion of single-family home sales in June 2023 and year-to-date at approximately 31% and 29%, respectively. The year-to-date condo median sales price was $500,000, just 2.9% below the June 2022 year-to-date median of $515,000.

The first half of the year saw 337 single-family homes, approximately 26% of sales, that closed for more than the original asking price, compared to 1,189 single-family homes or 61% of sales over the same period last year. Fourteen percent of single-family home sales received full asking price compared to 13% last year. In the condo market, 502 or 21% of sales closed above the original asking price compared to 1,589 condo sales or 43% in the first half of 2022. The share of condo sales that received full asking price was 21% year-to-date compared to 19% last year.

At the end of last month, active inventory was up in both markets compared to the same time last year. June 2023 ended with 605 active single-family homes, a 14.8% year-over-year increase, and 1,159 active condos, a 16.1% increase from a year ago. However, compared to pre-pandemic active inventory levels in 2019, single-family home inventory remained down more than 40%, while condo inventory was down more than 30%.