We are two months into the new year and more than half way through Maui’s peak real estate season, that means it is a good time to check in with the Maui Real Estate statistics. After a slow start for sales in January, we saw an increase in sales volume among all property types in February. We will have all the details on sales volumes, medians, February new pending sales, notable numbers and a few thoughts on the market below. Without further ado, here are the February Maui Real Estate Statistics
Maui Sales Volumes and Median Prices
By my count, there were 69 homes sold on Maui in February with a median sales price of $595,000. In February of 2015, there were 60 homes sold with a median price of $558,625. That calculates to a 15% increase in sales activity and a 6.5% increase in median price.
There were 102 condos sold in February 2016 with a median sales price of $444,450. Last February, there were 95 condos sold with a median sales price of $475,000. That represents a 7% increase in sales activity when comparing February 2016 to February 2015 and a 6% decrease in median price.
There were 20 lots sold last month with a median sales price of $512,500. In February of 2015, there were 14 sold with a median price of $490,000. That is a 43% increase in sales volume and a 4.5% increase in median price.
Notable Numbers from the February Maui Real Estate Sales
While compiling the sales volumes and the medians, I came across some other notable numbers from the February Real Estate sales activity on Maui.
- The highest priced home to sell on Maui in February closed or $5,550,000. Located in the Wailea Golf Vistas subdivision, the 4 bedroom, 5.5 bathroom luxury home includes amenities like an infinity pool and big ocean views.
- The Wailea Golf Vista Sale was one of six total home transactions that closed for more than $2,000,000. The other big transactions included a sale in Makawao, one in the Launiupoko area of Lahaina and three sales in Kapalua.
- The highest priced condo sale in February closed for $4,295,000. The 3 bedroom, 4 bath unit at the Andaz Residences offered top of the line finishing and 2,644 square feet of living space.
- The Andaz sale was one of six total condos that sold for more than $1,500,000 in February. The other sales were located at Montage Kapalua Bay, Honua Kai, Makena Surf, Wailea Beach Villas and Ka’anapali Ali’i.
- The highest priced lot to sell closed for $1,450,000. The big 25 acre parcel is located in the Honolua Ridge area of Kapalua.
- That was one of three lots that sold for more than $1,000,000. The others were located in Ka’anapali Coffee Farms and Launiupoko.
- There were 8 REO or bank owned sales in February. That was down from the 14 bank owned sales last February.
- There were 5 short sale transactions that completed successfully in February. All of them were home sales. That is up modestly from the 3 short sales in February of 2015.
February Pending Sales
The February sales are based primarily on contracts written in December and January. There may be a smattering of quick closes written up in February and a handful of longer term contracts. To get a better understanding of buyer demand last month, we wanted to provide some information on the number of properties that went pending in February.
Homes, condos and land all saw an increase in pending sales over February of 2015. Pending sales for homes were up sharply. Buyer demand remains strong on island for homes. Condo sales were up by the thinnest of margins and land sales saw a more substantial increase.
Maui Real Estate Market Thoughts
It is safe to say that , it was a pretty strong month for the market on Maui. February also was bolstered by having an extra business day since it was a leap year. With home sales and home pendings, February of 2016 clearly outperformed 2015 regardless of that extra day. With condos, things were a little less clear cut. When you subtract the 5 sales on the last day of the month, the increase in sales shrinks to 2. When you subtract the 9 pending sales that occurred on the 29th, the number of pending sales falls below what we saw during February 2015.
There is a lot of variability in activity within the condo market on Maui. There are parts of the market that are doing well like the entry level condo market. The luxury condo market is also doing pretty well. The vacation rental condo market is where we are seeing bigger drops in activity. With the big drop in the Canadian Dollar and the decline of Alberta’s oil industry, we have seen a shrinking pool of buyers. We have also seen growing inventory as some Canadians put their condos on the market. The net result is higher inventories and limited demand.
The home market continues to be strong. Demand is particularly strong for homes priced at or below the median prices of the market. Interest rates have dropped to levels even lower than what we saw before the Federal Reserve raised interest rates. With a tough rental market on island, demand continues to be strong from first time home buyers.
Land saw something of a rebound in February after the really low sales numbers in January. The number of land sales remain somewhat limited compared to other property types. That can make for some dramatic shifts in sales percentage wise with relatively modest changes in units sold.
The heterogeneity of the Maui Real Estate market conditions heightens the importance of savvy and experienced representation. Contact The Maui Real Estate Team today if you are interested in buying or selling property on Maui. We would welcome the opportunity to sit down with you to discuss your real estate needs and discuss market conditions specific to the areas and price points that are of interest to you.