Maui Real Estate Blog
Unofficial April 2013 Maui Real Estate Statistics
April is a transitional month on Maui. Winter waves become more scarce on the North Shore. The Jacarandas and silk oaks really begin to bloom Upcountry. Mangoes begin to ripen in South Maui and Lahaina. We also see the end of our peak visitor season and the end of our “traditional” peak season for real estate activity. This peak season has seen pretty healthy market acivity. Buyers have been actively seeking out deals and trying to take advantage of the great interest rates available. Demand is no longer the market’s biggest problem. We are now seeing supply issues in quite a few market segments. With all of that in mind, I wanted to provide you with a sneak peak on how the Maui Real Estate market performed last month. Here is some information on sales volumes, sales medians and other numbers that I found to be of interest.
By my early count, there were 77 homes sold last month in Maui County with a median sales price of $500,000. The April 2012 numbers were 79 sales at a median price of $469,000. That is a 3% decrease in sales activity compared to last year and a 7% increase in median sales price.
I counted 142 condo sales last month with a median sales price of $369,995. Last April, there were 129 condo sales at a median price of $399,000. That calculates to a 10% increase in activity over last year and a 7% decrease in median sales prices.
Maui Realtors have reported 14 land sales thus far for April 2013 with a median sales price of $497,500. In April 2012, there were 8 land sales with a median price of $365,000. That is a 75% increase in sales activity and a 36% increase in median sales price.
In addition to the numbers reported above, here are a few other numbers that I came across while compiling the statistics that I thought were worth sharing.
- The high sales price for a home during the month of April was $8,150,000 for an estate property in the One Palauea Bay subdivision in Makena.
- That was one of four sales over $2,000,000 in Maui County during the month of April. By comparison, there was only one sale over $2,000,000 in April 2012.
- The highest priced condo sale in Maui County last month was at Honua Kai Resort. A luxurious three bedroom unit at this West Maui beachfront resort sold for $4,450,000.
- The Honua Kai transaction was one of six condo sales priced over $1,500,000 last month. There were also six condo closes over $1,500,000 in April of 2012.
- One of the condo price ranges that saw a clear bump in activity was the $1,000,000-$1,500,000 price range. There were 14 sales in that range this year verses only 6 last year.
- The busiest condos for sales activity were Honua Kai, Hoolea in Wailuku and Wailea Ekahi. Hoolea is a new development that prohibits vacation rentals.
- There were 13 REO or bank owned sales that closed last month. Last April, there were 21 REO sales. That is a 39% drop in REO sales compared to last April. REO condos have become particularly scarce with only 3 REO closes last month. That is only 2% of the condo sales volume.
- There were 15 short sale transactions that were completed successfully last month. Last April, there 32 short sale transactions that were completed. That is a 53% decrease in short sale transactions.
The condo market highlighted this month’s stats. The 142 condo sales was tied for the second busiest month in the last five year. The only month to exceed that sales volume benefited from a significant volume of new development closes based on contracts originally signed back in 2005 and 2006. The high volume of sales was driven by increased activity in the vacation rental and second home condo markets. This activity helped to offset decreased activity in the lower price ranges of the vacation rental prohibited condo market. This segment saw sales decrease largely due to decreased inventory. With decreased inventory, the few offerings that came on the market at reasonable prices were snatched up quickly in bidding wars. These dynamics are pushing prices up steadily. The price increases are moving slowly from the bottom of the market to higher price points.
The home market saw a nominal decrease in activity due largely to decreased inventory. Demand is there for properties, but inventory is lacking particularly at or below Maui median sales prices. For example, just looking at Maui and excluding Molokai and Lanai there were 22 sales under $400,000 in April. Last April, there were 30 sales on Maui under $400,000. That is a 27% decrease in activity. Stronger demand at higher price points in the market offset most of the decreased volume at the low end.
What does this all mean for buyers and sellers? What can you expect over the next few months? Busy season may be over, but I wouldn’t expect real estate activity to sag much at all. In general, entry level properties in the different communities around the island are likely to see the most competition amongst buyers. Multiple offer situations are common on well priced properties. You will find pockets of competition in higher price ranges as well. The thinner the inventory, the greater the competition for properties. The competition is causing upward price pressure. Buyers should take steps to have necessary funds available and get pre-approved for financing if they don’t want to miss out on opportunities. Sellers will find that market conditions have turned in their favor in quite a few segments of the Maui Real Estate market. That being said, there are plenty of overpriced properties on the market that are languishing without interest from buyers. Sellers need to evaluate their time frame to sell and recent comparable sales to determine their best pricing strategy.
