Maui's Short Term Rental Update:

Maui's burning issue and current debate is over whether or not to roll back the law that allows some 7,000+ apartment zoned condominiums to do short term rental. 

For years and years, Maui has had a housing crisis. The crisis was heightened by the Lahaina and Kula fires in August of 2023. In response to outcries for housing, especially in West Maui, the Maui Mayor, put forth a bill to repeal the right of condominiums in apartment zones to do short term housing with the aim of converting those short term rentals into long term rentals or owner occupied condos. 

These condos were in fact purpose built for short term rental, and have always had the right to use their property for vacation rentals. That right was codified into law by an ordinance adopted in 2014 and 2016. 

Earlier this week, the County of Maui planning commission heard testimony from 130 people. Eventually, the planning commission deferred any action and will hear additional testimony now scheduled for July 9. According to estimates, 30-40% were in favor of the bill to roll back the STR's. 60-70% of those testifying opposed to rolling back the STR's.

But even in the polarized atmosphere of those expressing concern that either the continuation or the rollback of these STR's posed an existential threat to them there was one point of agreement.

The agreement is the need for affordable, dignified housing on Maui.

In comments on why we are facing a housing crisis, Mayor Bissen cited, " a myriad of complex issues that have challenged our community for decades." He went on to state "this is a consequence we cannot and should not accept. Our system is long broken and long overdue for change." 

Hallelujah.

For decades, it has been somewhere between very difficult and impossible for builders to build workforce housing. The US Census Bureau noted that housing on Maui was "essentially zero" from 2018 to 2022. 

You can always reach out to us by text or email or drop some comments below. And remember, nobody knows Real Estate on Maui like Aloha Group Maui. ALOOOHA.

Located in Maui Lani, in the desirable neighborhood subdivision, Traditions, 305 Pulihi Street welcomes you in with a beautiful and meticulously furnished home.

This 3 bed, 2.5 bath home has beautiful, modern luxury vinyl flooring throughout for easy care. The immaculate home opens to a thoughtfully designed entryway to keep the clutter of the day contained with built-in shelves. There is additional storage under the stairs, continuing to utilize all the nooks and crannies. You see the care and attention to detail in each piece of furniture selected to highlight the home. With unique touches like the cut koa wood coffee table and the modern breakfast seating nook, this home feels like a luxurious retreat.

The bright and open great room has comfortable seating for movie nights, a dining table for long evenings entertaining and a large kitchen for cooking plenty of holiday meals.

The kitchen is a chef's dream with plenty of storage in the custom cabinetry, lots of counterspace and beautiful updated appliances. There is more seating at the counter for a quick family breakfast, or to linger over a glass of wine with the chef.

Head upstairs to the spacious main room that is en-suite with a large bathroom and a cozy reading nook. The bedroom has a walk-in closet and a view of the spectacular West Maui mountains.

The additional bedrooms have the same bright open feel, and one is set up as a movie room, with soft greys and blues, inviting chairs and more view of the West Maui mountains. The rooms can be used as bedrooms, an office space or an exercise room. Your imagination is your only limit.

The home has a two-car garage with a full-size washer and dryer, built-in overhead storage, air-conditioning and a leased PV system. Conveniently located close to schools, shopping, restaurants, parks and more, this gem won't last long!

Call your favorite Realtor today to schedule a showing!

Aloha, this is Lahaina Lee and this is your Maui real estate advisor May edition.

Well, things have been hot here on Maui, and not to make light of a bad situation, but fire season has officially started here. During the week of May 9, there were several incidents, the largest being a 30 acre burn area near the Veterans Highway, which is the highway from Kahului down to Kihei. Needless to say, high winds and fire make a lot of us very nervous.

The housing situation on Maui is still kind of upside down. The Maui News reported that the non-congregate FEMA sheltering program has been extended to June 10. According to the report about 85% of individuals and families have successfully transitioned out of the program. However, that still leaves about 600 families and more than 1,500 people in the program that have to be transitioned out. 

At about the same time, Civil Beat is reporting that FEMA is still spending millions of dollars on nearly 500 empty condos, apartments, and houses.

There are obviously some serious disconnects here. One big issue for people who lost their homes, but are still staying and working on the Westside, is that potential housing on other parts of the island simply isn't doable for them.

