Tag: Andaz Wailea
Maui Real Estate Blog
Sneak Peek at the October 2014 Maui Real Estate Statistics
It’s time for our monthly look at the pulse of the Maui Real Estate market. Our sneak peek at the Maui Stats gives a look at median prices, sales volume, pending sales and a few other notable numbers from the October Maui Real Estate Sales activity. We also give our thoughts on some of the more eye catching numbers and what it all means for prospective buyers and sellers. Without further ado, here are the October numbers.
October Maui Real Estate Sales Volumes and Medians
By my count there were 83 homes sold in October at a median price of $566,000. Last October, there were 82 homes sold at a median price of $540,000. That calculates to a 1% increase in sales activity and a 5% increase in median prices.
Maui Realtors have reported 94 condo sales for October with a median price of $407,000. By comparison, there were 104 condos sold in October of 2013 with a median price of $360,000. That means that October 2014 was 10% lower in sales volume and 13% higher on price.
By my count, there were 14 land sales reported in Maui during October with a median price of $467,500. Last October, there were 23 sales with a median price of $370,000. That is a 39% drop in sales activity and a 26% increase in median price when comparing October 2014 to October 2013.
Notable Numbers from The October Maui Real Estate Sales
While compiling this month’s medians and sales volumes, I came across some other numbers that I thought were worth sharing. Here are some of the high sales and other notable closes from the October real estate transactions.
- The highest priced home to sell in October was located in Kihei. The 4,800 square foot oceanfront home on Halama Street closed for $5,750,000.
- That was one of four home sales over $2,000,000 in October. The other high dollar closes were in Wailea, Makena and Paia.
- The highest priced condo sale in October was at the Andaz Residences in Wailea. The three bedroom condo closed for $5,495,000. That is the third condo to close at Andaz and the first sale in eleven months. There are nine units still for sale in Wailea’s newest luxury beachfront condo development.
- There were 9 total condo sales over $1,500,000 last month including the Andaz transaction. Honua Kai had the most activity with five closes. There were also sales at Wailea Ekahi, Wailea Elua and Hoolei.
- The highest priced piece of land was a lot on the beach in Ka’anapali. The 1.16 acre parcel sold for $5,600,000.
- There were 11 bank owned transactions that closed in October. That is up from the seven that closed in October of 2013.
- Short sale transactions continue to be slow with 4 successful transactions closing last month. There were 24 short sales in October of 2013. This 83% drop in short sale transactions stems from improved equity positions for sellers.
The October Maui Real Estate Market saw the continuation of recent trends. Home sales are roughly keeping pace with last year, while condo and land sales are down. As discussed in the September stats, it appears as if a decrease in inventory for entry level condos is driving the decrease in condo activity. I did not delve into the land market in quite the same level of detail, but anecdotal evidence would also suggest that a shrinking inventory of lower priced lots may be contributing to the lower sales volume. Looking at the October 2013 sales, the totals from that month were buoyed by a large number of new development sales in Haiku. The lots in that subdivision were priced lower than other sales of comparable properties.
The one other number from this month’s stats that I found noteworthy was the high number of luxury condo sales. There had been a decrease in the sale of condos priced over $1,500,000 over the last couple of months including zero sales in that price range during September. I had a close eye on the October sales to see if this might be a trend or just variability in the market. It appears to be the latter. The nine total sales was buoyed by the continued strong interest in Honua Kai. There have now been 22 sales at Honua Kai over $1,500,000 since the start of the year.
October Pending Sales
For the most part, October sales stem from contracts that were agreed upon one to two months prior to closing. To get a better sense of more current buyer demand, we also documented the pending sales from last month.
It is interesting to see that home pendings are up significantly compared to last year. Condo sales continue to under perform compared to last year. Land pending appear to be down significantly, but a little digging helps explain the discrepancy. The October 2013 numbers were inflated by 14 contracts at the Peahi Hui development in Haiku. Buyers actually signed reservation agreements for that community dating back to June of 2013. Formal contracts weren’t penned until October when final subdivision approval was granted.
What Does This Mean for Buyers and Sellers who Are Interested in The Maui Real Estate Market?