If you are interested in buying or selling Maui Real Estate, the Maui Real Estate Team would welcome the opportunity to meet with you for a free consultation. If you are interested in buying, tell us about your search parameters and we would happy to find inventory that might meet your needs. If you are thinking of selling, we would be happy to discuss market conditions in your neighborhood, share recent comparable sales and provide an estimate of your properties’ current market value. Contact The Maui Real Estate Team today to get started. We look forward to being of assistance.
Maui Real Estate Blog
Unofficial August 2011 Maui Real Estate Statistics
The Maui Real Estate Team hopes everyone had a great Labor Day Weekend. In between weekend fun, I took some time to sort through our Realtor’s Association database to look at last month’s sales activity. The numbers below are the “unofficial” Maui Real Estate statistics for August. They provide something of a sneak peak of what you will see in the official stats that will likely be released by the Realtors Association of Maui sometime later this week. As always, I always give some context for the numbers and a few thoughts on what they mean for the Maui market.
Thus far, there have been 81 sales reported for August 2011 at a median price of $410,000. By comparison, there were 69 sales in August of 2010 at a median price of $460,000. That represents a 17% increase in sales volume and an 11% decrease in median price when comparing this August and last August.
I counted 86 condo sales in August 2011 at a median of $266,000. The August of 2010 numbers totaled 81 sales at a median price of $310,000. That translates to a 6% increase in sales volume and a 14% decrease in median price when comparing this August to last August.
There have been 11 land sales reported in August at a median price of $180,000. This compares to 7 sales at a median of $387,500 during August of 2010. That translates to a 57% increase in volume and a 54% decrease in median price.
Short sales and Bank Owned Properties (REO) continue to be significant market drivers for Maui Real Estate. There were 55 REO sales and 19 short sales that closed last month. Of the 81 home sales, 42 were REOs or short sales. That is approximatley 52% of the home transactions. Of the 86 condo closes, 30 were REO or short sales. That equates to roughly 35% of the total condo sales. Two of the eleven land sales were REOs.
Looking at the numbers above, it was kind of a ho hum month with nothing too out of the ordinary among the sales figures. I was struggling with writer’s block earlier, but I was able to muster a few thoughts on the stats and some additional nuggets that I came up with while mining the data.
Overall, I see the continuation of some of the general trends we have seen throughout the year. Home sales outpaced the 2010 volumes, but not by huge margins. Medians continue to come in lower that the 2010 monthly medians. The dip in medians is accounted for by adjustments in value and a high volume of low priced closes driven largely by bank owned sales. August was a pretty big month for bank owned home sales with a total of 30 closes.
Condo volume for August of 2011 outpaced the volume for August of 2010 by a relatively small margin. That difference would have been a little larger were it not for for a bump in sales totals in August 2010 due to long term new development closes. As much as I hoped to never type the words “Honua Kai Effect” again, we saw it in play this month albeit on a much smaller scale. There were only two long term new developer contract closes in August 2011 versus ten in August 2010. Speaking of new developer closes, I would be remiss if I didn’t mention the impact of current new developer offerings. There were 17 additional new developer closes for condos this month. These were all based on recent contracts. New condo developments are offering good incentives and compelling prices to stay competitive in a buyer’s market.
Land sales volume has been down this year overall, but August 2011 outperformed August 2010. The median sales price for land was down pretty substantially when comparing August 2011 to August 2010. The monthly median of $180,000 was the one sales number that raised my eyebrows a little. At face value, this month’s median is a head scratcher considering that there is limited inventory available for under $200,000 on Maui. The nice thing with the small sample size for land is that it is easy to determine what is driving medians. I looked through the eleven sales and found an interesting cross section of closes. Among the sales were two lower priced parcels on Molokai, a one acre parcel with title and access issues in Wailuku and a small parcel in Wailuku that was formerly home to a large radio antenna. These one off purchases and a low number of high end sales helped to drive down the median. While we are seeing values slip in the land market, changes in medians do not mirror actual decreases in value.
I thought it was worth touching on the luxury market numbers I saw while combing through the stats. We have seen some pretty strong ultra luxury activity over the last couple of months. This August we saw three home sales over $6,000,000 including a new North Shore record of $9,600,000 for an oceanfront estate in Spreckelsville. That means we have now seen new record high sales for the island, the North Shore, Kapalua and Wailea/Makena this year. The three sales over $6,000,000 in August of 2011 compares to one sale over that price in August of 2010. On the land front, there was a big sale Upcountry with 236 acres closing for $6,250,000. This was the former Kula ‘I’o development that never quite got off the ground. High end condo sales were actually down a little this August compared to last year with five sales over $1,500,000 compared to six in 2010.