I was talking to a food and beverage manager at one of our Westside restaurants he told me they were losing one of their good employees. This fellow has a low paying job and the only place available for him, that he can afford, is going to be on the south side of the island. Now you, especially those of you who live on the mainland and have a commute, might think commuting form Kihei to Kaanapali doesn't sound like a really big deal. However, if you don't have a car, and you're dependent on Maui's public transportation or riding your scooter back-and-forth over the Pali two times a day, sometimes in the dark, its just not a solution that's going to work. 

In another case, a young woman that we know who works on one of the boats that goes out of Kaanapali found her own housing in Kihei. She had a car and did the commute six days a week. Her gas bill running $150, she was finally fortunate enough to find something on the Westside. 

There have finally been some new housing starts for "affordable" housing. Some of it is making very good headway, but we are clearly on a timeline here.

As a solution to this situation, Maui Mayor Bissen, has announced he is putting a bill that would repeal the right of Minotoya condo owners in both West and South Maui to do short term rental. This proposed bill faces plenty of opposition and even if passed would not begin to go into effect for over a year.

There are so many logical, financial, and certainly, emotional reasons that this will not be a solution. However, we will do a separate podcast on that topic coming to you soon.

In the meantime, how is all this affecting the real estate market on Maui? Well, let's look at the numbers.

In April, home sales remain strong with 69 closings. That's down a little bit from last month, but it is still the second most closings since June of last year.

The inventory of homes for sale remained flat with slightly fewer for sale in April than in March. Hovering at just over 260 homes for sale, that's higher than any other time in the last year, except for March. The stronger inventory level is being supported by new listings. The new listings are up 22.5% in 2024 over the same time in 2023.

That's the good news, and if you are a seller, that is still the good news. For buyers, the months of inventory level is still below four, which keeps us firmly in the seller's market.

After a good increase in March, selling prices remained strong. In April, the average home was selling for over $1.8 million, and the median price was maintaining its level at an even $1.3 million.

To give that a little more statistical context, the median price for the first four months of 2024 is up 13.3% over the same time frame in 2023. Given the current low levels of inventory, I do not see prices easing in the foreseeable future. 

So, what's happening with condos?

Condo sales exceeded 100 units for the first time since August. Sales have been quite strong with more than 90 units selling in each of the last five months, except for February.

It appears that condo sales are being aided by rising inventory. Condominium inventory bottomed out back in August with just over 184 condos for sale. In April, we reached 518 condos for sale, which is an increase of about 260%. New listings are up 40% over the same time last year on a year to date basis. That is a huge injection of inventory. But, with increased sales, we still have under five months of supply.

Even though the market still slightly favors sellers, at least according to rules of thumb, you would think that big jump in inventory would have an impact on selling prices. However, the median price for condos is up 8.4% in April over the same month in 2023. Year to date, through four months, selling prices are up 7.3%. Average selling prices all out of whack due to some rather large closings way down in Makena.

So, despite what we read in the papers, specifically tourism is done, prices are too high, Maui condos are still in high demand and prices have continued to rise. Most of us have been of the opinion that the unfriendly position of the Maui government would have an effect on the value of condos on Maui. Clearly, people are concerned based on public opinion, but that is not being reflected in prices at this point. 

So take that County Council.

That is this months snapshot of real estate on Maui. We will keep you updated on trends and posted on developments here on everyone's favorite island. 

If you have questions or comments, drop them in comment section down below. If you have answers, don't wait. Call me.

We'll see you next month and remember, nobody knows real estate on Maui like Aloha Group Maui. 

From Kihei, this is Lahaina Lee saying ALOOOHA.

Get more information and details

To get more information on property and trends, you can search all properties listed for sale at www.AlohaGroupMaui.com.  If you can’t find what you’re looking for there, send us an email to lee@alohapotts.com, and we’ll do our best to get an answer for you.  As we get more requests for information, we’ll add new sections to the website, newsletter or both.