Now that it is November, we only have about one month left until the start of our peak real estate season. As peak season approaches, what do the current conditions tell us about what buyers and sellers might expect? For buyers, it will depend in part on where you are searching in the market. There is quite a bit of variability in market conditions depending on price and location. In general, lower priced home and condo buyers are going to find limited inventory and a competitive market. Really well priced homes and condos in most market segments have the potential to attract multiple offers. There is typically more inventory to choose from and less competition at the high end of the market, but you may also find some more resolute sellers with the means to wait for pricing that fits their needs. Sellers will need to take into account market conditions in their particular neighborhood and price point when considering a go to market strategy. Overpriced properties are sitting in this market. If a seller needs to or wants to sell quickly, they need to price as close as they can to recent comparable sales. Contact The Maui Real Estate Team if you are considering buying or selling property on Maui, we would welcome the opportunity to sit down with you for a free consultation to discuss your real estate needs.
Maui Real Estate Blog
Wailea and Makena Market Report
The South Maui Resort Community of Wailea is world renowned for it’s beautiful beaches, great golfing, fine dining, shopping and more. Makena is located just to the South of Wailea Resort. It offers its own stunning beaches, golf and a quieter setting. Both areas offer exclusive real estate and some of the most expensive properties on the island. While we are well past the first of the year, we wanted to provide a market update looking at how Wailea and Makena performed during 2012. We also give some thoughts on the 2013 market outlook.
There were 25 home sales in Wailea and Makena in 2012 at a median sales price of $1,410,000. By comparison, the 2011 numbers were 29 home sales at a median price of $2,100,000. That calculates to a 14% decrease in activity and a 33% decrease in median price.
There were 114 condo sales in Wailea and Makena during 2012 with a median sales price of $757,500. There were 101 sales in Wailea and Makena during 2011 with a median sales price of $900,000. That is a 13% increase in activity and a 16% decrease in median price.
There were 5 land sales in Wailea and Makena in 2012 at a median price of $875,000. The 2011 Wailea and Makena Land sales figures were 5 sales at a median of $2,000,000.
Here are a few other numbers of note that I thought were worth sharing about the 2012 Wailea and Makena Real Estate Market:
- The high home sale for the year was $9,850,000 for an oceanfront home in Makena Place. Also of note, there was an estate along Keawakapu Beach that closed for $23,000,000. This was classified geographically as a Kihei closing, but that area is often thought of as part of Wailea. About half the sales closed along that stretch of beach are classified as Wailea sales while the other half are Kihei closes.
- There were a total of eight home sales over $2,000,000 in Wailea/Makena. There were fifteen $2,000,000 plus sales in the area during 2011.
- Four of the twenty-five home sales were in Makena. There were six Makena sales in 2011.
- The low home sales price was $775,900 for a bank owned home in Wailea Pualani.
- The high condo sale was $5,992,000 for a three bedroom/three bath unit at Wailea Beach Villas
- There were 28 condo sales over $1,500,000 in 2012. By comparison, there were 41 condo sales over $1,500,000 in 2011.
- Grand Champions was the Wailea condominium with the most sales activity. There were 16 closes in 2012.
- There were nine bank owned sales in Wailea and Makena during 2012. There were twelve bank owned sales in 2011. Wailea and Makena have not seen near the number of bank owned listings as other communities.
The Wailea and Makena Real Estate markets saw improved overall activity during 2012 overall. Much of this increased activity occurred at lower price points for this market. The sharp dip in median prices for homes and condos reflect a slow down in activity at higher price points in the market. There was a 47% decrease in homes sold over $2,000,000 and a 32% decrease in condos sold over $1,500,000. This is in line with some of the trends we saw island wide.
What will 2013 bring for the Wailea and Makena Real Estate markets? We have the advantage of almost two months of activity to get a sense of what is happening in the market. For home sales, we are seeing signs of improvement. There are already four homes sold with six more pending sales. Of note, six of the pending or sold homes are priced over $2,000,000. If we were to continue at this pace, it would bode well for ultra luxury homes in Wailea and Makena.
