Maui Real Estate Blog
Paia Real Estate 2015 Midyear Market Update
Paia town has grown in acclaim over the last 15 years. Back in the 80s and 90s, Paia was only really a destination for windsurfers. It is still a big draw for water sports enthusiasts, but now it attracts a broader cross section of people. People are drawn to its plantation style charm, bohemian vibe, assorted boutiques, good restaurants and yoga studios. Paia has been featured in national publications and made lists as one of the Best Beach Towns in America. While demand and awareness has grown for Paia Real Estate, the community has seen very limited growth in housing inventory over the last 20 years. North Shore Village was the last new development in the town, and construction on that community was completed in 2003. Prospects for increased housing inventory remain limited in the near term as the community is hemmed in by cane fields. The static supply and growing demand has helped to fuel strong growth in pricing.
Earlier this week, we did a midyear update on the Spreckelsville market. Today, I wanted to look at the community of Paia. Spreckelsville is actually considered to be a neighborhood of Paia. Properties in Sprecks are part of the Paia MLS listings. Last year we decided to split the communities of Paia and Spreckelsville when we did our market analysis. We feel that they are different enough markets that they merit a separate discussion. This post will look exclusively at Paia and the neighborhood/community of Kuau located just to the East of Paia.
The map above shows the homes that sold as well as the homes that are currently under contract. If you click on the individual pins, you will find information on the sales price, closing date and property specifications.
There were 9 homes sold in Paia during the first six months of the year with a median price of $599,000. There were 5 homes sold in the first six months of 2014 with a median price of $644,500. There was also a condo sold at Kuau Plaza in the first half of 2015 compared to two condos sold during the first half of 2014. There were no land sales in Paia thus far this year compared to one during the first half of 2015. There were some other things that I thought were notable about the Paia Real Estate market during the first half of the year.
- The Skill Village area was the busiest neighborhood for sales activity with three sales and an additional four home sales pending currently. Kuau Point also saw three homes sell, although one of those sales was a private sale that did not involve Realtors.
- That private sale closed for $1,200,000. That was the highest priced transaction in Paia to start the year. The property is located at 4 Kaiholo street right next to Mama’s Fish House. Based on Public Records, it appears as if it was purchased by the owners of Mama’s.
- There was only one other sale over $1,000,000 in Paia during the first six months of 2015. It was for a four bedroom, two bath condominium home on Kuau Point.
- Kuau Bayview was quiet in terms of sales activity with only one close and no properties currently listed on the market. That said, the one sale was a new record high for the neighborhood.
This was a pretty good first six months of the year for the Paia Real Estate market. The bulk of the activity was focused on the entry level of the market. It was the increased activity with lower priced properties that drove the decrease in median sales price compared to last year. If anything, the increased activity at lower price points has resulted in rising prices. Neighborhoods like Skill Village and Lower Paia are right below the all time high sales prices that we saw in the last real estate boom. There are potentials for records to be broken among the pending sales.
While the low end market saw strong activity, the Paia high end market and specifically the oceanfront market have been quiet. There have been nine different properties listed for sale on the ocean during the first six months of the year. There are eight oceanfront homes listed currently. There have been no sales and no properties under contract. You can get a sense of the location and additional information on the current Paia oceanfront home inventory via the map below.
With eight ocean and beachfront homes on the market, Paia has more oceanfront inventory than any other community on the island. Many of those homes have been on the market for a considerable amount of time. I would imagine that there might be some opportunity for oceanfront buyers based on the depth of inventory. It will be interesting to see if any buyers step forward for these properties before the end of the year.
The overall Paia market looks like it will continue to see a fair amount of activity at lower price points. There are 5 properties under contract under $700,000 as it stands currently. That part of the market has the potential to cool off if expected interest rate increases occur sometime in the fall. There is a bit of gap in inventory between the entry level of the market and the oceanfront inventory. There are only two properties listed for sale for more than $700,000 that aren’t oceanfront. This could be a good time to go to market for potential sellers in Kuau Bayview or for non-oceanfront owners along the ocean side of Hana Highway. Well priced properties in those areas should be attractive to buyers. You can see the current Paia Real Estate Inventory on MauiRealEstate.com. Contact The Maui Real Estate Team if you have questions on Paia or need assistance buying or selling property. Our office is located in downtown Paia. We keep a close eye on the market and our ears open for unlisted properties.
Maui Real Estate Blog
Great Value in Kuau Bayview
We just reduced the price on our listing in the Kuau Bayview Neighborhood in Paia on Maui’s North Shore. This home is a great value with a list price significantly below a recent appraisal. This home is move in ready with new bamboo floors in the kitchen and living areas. The interior and the the exterior trim have a fresh coat of paint. This home was the only one built by the original developer with a “Hawaiian Rose” floor plan. The owner has since added on a permitted bedroom and living room on the second floor as well as substantial additional lanai space. Between the lanai areas and surprisingly spacious yard area, there is plenty of opportunity to enjoy the beautiful weather of Maui.