______________________________________

About Aloha Group Maui

Aloha Group Maui was founded by L. Lee Potts, MBA, REALTOR® R(B) and Barbara S. Potts, MBA, REALTOR® R(B) and former California CPA. Our team consists of talented professionals; Cheri Miller R(S),  Keri Nicholson R(B), Anthony Freda R(S), Courtney Stice, R(S), Kathy Becklin, R(B), Heather Zidell, R(S), Magdalena Odonnell R(S), Sarah Twitchell R(B), and Tony Brown R(B). We are businesspeople, and we treat our clients with the same care and service attitude that we would like to receive when we do business.  We are in business for pleasure and profit.  We expect that most of our clients will enjoy the property they own in Maui (pleasure), and it would be nice for everyone if your property performs well for you (profit).  Real estate can be highly speculative, and profits are never guaranteed.  So if you are buying property in Maui, it’s a good idea to surround yourself with a professional team.

Lee Potts is the former President of an international software company and former Marketing VP of a publicly traded franchise organization.  Lee and Barbara are both licensed under Keller Williams Realty Maui.  

Barbara Potts was a CPA with Ernst and Young before joining Apple Computer back when both Steve’s were there (Jobs and Woz).  She was also Director of Strategic Marketing for Grass Valley Group, a division of Tektronix, and a business broker in California.

Copyright 2024 L. Lee Potts

Statistical information in this newsletter is based on actual sales information reported to the Realtors Association of Maui, Inc.  While this information is deemed reliable, it is not guaranteed.  This newsletter is for informational purposes only and not intended as advice for investment or any other purposes.  Real estate is considered to be highly volatile, and purchasers and sellers of real estate should always seek expert outside advice before investing.  

Aloha, Lahaina Lee here with your Maui real estate advisor report for March 2024. I'm coming to you a little bit late this month because we were on vacation. Where do people from Maui go on vacation you might ask? 

Well, one of our favorite places to go is another tropical island, in this case, we went to the South Pacific and spent time on Maraya and Bebe.

It was great to be there where we connected with some good friends who are also from Lahaina. The water was fun, we had some great food, and enjoyed our friends. But, as Dorothy said, there's no place like home.

And on the Maui front, there is some good news. At a meeting on Tuesday, April 16 there was a Lahaina town update. The good news is that the infrastructure plan is ahead of schedule. We were told that all of the waterlines had water and were pressurized. Not all of the water is potable, so there is still work to be done, but that feels like a great step forward.

We also got an update on the wastewater system and although HECO did not have a representative present, it sounds like they are on or ahead of plans as well. 

It was also announced that a special permitting office for Lahaina will be opened at the end of April An outside contractor is being hired to, hopefully, expedite permits so that people can start building their homes again.

The news was not so good for property owners in the Lahaina historic district or those within an SMA zone. We were hopeful that if someone had a property: a home, a condo complex or commercial building in those districts, that if they were planning on rebuilding exactly what they lost, they would not have to go through the required process. Unfortunately, the representative from the planning department state that both of those processes will be necessary.

Since everyone on the makai side of the highway is in an SMA zone, and my experience with getting an SMA was that it took close to a year to get that through, that could be a major bottleneck and getting Lahainatown starting to rebuild. 

IN the meantime what's happening with real estate on the rest of Maui? Let's look at the numbers. 

In the month of March, we recorded the highest number of sales in over 12 months at 75 homes sold. In fact, that was highest number of sales since November 2022.

With 266 homes currently listed for sale in the Maui MLS, we also have the highest inventory level that we've had in over a year. However, given the current rate of sales that is still only four months of inventory. So, by standard measures, sellers are still firmly in the driver seat when it comes to single-family homes.

What's the reason for rising inventory? It appears to be just normal market activity. There is one new development, Anuhea at Kehalani, bringing some new homes to market, but there aren't a significant number. Also, the median price for new listings in the last 30 days in just under $2 million. The average price is just over 3.5 million.

The median selling price for single-family homes took a pretty significant jump at the first of the year. However, as you can see, they didn't rise in the first quarter. The average selling price seems to be headed back towards $2 million. That could signal a little more activity in the luxury market. 

It is a different story for condos.

After dropping to just 66 sales in September, after the wildfires, sales rose back into the 90s in December, and aside from the dip in February sales, have remained at 90+ sales per month.