The Wailea and Makena condo market appears to be following a similar pace to last year. There are 38 condos that have either sold or are currently pending in the area. The ultra luxury condo market does not appear to be taking off at the same pace as the ultra luxury home market with only five condos over $1,500,000 that are either pending or sold since January 1.
Some markets around the island have a muddled 2013 outlook due to a lack of inventory. What about Wailea and Makena? The chart below shows the Wailea and Makena home inventory by price point and compares it the 2012 Wailea and Makena Home Sales by price point.
The Wailea and Makena home market still has over a year’s worth of inventory based on last year’s absorption rates. The lower price points of the market are the only places were scarcity could be an issue at this point. There is only one active listing under $1,000,000 compared to the six sales in that price range in 2012. There is only one active listing priced between $1,000,000 and $1,250,000 compared to three sales in 2012. I surmise that this is going to be a price range with very limited opportunities during 2013. Bank owned opportunities are likely to be few and far between, and we may well see some upward price pressure. As you get higher in price, the options increase. Over $2,000,000, there is a few year’s worth of inventory based on last year’s absorption rate. That being said, it looks likely that absorption rate may be increasing based on early 2013 activity.
The chart below looks at 2012 Makena and Wailea Condo sales by complex and compares them to the current active inventory of Wailea and Makena Condos.
The Makena and Wailea Condo market appears to have a similar outlook for 2013 compared to the home market. Lower priced condos like Wailea Fairway Villas and Grand Champions are showing increased scarcity. As a result, you are seeing some upward price pressure. As you move to the condo complexes with higher price points, you start to see greater depth of inventory. One thing that differentiates the condo market is that there are two new developments on the market in 2013. The Suites at Wailea is a new offering that just came on the market in January. This low density vacation rental is situated at the top of Wailea. It is a unique offering in that there is a special focus on services and amenities. All owners will be required to purchase membership in Club 72. Club 72 membership provides access to the health spa, preferred dining at Capische Restaurant, Cooking classes, valet services, limo service and a lot more. The one bedroom condos at the Suites at Wailea Start in the low $600,000s. While the offer price is relatively low for Wailea, the monthly association and Club 72 fees come in at approximately $2,000 a month. Initial market feedback has been relatively tepid. It will be interesting to see if the market wraps it’s head around this amenity heavy offering.
The other new condo development that came on the market in January is Andaz Wailea. This much anticipated beachfront resort is situated on 15 acres on Mokapu Beach. There will be a traditional luxury hotel component and 19 luxury villas on the property. Twelve of the luxury villas are included in the initial offering. The villas will range in size from just under 2,000 square feet to over 4,000 square feet. Pricing ranges from just over $5,000,000 to over $11,000,000. Andaz is still under construction with the hotel set to open during the summer of 2013. The residences are expected to be completed a little later in the year. These ultra luxury condos are not being listed on the multiple listing service, but the developer is currently taking binding reservations. Contact The Maui Real Estate Team if you are interested in learning more about the villas listed for sale at Andaz Wailea.
Andaz Video Preview
What does all of the above mean for those who are interested in buying a property in Wailea and Makena in 2013? Buyers shopping for condos under $1,000,000 or homes under $1,500,000 will find that they have limited inventory to choose from. Well priced homes and condos in this range tend to go quickly when they do come on the market. As buyers go up in price range, the inventory and increases quite a bit. Ultra Luxury condo buyers in particular have a lot to choose from between Andaz and existing offerings like Wailea Point and Wailea Beach Villas. That being said, I would be hard pressed to call it a true buyer’s market. Many of the sellers in this market have deep pockets and can afford to wait for more favorable market conditions. Sellers who are considering entering the market, will need to adjust their strategy in part based on their price point and their urgency. Sellers who are anxious to redeploy their capital will likely need to price aggressively to ensure a shorter time on market.
The Makena and Wailea Real Estate markets offer a lot of options for interested buyers. Contact The Maui Real Estate Team today for a free consultation that will help you identify potential properties that might fit your needs. You can check out the full inventory of Makena and Wailea Homes for Sale, and Makena and Wailea Condos for sale on MauiRealEstate.com.