Maui Real Estate Blog

February 2016 Maui Real Estate Statistics

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

This chart compares the real estate sales volumes for Maui County during February of 2015 and February 2016

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.

This chart compares the number of properties that went pending in Maui County during February of 2015 and February 2016

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.

Pete Jalbert

Maui Real Estate Blog

Maui Luxury Home Market Update

Back when I posted the June Statistics, I promised a series of mid year updates on the real estate markets around the island. Mea Culpa. Sometimes, the rest of my work obligations get in the way of blogging. I have only been able to produce updates on Paia and Spreckelsville. Today, I wanted to turn my sights on the island’s luxury home market. Since it is the end of August, we are going to include all of the sales for the year date. We wanted to look at the volume of high end home sales around the island, notable sales and market conditions specific to some of the different neighborhoods and communities around the island.

Just from a methodology standpoint, I am classifying luxury homes as homes priced for $2,000,000 or more. We have used this $2,000,000 threshold for luxury homes regularly throughout our discussions of stats on this blog. That isn’t to say that there aren’t some very nice homes that have sold this year for less than $2,000,000.

Luxury Home Sales Volumes and Median Prices
There were 43 homes sold for $2,000,000 or more between January 1, 2015 and August 22, 2015. The median price of those sales was $3,196,000. Between January 1, 2014 and August 22, 2014, there were 45 homes sold. The median luxury home price for this period of 2014 was $3,800,000. When comparing this year to last year, there was roughly a 4% drop in sales volume and a 16% drop in median price. Just to be clear, the drop in median does not reflect any sort of change in values in the market. It is a reflection of the inventory sold.

Notable Maui Luxury Home Sales for the Year to Date
Here are some notable numbers that I thought were worth passing along from this year’s luxury home sales.

  • The highest priced sale thus far this year was for a home in the Keahou at Makena Subdivision. The 4 bed/ 4.5 bath home with 6,737 square feet of living space is located on 4.23 acres. It sold for a whopping $41,775,000. That isn’t just the high sales price for the year, it is the highest ever sale price for a home on Maui by a significant margin.
  • Including the Keahou at Makena sale, there were 8 sales over $5,000,000.
  • Wailea/Makena and Ka’anapali were the two busiest luxury home markets through the better part of the last eight months. Realtors reported nine sales in both of those markets.
  • Of the 43 luxury home sales for the year to date, 14 sales were either oceanfront or beachfront.
  • The 43 sales were spread among 12 different towns or resorts in Maui County. Hana and Molokai are two communities that haven’t seen all that many $2,000,000 sales over the previous few years, but they each had one $2,000,000 plus transaction this year.
  • The 43 sales included one bank owned property and two short sales.

A Look at Selected Luxury Home Markets Around the Island
The Maui Luxury home market is fairly diverse. Buyers typically focus their search on one or perhaps two areas of the island. With that in mind, we want to look at how some of the different areas around the island performed during the first eight months of 2015.

This chart compares the sales volume of homes over $2,000,000 around Maui County during the first eight months of 2014 and the first eight months of 2015.

Makena and Wailea
The Wailea and Makena area typically sees the most sales activity of any luxury community on island. That rang true during the first half of 2015 as it tied Ka’anapali for the busiest area for closes on the island. Digging a little deeper within the numbers, there were 8 sales in Wailea and just one sale in Makena. Within Wailea, there was a good cross section of neighborhoods that saw activity. There was a sale in Maluhia, a sale in Wailea Highlands, 2 sales in Wailea Golf Vistas, 2 sales in Wailea Golf Estates and 2 in Wailea Kialoa. The sales activity in Wailea was actually up a little from last year. There were 7 homes sold in Wailea proper in the first eight months of 2014.

Makena saw a drop in activity with the one solitary sale compared to 5 sales during the same period the year before. It is hard to say why there was a dip in sales in Makena. Some of that could just be a case of market variability and inventory. The one other factor that could be coming into play is the Makena Golf and Beach Club. This new development spearheaded by Discovery Land Company is located at and around the current Makena Golf and Beach Resort. This new community is set to be Maui’s most exclusive and high end luxury development to date. There are no single family homes for sale in the community yet, but there are some very high end home sites on the market in Maluaka Estates. There has been one lot sold and an additional three lots are under contract. All four lots have prices of $10,000,000 or more. It is possible that some of those buyers may have been potential buyers for other Makena properties. That said, Discovery Land Company is known to have a loyal following that might draw buyers who might not have otherwise looked at Maui.