Kuau Bayview is a highly sought after neighborhood. Owners love the location. You are within walking distance of the restaurants, shops, yoga studios and galleries of Paia town. You are also a short walk to Beaches at Paia and Tavares Bay. Surfers, windsurfers, kiteboarders, and Stand Up Paddlers appreciate being a short drive to Ho’okipa, Baldwin Beach, Kanaha and other local surf spots. The quiet cul-de-sacs of Kuau Bayview are great for kids as is the community park at the top of the neighborhood.
This move in ready Kuau Bayview home is now offered for $699,000. The sales price is firm and the home is being sold “As-Is”. Check our the 52 N Laelua Listing Page for additional photos and details on the property. Contact The Maui Real Estate Team today to arrange a showing.
Maui Real Estate Blog
Paia Real Estate Market Mid Year Update
Having passed the half way point of 2012, I thought it might be worth taking a look at how some of the real estate markets around the island are performing. There is no better place to start than Paia town where the Maui Real Estate Team office is located. When speaking of the Paia market, we also include the Spreckelsville and Kuau neighborhoods that are adjoining Paia. These Maui North Shore communities are popular due to their central location; access to great ocean sports; and the charms and character of the shops, galleries and restaurants of Paia. Here are the numbers followed by some thoughts on the Paia Real Estate market.
There were 16 homes sold during the first half of 2012 at a median price of $457,500. Last year, there were 14 sales at a median price of $567,000. That is a 14% increase in volume and a 19% decrease in median prices. There was one condo sold in the Paia area in the first six months of 2012. There were none sold during that same period last year.
Here are a few other numbers worth noting from the first six months of real estate sales in the Paia area.
- There were a total of five properties sold in the Spreckelsville neighborhood in the first half of 2012. That is up from three sold during the first half of 2011.
- There was one oceanfront sale during the first six months of 2012. By comparison, there were two during the first six of 2011.
- There were three bank owned sales (REO) and three successful short sales during the first half of 2012. During the first half of 2011, there were three shorts and three REO sales.
- The high and low sales for the first six months of 2012 were $2,520,000 and $150,000 respectively. The high and low for the first six of 2011 were $1,950,000 and $182,000.
- There were three sales in the popular Kuau Bayview neighborhood. There were two during the first six months of 2011.
With the small sample size of the Paia market, some of the differences between the two six month periods could be just as much a reflection of variability as they are any distinct market trends. Looking purely at the numbers, one might expect that values dropped considerably over the last year with 19% decrease in median prices. I would suggest that difference is based as much on variability between the properties sold as it is a reflection of any decrease in values. Prices may be down some when compared to early 2011, but the lack of true apples to apples comparable sales makes it hard to quantify the change accurately. Demand appears to be up slightly. This may be statistical noise, but there is also some anecdotal evidence to support this claim. Many of this year’s sales have gone under contract quickly and/or attracted multiple offers.
With less than six months to go, what can we expect for the rest of 2012? There are currently twenty-three homes for sale in the Paia area. Of the twenty-three listed, five of those properties are pending. Of note, all five pending are short sales. Two of the five short sales have been under contract for over a year. Among the eighteen active homes, seven are listed for over $2,500,000. That is a pretty good sized inventory of luxury homes for limited demand. Conversely, the inventory is tight under $2,500,000. The eleven properties listed for sale is less than six months supply based on absorption rates for the first part of the year. That doesn’t necessarily mean all of the current lower priced inventory will be snatched up over the next six months. Buyers are still looking for values in this market. While you may see a few reaches on quality properties, many buyers are waiting for the right property at the right price.
In addition to the homes listed for sale, there are four condos and two vacant lots for sale. The majority of the condos are at the Kuau Plaza building near Mama’s Fish House. There is one relatively rare offering at Sugar Cove in Spreckelsville. Both of the lots for sale are in Spreckelsville.
Contact The Maui Real Estate Team if you are in the market for Paia Real Estate. This is our backyard and we know the market very well. We would welcome the opportunity to discuss your Paia real estate needs.
Maui Real Estate Blog
Price Reduced on 706 Hana Highway in Paia
We just reduced the price on one of our listings in the Kuau area of Paia. This property is situated in the heart of Kuau, just a short walk to Mama’s Beach and the water sports of Kuau Point. You are short bike ride to Ho’okipa Beach Park and Paia town. The main home is classic, 1950s Hawaii Plantation style with fir floors and an open floor plan. Outbuildings include a detached carport, an old detached two bedroom ohana and a separate garage with a laundry and bath that serve the ohana. The property has two water meters in place and the sellers have received preliminary subdivision approval. This offers some interesting possibilities for buyers with patience and capital.
This home is now being offered for $650,000. This is a short sale. The sellers are licensed Realtors. Check out the listing page for additional photos and details on the property. Contact The Maui Real Estate Team to arrange a showing.