I thought it was worth noting that there were two luxury condo sales that really caught my eye. Both were under that $1,500,000 barrier that I used as a dividing line for luxury condo closes. A Na Hale O Makena unit closed for $925,000. That was the lowest priced close in the complex since 2003. There was also a Kapalua Ironwoods that closed for $1,100,000. You have to go back ten years to see prices in Ironwoods at that price level. These sales make for an interesting contrast with some of the record highs that we have seen in the luxury market. It is hard to draw too many conclusions from these two closes other than the fact that it is a pretty schizophrenic real estate market. You could also argue that ultra luxury record closes are not indicative of the performance of the overall Maui luxury market.
What does all of the above mean in the scheme of the greater Maui Real Estate market? What is the outlook for buyers and sellers? Overall, the data still seems to indicate that this is a buyer’s market. That being said, some buyers may find the inventory limited in some market segments. There can also be considerable competition for the best values that come on the market. Sales above asking price are common among the best bank owned deals. Buyers who require assistance with financing should contact a mortgage professional to get pre-qualified before beginning their search. There are some really good interest rates available, but strong credit and employment are necessary to take advantage of the better financing options. Buyers should also be aware that banks are closely scrutinizing the condition of the properties being purchased. Homes in poor condition may not be able to be financed or they may require some sort of renovation loan. Sellers need to closely evaluate their particular market segment when developing a pricing strategy. Some market segments still have excess inventory. Other segments may still be seeing significant competition from bank owned properties and short sales. In the condo market, new development offerings can also be stout competition for conventional sellers. In these market conditions, it pays to work with a knowledgeable, full-time Realtor. Contact the Maui Real Estate Team with questions or for assistance buying or selling Maui Real Estate.
Maui Real Estate Blog
Sugar Cove Condo for Sale
January 2021 – UPDATE: This condo is not currently listed for sale. You can check out our Sugar Cove page for current listings and information on the development. You may also contact the Maui Real Estate Team to see if we might be able to help you find a willing seller.
If you are a regular reader of The Maui Real Estate Blog, chances are you have seen a few photos and videos from the beach at Sugar Cove in Spreckelsville. It is a favorite play ground for The Maui Real Estate Team. Whether it’s surfing, sup, kiting, windsurfing, body surfing, boogie boarding, taking in a sunset or just having a picnic, The Maui Real Estate Team and family enjoys playing along this stretch of North Shore coastline. Up until today, you haven’t heard us talk too much about real estate and Sugar Cove. Sugar Cove has a small 18 unit luxury condominium complex that is right on the beach. These condos seldom come on the market. That is why we are particularly excited to announce that we have listed a Sugar Cove Condo for Sale.
With over 2,000 square feet of beachfront living, this incredibly spacious, 3 bedroom, 3.5 bath condo feels like a home. The immaculate grounds at Sugar Cove offer a gated, private community with the feel of old Hawaii. Sugar Cove is walking distance to the Maui Country Club and close to Pa’ia shopping and restaurants, the airport and other island amenities.
This rare Sugar Cove Condo for Sale is offered for $2,995,000. Contact the Maui Real Estate Team for additional information or to arrange a showing. Check out the Sugar Cove Condo for Sale listing page for additional photos and details.
Maui Real Estate Blog
Kuau Oceanfront Estate
Yesterday was Realtor Caravan for the North Shore of Maui. One of the featured properties was a spectacular oceanfront estate in Kuau. This approximately 1.283 acre property features two separate parcels, a primary residence of 7,384 square feet with an additional 3,053 square feet of lanai space, a pool, a spa, and a separate 2 bedroom cottage. I had my Flip Camera with me so I was able to shoot some video of this extraordinary North Shore Oceanfront Home for Sale.
Even with a much better camera (and videographer), I am not sure how well video captures the scale of the home and/or it’s quality of finishing. The list of materials and amenities used could fill a couple of blog posts. This Kuau Oceanfront Estate is listed through Equity One Real Estate for $15,500,000. The Maui Real Estate Team may represent you as buyers agents. You can check out the MLS information for additional photos and details on this one of a kind property. You can also check out MauiRealEstate.com for additional information on Maui Oceanfront Homes for Sale and the complete inventory of Maui Oceanfront Listings. For direct assistance, contact The Maui Real Estate Team today.