I thought it was worth briefly revisiting the high sale in Makena. The sale at Keahou smashed the old Maui sales record by $14,700,000. I will be honest, the sales price is something of a head scratcher. The neighboring property is on a smaller piece of land and the house is 1,200 feet smaller, but it is currently listed for sale for $13,400,000. It seems like quite a stretch for there to be a $28,375,000 difference in value between the two homes. As much as it makes the new listing seem like a value, I think it points to the big sale as something of an outlier.

It will be interesting to see what happens over the rest of the year in Wailea and Makena. There is still a fair amount of inventory for buyers to choose from. There are twenty active home listings on the market currently with 7 properties in Makena and 13 in Wailea. Check out the full inventory of Makena and Wailea Homes for Sale on MauiRealEstate.com.

Ka’anapali
Ka’anapali had a pretty strong first eight months of the year with 9 total sales. That is up a little over the seven sales last year. The sales came from six different neighborhoods within Ka’anapali. There were 3 sales in the Pinnacle Neighborhood, 2 in the older section of Ka’anapli Golf Estates, 2 in the Summit at Ka’anpali, and a single sale in both Ka’anapali Hillside and Ka’anapali Coffee Farms. The high sale for the year to date was $3,500,000 for a four bedroom, three and a half bath home with 3,715 square feet of living space on a .65 acre lot in the Pinnacle.

There are 13 homes actively listed for over $2,000,000 in Ka’anapali. That should give buyers who prefer Ka’anapali some pretty good options. You can see the full inventory of Ka’anapali Homes for Sale on MauiRealEstate.com.

Kapalua
Kapalua has been the third busiest luxury home market this year with 7 closes over $2,000,000 for the year to date. All of the subdivisions of Kapalua with the exception of One Kapalua Place have seen sales activity thus far this year. There were 2 sales in Pineapple Hill Estates, 2 sales in Pineapple Hill, 2 sales in Plantation Estates and a single sale in Honolua Ridge. The high sale was $5,700,000 for the Honolua Ridge property. For a price tag of $5,700,000, that buyer now owns a four bedroom, five and a half bath home with 6,509 square feet of living space on a 2.82 acre lot. It has stunning views overlooking the renowned Honolua Bay.

The Kapalua market currently has 29 homes actively listed for sale. This is the biggest inventory of luxury homes of any of the communities around the island. This makes for an excellent selection for potential buyers. That may also allow for some opportunities. Typically, high end sellers have more staying power and will hold out for a premium. That said, you could make an argument that we have already seen a premium property go at a substantial discount with this year’s high sale in Kapalua. The home in Honolua Ridge sold for $4,000,000 below its original asking price and $1,995,000 below the list price at the time that it sold. You can see the full inventory of Kapalua Homes for Sale on MauiRealEstate.com.

Lahaina
There are two parts of Lahaina where high end home sale activity tends to be concentrated. The first is along the oceanfront. Homes along Front Street and Baby Beach typically start over $2,000,000. The other area is just south of the town in the neighborhood of Launiupoko. Launiupoko has been one of the stronger markets for high end sales over the last couple of years. There have been five sales in Lahaina thus far this year. Three of the sales have been in Launiupoko and two have been oceanfront homes. The highest priced sale was $3,500,000 for a 4 bedroom, 4 bathroom residential condominium with 3,675 square feet of living space on 8.513 acres.

There are 16 active luxury home listings for sale in Lahaina at this time. Eleven of the homes are in Launiupoko with the rest located along the ocean. Lahaina is another market where buyers have some pretty good options. Check out all of the current Lahaina Luxury Home listings on MauiRealEstate.com.

Upcountry
The Upcountry area of Maui tends to see fewer high end sales than the resort communities of the island. That said, there are some pretty spectacular estates located along the flanks of Haleakala. Kula and Olinda are places where you will see some bigger acreage estates. There are also some homes along Baldwin Avenue below Makawao that fit the luxury home mold. The first eight months of the year have seen only two sales above the $2,000,000 mark in the Upcountry Area. There was one sale in Kula and one sale in Olinda. Last year, there was just one sale over $2,000,000 in the Upcountry area in the first eight months of the year.