Inventory has also been increasing by leaps and bounds. In August of last year, there were only 184 condos for sale. Last month there were 473  condos for sale. At the current rate of sales, we have a perfectly balanced level of inventory at six months. 

Both the median and average sewing prices reported in March are deceiving. A good size condominium complex in Wailea, La Loa, has been closing a number of sales including 12 in March. That doesn't sound like a lot, but it is enough to skew the stats.

Even with that qualification selling prices are generally up and asking prices are following. The median asking price for a condo on Maui is now at $1,150,000 and the average asking price is over $1.7million.

That is this month's snapshot on real estate. We will keep you updated on trends and related stories here on Maui, and of course, we will keep you posted on real estate trends here and the greatest island in the world.

We'll see you next month, and remember, nobody knows real estate on Maui like Aloha Group Maui.

Get more information and details

To get more information on property and trends, you can search all properties listed for sale at www.AlohaGroupMaui.com.  If you can’t find what you’re looking for there, send us an email to lee@alohapotts.com, and we’ll do our best to get an answer for you.  As we get more requests for information, we’ll add new sections to the website, newsletter or both.

______________________________________

About Aloha Group Maui

Aloha Group Maui was founded by L. Lee Potts, MBA, REALTOR® R(B) and Barbara S. Potts, MBA, REALTOR® R(B) and former California CPA. Our team consists of talented professionals; Cheri Miller R(S),  Keri Nicholson R(B), Anthony Freda R(S), Courtney Stice, R(S), Kathy Becklin, R(B), Heather Zidell, R(S), Magdalena Odonnell R(S), Sarah Twitchell R(B), and Tony Brown R(B). We are businesspeople, and we treat our clients with the same care and service attitude that we would like to receive when we do business.  We are in business for pleasure and profit.  We expect that most of our clients will enjoy the property they own in Maui (pleasure), and it would be nice for everyone if your property performs well for you (profit).  Real estate can be highly speculative, and profits are never guaranteed.  So if you are buying property in Maui, it’s a good idea to surround yourself with a professional team.

Lee Potts is the former President of an international software company and former Marketing VP of a publicly traded franchise organization.  Lee and Barbara are both licensed under Keller Williams Realty Maui.  

Barbara Potts was a CPA with Ernst and Young before joining Apple Computer back when both Steve’s were there (Jobs and Woz).  She was also Director of Strategic Marketing for Grass Valley Group, a division of Tektronix, and a business broker in California.

Copyright 2023 L. Lee Potts

Statistical information in this newsletter is based on actual sales information reported to the Realtors Association of Maui, Inc.  While this information is deemed reliable, it is not guaranteed.  This newsletter is for informational purposes only and not intended as advice for investment or any other purposes.  Real estate is considered to be highly volatile, and purchasers and sellers of real estate should always seek expert outside advice before investing.  

We are almost through the first quarter of 2024 and over 7 months out from the devastating Lahaina wildfire. We continue to appreciate the support from you and all of the volunteers not for profit organizations.

We also appreciated the help of government entities. Although sometimes it really feels like "they" are disorganized, have some people in place who just don't know how to think or just don't care, we need to remember it's only their day job.

Three examples are: right of entry, home owner exemption for those who didn't meet the filing deadline and forwarding mail. For more of the story, listen to the YouTube link!

What's open in Lahaina - every time something reopens in Lahaina or something from Lahaina opens somewhere else, it's cause for celebration.

Some of our favorite are back in action! We are overjoyed to see Aloha Mixed Plate open. We've missed it for years. It was initially closed when the parent company, Na Hoaloha ʻEkolu, relocated Star Noodle to the old Mixed Plate location. We loved Star Noodle as well, but AMP is Lahaina comfort food.

The same parent company reopened the Old Lahaina Luau as well. If you're looking for one of the best luaus on Maui, this one should definitely be on your short list. 

Additionally, the Cannery Mall, home of Safeway, Longs Drugs, Jersey Mike's and many other retailers, has reopened and is featuring what they are calling their Month of Giving.

Lots of businesses are open and we need your business. Our unemployment rate is 5.8% which is actually down from 6.2% the previous month. A year ago the rate was just 2.9%.

And what about real estate? Let's look at the numbers.

