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.
