Residential Real Estate, Photography, and Life in Honolulu, Hawai‘i
Summer is here and boy is it a hot one (literally)! I don’t know about all of you, but I’m on the hunt for good A/C wherever I go. In fact, maybe I’ll only take listings that have A/C this summer (just kidding)!! The market overall seems to be heading as expected, as more inventory comes on and prices still rise. Let’s take a look at some stats and see what we can decipher.
[Read more…] about Prices show steady rise, while market grows
Whenever I talk about the federal funds rate (or fed rate), it’s usually in response to the affect it has on mortgage interest rates. In most of the news outlets as well, this angle usually spurs the most interest from potential homebuyers as they try to time the market for their home purchase. However, there is a group of people that this change could affect more, and they might have nothing to do with the home buying demographic. [Read more…] about Fed Rate Hikes Affect Non-Homebuyers Too: Here’s How
Aloha Everyone, and Gong Xi Fa Cai/Gong Hey Fat Choy!
The Year of the Rooster is here, and 2017 is off to a rocket start! Agents in the office are beginning to settle back into their normal routines after the closing of 801 South Building B, and all of us recover from the seemingly-endless supply of parties over the holidays. It’s shaping up to be an interesting year, both inside and outside of the real estate market, so let’s take a look at how 2017 started…
The biggest news for the month was the record-low inventory in the marketplace. The statistic that we use is to figure out the health of the inventory supply is”Months of Inventory,” or how long it would take to sell every home available. In January, that number dropped to 2.4 months, meaning that if no new listings came on the market, we would be completely sold out in by mid-April. That’s a super-low number, and unhealthy for a balanced market. As the inventory stays low, Buyers will continue to compete over the few good listings out there, and Sellers with good properties will continue to see multiple offers.
As for sales numbers, the number of condos and homes sold in January were up over last year’s numbers, while median prices rose and dropped for condos and homes, respectively. Median condo prices are up to $380,000, while homes dropped slightly to $730,000. Nothing dramatic to write home about, but I will keep watching both of those numbers as they’ve seemed to slow slightly in their annual growth (realtive to last year’s big growth).
The overall financial market is still adjusting with President Trump now sworn in. Mortgage prices have bounced up above 4%, and the fed continues to keep an eye on inflation. Overall, it looks like people are going to be more cautious, and a Rooster in the zodiac supports that (if you believe in that sort of thing 😀 ).
Anyway,if you haven’t heard it enough already…
Happy Chinese New Year! Hopefully you all ate good dim sum and will have long lives! If you need anything, you know where to find me!
ALOHA!
Nick
Happy New Year! I’m going to sound like a spoiled kid, but I can’t wrap my head around this fact: the 2017 Punahou graduating class was two when I graduated high school! I was a senior in High School when Dallas Cowboys running back Ezekiel Elliot started Kindergarten…WHAT!?! I can’t believe that it’s 2017 already, and I can’t believe what a year 2016 was! Let’s recap some stats! [Read more…] about Happy New Year! Time to Reflect on 2016 & Look Ahead!
Hi Guys & Gals, I hope your holidays are kicking into gear and 2016 is finishing strong! The Kawakamis are all preparing for a busy season, and it seems that the market is following suit!
Homes, both house and condo, continue to fly off the market as inventories continue to drop and days-on-market fall. Median prices for condominiums increased by 7% over last year to $396,000, while single-family homes increased by 3.1% to $742,000. Days-on-market, the statistic that accounts for how long an available home sits on the market, dropped to 19 days for single-family homes and 20 days for condominiums. Considering these stats include the finicky multi-million dollar listings, it’s a really strong indication that things fly quickly!
So what does this mean for my clients, especially as we head into the traditionally-slower winter months? If you’re thinking about selling, there are still plenty of Buyers looking for a home. It’s my opinion that the shortage of housing throughout the summer months will give us a good group of healthy Buyers for the foreseeable future. For my clients looking to buy, there are still a lot of great opportunities, especially with these low interest rates. If you’re even considering purchasing something in the next couple of years, keep an eye on those interest rates! With a new president coming into power, and an sensitive bond market, it will be interesting to see how rates react.
Happy Thanksgiving everyone! Looking towards to the end of the year, I hope everyone has a safe holiday season!
Nick
Happy August everyone, and as the mainland braces for the coming fall, we continue to see a strong sales market here in Paradise! As expected, the low inventory has restricted the number of sales last month and pushed median prices higher than last year!
While median prices dropped slightly versus our record-breaking June, both Single-Family (SF) homes and condos are up 6% and 14% over July last year. On top of that, both SF homes and condos are seeing close to 100% listing-to-sold pricing, meaning that even though Sellers are pushing prices, Buyers are willing to pay. The inventory trend will probably soften a little, especially as we enter the cooler winter season, but don’t expect to see a shift from this up market anytime soon.
“Prepare housing market for ludicrous speed! Fasten all seatbelts, seal all entrances and exits, close all shops in the mall, cancel the three ring circus, secure all animals in the zoo!”
It’s amazing to see prices continue to rise, but with limited inventory and uncertainty in the marketplace, it’s easy to see why. Elections? Low Interest Rates? Rail? Job market? There are a lot of reasons why people are looking to settle into a new home, and competition is fierce!
With only about 3,000 active properties on the entire island of O’ahu (condo & single-family homes), it’s no wonder that there is a lot of competition for buyers in the market. The market shows condos as the biggest gainer, possibly due to the squeeze down from high home prices. It may also be due to the fact that many of the Sellers coming from houses are taking advantage of the juicy market and opting to downsize. Either case, it will be interesting to see if this trend continues through the summer.
The First American Loan Application Defect Index, which estimates the frequency of fraudulence and defects in mortgage applications, shows Hawai‘i defects fell in 2015. Good news for those in and around the mortgage market! [Read more…] about Hawaii Mortgage Application Defects Fall 6.67% in 2015