SALES:

Sales are the number of properties that actually closed escrow. These properties likely went under contract anywhere from 2 to 8 weeks before closing.

As reported earlier in the month, condo sales were up slightly in January and February and it appears that the number of sales will be up again here in March.

The big surprise in condo sales for March will be the median selling price. It will be WAAAY up. What is that you might be asking yourself. You're going to have to tune in next month for the rest of the story. 

INVENTORY:

Inventory tells us how many units are available for sale in each category.

I will say that even with the price bump, our rising condo inventory means buyers have more choices and sellers have less leverage. This could be the best time to buy a condo since even way before the COVID price spike.

SELLING PRICE: average and median sold price

We look at Average and Median prices in all categories. A lot of people like to know the average price; however, we tend to use median for most of our analysis, because the median is less likely to be skewed by outliers of a few very high of very low priced sales.

As reported, home sales have been slow but steady, and we're not seeing a further slowdown which is kind of good. 

In West Maui, where we obviously need a lot more homes, there are 71 homes for sale. The lowest priced home is $1.4M. The median price for a home on Maui is $4.5M and the average price of a West Maui home for sale is $6.25M.

There is some construction happening in West Maui and on other parts of the island which is encouraging. Debris is being removed from Lahaina at a better place than predicted, so that's good. We still need infrastructure: electricity, water, sewer - one step at a time.

Watch for more updates, and if you have any questions about real estate or anything that's happening on Maui, we're an email, phone call or text away, and we love hearing from you.

From Maui, this is Lahaina Lee saying Aloooo HA!

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The team at AGM continues to help Maui's keiki with their basic day-to-day needs and hope to give out some partial scholarships for summer programs.

You can help by making a tax-deductible contribution at GoFundMe - Keiki Fire Relief Fund or click on the QR code below.

Get more information and details

To get more information on property and trends, you can search all properties listed for sale at www.AlohaGroupMaui.com.  If you can’t find what you’re looking for there, send us an email to lee@alohapotts.com, and we’ll do our best to get an answer for you.  As we get more requests for information, we’ll add new sections to the website, newsletter or both.

______________________________________

About Aloha Group Maui

Aloha Group Maui was founded by L. Lee Potts, MBA, REALTOR® R(B) and Barbara S. Potts, MBA, REALTOR® R(B) and former California CPA. Our team consists of talented professionals; Cheri Miller R(S),  Keri Nicholson R(B), Anthony Freda R(S), Courtney Stice, R(S), Kathy Becklin, R(B), Heather Zidell, R(S), Magdalena Odonnell R(S), Sarah Twitchell R(B), and Tony Brown R(B). We are businesspeople, and we treat our clients with the same care and service attitude that we would like to receive when we do business.  We are in business for pleasure and profit.  We expect that most of our clients will enjoy the property they own in Maui (pleasure), and it would be nice for everyone if your property performs well for you (profit).  Real estate can be highly speculative, and profits are never guaranteed.  So if you are buying property in Maui, it’s a good idea to surround yourself with a professional team.

Lee Potts is the former President of an international software company and former Marketing VP of a publicly traded franchise organization.  Lee and Barbara are both licensed under Keller Williams Realty Maui.  

Barbara Potts was a CPA with Ernst and Young before joining Apple Computer back when both Steve’s were there (Jobs and Woz).  She was also Director of Strategic Marketing for Grass Valley Group, a division of Tektronix, and a business broker in California.

Copyright 2023 L. Lee Potts

Statistical information in this newsletter is based on actual sales information reported to the Realtors Association of Maui, Inc.  While this information is deemed reliable, it is not guaranteed.  This newsletter is for informational purposes only and not intended as advice for investment or any other purposes.  Real estate is considered to be highly volatile, and purchasers and sellers of real estate should always seek expert outside advice before investing.  

Aloha, we're a little late with the 2023 Year-end Report. So, we want to shout out a big ALOHA and welcome to 2024. Here is our update for what's happening on Maui, and a look into our somewhat hazy crystal ball.

First, we are grateful for what we have and what we can do to help others. Many of our friends have found new places to live. Unfortunately, some of them no longer live on Maui. Some others only have a place to live temporarily.

