Maui Real Estate Stats and News
The sales of single family homes dropped to the second lowest level in the last 12 months. Only July of 2019 had fewer sales, but only by one house. However, last January also got the year off to a slow start with just 62 sales.
With 124 sales for the month, condo sales are holding steady, as are prices.
Pending sales represent properties that are under contract but have not yet closed. While the number of single family homes declined, the number of homes under contract had a nice increase, which indicates no real sales slowdown in coming months.
The number of pendings for condo sales continues to rise. A fairly large number of these can be accounted for in West Maui with the new Luana Gardens at Honua Kai and Kahoma Village. However, a number of those have been under contract for quite some time, which indicates that condo sales are still on the rise.
Inventory tells us how many units are available for sale in each category. In March of 2019 single family home inventory was over 500 homes. The next month inventory dropped significantly. A decline in inventory should be followed by a decline in sales. However, demand remains strong and actual sales seem to be defying gravity.
Condo inventory also dropped below 500 in 2019, but one month later than single family homes. Historically, the number of condos for sale has far exceeded the number of homes for sale. Now they are almost even with each other.
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 median is less likely to be skewed by outliers of a few very high-priced or very low-priced sales.
The average selling price for a home dropped below $1,000,000 for the first time in 6 months. However, it doesn't look like a trend yet. Additionally, the average price indicated for homes under contract still exceeds $1,000,000.
The median selling price for homes seems to be creeping back to the $800,000 mark. So, there is no evidence of prices softening in the single family home market at this time.
The average selling price for condos had a bit of a comeback, handily topping $700,000 again. The median price also rose nicely, so there is no evidence of prices softening in the condo market either.
The days on market is the number of days a property has been on the market until close of escrow. There has been a bit of fluctuation for both homes and condos. If your property is for sale and it's been on the market longer than the averages above, give the supply and demand in this market, you may have a pricing issue.
The bottom line is that despite what we hear from the real estate pundits, the basic economic law of supply and demand is alive and well and working here on Maui. There is no apparent evidence of a real estate slowdown here. Is there a black swan like corona that could slow things down? We'll keep on eye on the tourism numbers and let you know as soon as we do.
In the meantime, we need inventory. There are plenty of buyers waiting for the right property, and interest rates continue to be low, so if you have ever considered selling your property, it's a great time to do so.
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 firstname.lastname@example.org 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 our 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. We are business people, 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 on 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 fi you are buying property on Maui, it is 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 with both Steve's were there (Job and Woz). She was also Director of Strategic Marketing for Grass Valley Group, a division of Tektronix, and a business broker in California.