The messages we're getting from government sources are usually well meaning, but confusing. While the governor and mayor were threatening short term rental (STR) property owners, FEMA was attempting to make a sweet offer. As most of us understood it, the aim was to secure 3,000 long term rental properties to house those displaced by the fire and living in temporary housing.

After a relatively short time, the FEMA Direct Rental Program stopped taking new applications. I spoke directly to one of the property managers who told me that they had signed up 1,500 property owners. He went on to say that FEMA would be getting the rest of the properties they needed from "other sources."

The next week, the governor once again threatened to "ban" STR's on Maui if we were unable to meet the needs of the fire victims. Almost simultaneously, the Maui mayor sent a letter to STR owners offering a property tax exemption for those willing to convert their their STR to a long-term lease. The letter identified 3 options for long term rental, including the FEMA direct lease program. Our politicians should try talking to each other.

One of the options is from an organization called Kako'o, a native Hawaiian centered organization. According to the CEO of Kako'o, there are currently 1,944 people still in hotels. FEMA is supporting only about 35% of them directly through housing. Kako'o has rental options for non-FEMA eligible survivors. They are also building 54 units and offering forgivable loans for ADU's. That sounds like something worth supporting.

For their part, the county is offering several long-term property tax incentives for people willing to be or already are renting for a wildfire family long term. The county's tax programs can be found at www.MauiPropertyTax.com. 

As far as Maui real estate goes, let's do the numbers.

________________________________________

SALES:

Sales are the number of properties that actually closed escrow. These properties likely went under contract anywhere from 2 to 8 weeks before closing.

The real estate market was already struggling coming into 2023. In fact, the inventory for both homes and condos bottomed out all the way back in the fall of 2021. It took a few months for sales to follow, but follow they did. By the second half of 2022 sales were in steep decline and bottomed out in January/February of 2023.

In addition to the lack of inventory, sales of properties in the "Maui low" to mid-priced market were suffering due to rising interest rates. Many consumers who wanted to buy on Maui but couldn't find the property or even a property found themselves priced-out of the market due to higher interest rates.

While many of us in the real estate community were braced for the tough combo-punch of low inventory and high interest rates, no one was prepared for what would follow in the 2nd half of 2023.

As would be expected, the sales of both homes and condos were low at the beginning of 2023 due to the inventory story and dropped off after the August wildfires.

The Realtors Association of Maui (RAM) reports 729 home sales in 2023 compared to 1,023 in 2022. That's a 28.7% drop. It may be notable that there was also a 24% drop in new listings.

The same report shows an even more dramatic reduction in condo sales. We finished the year with 969 condos sold compared to 1,520 in 2022 for a 36.3% decline.

Some good news is that since topping out in the 8% range in October of 2023, mortgage rates have been heading in the right direction for home buyers. Will lower rates bring more buyers to the market and thus entice sellers to bring more properties to the market? Let's look at the trend in inventory.

________________________________________

IVENTORY:

Inventory tells us how many units are available for sale in each category.

As previously noted, the inventory of homes for sale bottomed out in December of 2021 at just 163 for sale on Maui. We began to see some modest increases until mid-2022, and inventory peaked in January of 2023.

Home inventory has been stuck at fewer than 250 homes for sale since March. We have been selling about 60 homes per month. With last month's inventory ending at 225 homes for sale, we have only 4 months' worth of homes, and low supply means that even higher prices are likely to follow. That said, the number of new listings in 2023 was 24% fewer than in 2022. 

Condo inventory is a different story. Looking all the way back to September of 2022, not really all that long ago, we had only 155 condos for sale. By December of 2022, inventory had increased to 206, topping the 200 mark for the first time in 5 months. But last month we finished with 374 condos for sale.

More supply should mean that lower prices are on the horizon, right? Not so fast. While that sounds like a nice increase in condos for sale, the number of new listings for condos was 32% lower in the year 2023 than in 2022. We have a way to go.

Additionally, the types of condos that make up the overall supply and the mix of those that are selling are influencing pricing trends. The types I'm referring to in this case are those that allow short term rental (STR), those that do not allow short-term rental, fee simple and leasehold. 

________________________________________

SELLING PRICES: average and median sold price

We look at Average and Median prices in all categories. A lot of people like to know the average price; however, we tend to use median for most of our analysis, because the median is less likely to be skewed by outliers of a few very high priced or very low priced sales.

For everyone waiting for home prices on Maui to drop, get comfortable, you are going to be waiting for a good long while. The median selling price for a Maui home in 2023 was up 8.6% over 2022. With the continuing housing shortage and easing interest rates, I don't see prices coming down.

The average selling price of a Maui home also increased, but only by 2%. Still, an increase is an increase. We might see the average selling price continue to slump closer to the median price in coming months as the Maui luxury market is seeing more inventory. Stay tuned for more news on that apparent trend.

The pricing news was much more the same for condos. The median selling price was up 7.4% over 2022. The average price was up almost 14% year over year.

For 2024, interpreting pricing trends for condos is going to be trickier. We are currently seeing a shift in the historically normal mix of the sales of condos allowing STR compared to those that do not. Condos that allow STR have historically outsold those that don't. That changed at the end of 2023.

In the final 6 months of 2023, according the Maui MLS, only 415 of the condos sold were short term rental as noted in the MLS. There were 45% that were not STR. In the previous year the mix was 52% STR allowed and only 35% not allowed. That is a huge shift and, if you are noticing that neither of those percentages add up to 100 and wondering what happened to the remainder??? Well, not all Maui Realtors put in ALL the data they should for their listings. I am forbidden by the Code of Ethics to make any further disparaging remarks about my fellow realtors. 

There is a lot happening on Maui right now, and somehow, there is a lot that is not happening. We are hearing from the short-term rental property managers that occupancy is strong, and generally they are booked at about 80% occupancy, at least in West Maui, through June. That is going to make some people happy and some people unhappy. Overall, it is good for the whole economy.

Most of us are pleased to see the New Year and expect things to improve. We aim to keep you more updated on progress for West Maui and Maui real estate in general.

Aloha, Y'all.

- - - - - - - - - - - - - - - - - - - 

The team at AGM continues to help Maui's keiki with their basic day-to-day needs and hope to give out some partial scholarships for summer programs.

You can help by making a tax-deductible contribution at GoFundMe - Keiki Fire Relief Fund or click on the QR code below.

Get more information and details

To get more information on property and trends, you can search all properties listed for sale at www.AlohaGroupMaui.com.  If you can’t find what you’re looking for there, send us an email to lee@alohapotts.com, and we’ll do our best to get an answer for you.  As we get more requests for information, we’ll add new sections to the website, newsletter or both.

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About Aloha Group Maui

Aloha Group Maui was founded by L. Lee Potts, MBA, REALTOR® R(B) and Barbara S. Potts, MBA, REALTOR® R(B) and former California CPA. Our team consists of talented professionals; Cheri Miller R(S),  Keri Nicholson R(B), Anthony Freda R(S), Courtney Stice, R(S), Kathy Becklin, R(B), Heather Zidell, R(S), Magdalena Odonnell R(S), Sarah Twitchell R(B), and Tony Brown R(B). We are businesspeople, and we treat our clients with the same care and service attitude that we would like to receive when we do business.  We are in business for pleasure and profit.  We expect that most of our clients will enjoy the property they own in Maui (pleasure), and it would be nice for everyone if your property performs well for you (profit).  Real estate can be highly speculative, and profits are never guaranteed.  So if you are buying property in Maui, it’s a good idea to surround yourself with a professional team.

Lee Potts is the former President of an international software company and former Marketing VP of a publicly traded franchise organization.  Lee and Barbara are both licensed under Keller Williams Realty Maui.  

Barbara Potts was a CPA with Ernst and Young before joining Apple Computer back when both Steve’s were there (Jobs and Woz).  She was also Director of Strategic Marketing for Grass Valley Group, a division of Tektronix, and a business broker in California.

Copyright 2023 L. Lee Potts

Statistical information in this newsletter is based on actual sales information reported to the Realtors Association of Maui, Inc.  While this information is deemed reliable, it is not guaranteed.  This newsletter is for informational purposes only and not intended as advice for investment or any other purposes.  Real estate is considered to be highly volatile, and purchasers and sellers of real estate should always seek expert outside advice before investing.