The highest priced sale Upcountry for the year to date was $3,500,000. That was for a 24 acre estate in Olinda. It included a 3,300 square foot, three bed, three bath home and a separate two bedroom cottage. The 24 acres property included three separate parcels of land all with their own water meter.

While there haven’t been a lot of high end home sales Upcountry this year, there has been an uptick in buyer activity over the last two months. There are four homes in Kula listed for $2,000,000 that are currently under contract. That is more than anywhere else on island. There are an additional 16 homes listed for more than $2,000,0000 currently on the market Upcountry. That means a pretty good selection for high end buyers looking for more privacy or a different feel than the resorts or the beach. You can see all of the Upcountry Luxury Home listings on MauiRealEstate.com.

North Shore
The North Shore of Maui has become an increasingly popular location for luxury home buyers over the last five years. Prior to this year, Paia and Spreckelsville was the focal point of high end sales while the Haiku market lagged behind. We saw something of a shift this year. The Spreckelsville market has had limited inventory, Paia has been quiet and Haiku has seen the strongest sales activity since the downturn began. There were three total sales over $2,000,000 through the first eight months of the year. Last year, there were six sales on the North Shore in the first eight month’s of the year. For this year’s sales, two were in Haiku and one in Spreckelsville. The Haiku sales were particularly notable as they were the first and second highest priced transactions for homes in that community. The highest sale was for the 38 acre Baldwin Estate. This historic property includes a 10 bedroom, 10.5 bathroom home with 8,716 square feet of living space as well as a number of outbuildings.

Buyers looking for North Shore luxury homes will find that market conditions are going to vary based on the specific community. Spreckeslville is arguably one of the only true seller’s markets for luxury homes on the island. There are no active home listings for more than $2,000,000. Over the last few years, roughly half of the homes that have sold in this neighborhood have sold before coming to market. Paia has been quiet and it currently boasts the largest inventory of oceanfront homes of any area on the island. I think there may be some values and/ or motivated sellers to be found among those listings. Haiku has seven active listings currently on the market giving buyers some good options. You can check out the current inventory of North Shore Luxury homes on MauiRealEstate.com.

Overall Maui Luxury Home Market Outlook and Thoughts
The Maui Luxury Home market continues to offer a broad cross section of homes for potential buyers. From the privacy of Upcountry Estates to Beachfront Luxury compounds, there is considerable depth of inventory. While a deep inventory typically gives buyers more leverage, that isn’t always the case with the luxury home market. Luxury home owners typically have the means to hold on to properties for longer periods of time and many are less likely to adjust their pricing. That said, there are still bound to be a few sellers out among the current inventory who may have higher motivations. The challenge is finding those sellers.

I would anticipate that the rest of the year will continue to see sales figures at or close to the levels we saw during the fall and early winter of 2014. While projected increases in interest rates have the potential to slow sales activity at lower price points in the market, the majority of the luxury sales involve cash transactions or private banking. The biggest threat to the high end market is the overall economy. If the recent stock market uncertainty continues, you may see some buyers postpone their purchases. Contact The Maui Real Estate Team if you are interested in buying or selling a luxury home on Maui. We would welcome the opportunity to sit down with you for a free consultation to discuss your needs.

Pete Jalbert

Maui Real Estate Blog

Unofficial February 2013 Maui Real Estate Statistics

February came and went in the blink of an eye. Wasn’t Valentines day just yesterday? It seemed like a busy month for the Maui Real Estate Team and the market in general. That being said, I want to provide more than just anecdotal evidence of market activity. That’s why I take the time to create our monthly unofficial Maui Real Estate statistics. This is a sneak peek at last month’s sales volumes and median prices before the Realtors Association of Maui releases their official sales numbers. In addition to the median prices and sales totals, I wanted to highlight a few other numbers that caught our eye while I was compiling the statistics. I also wanted to give my thoughts on the market and what buyers and sellers entering the market might expect. Without further ado, here are this month’s statistics.

Real Estate Sales Volumes for Maui County during February 2012 and February 2013.
This chart compares the February 2013 and February 2012 Real Estate Sales Volumes for Maui County, Hawaii

By my count, there were 64 home sales on island in February with a median sales price of $550,000. By comparison, there were 79 sales during February 2012 with a median sales price of $492,500. That means a 19% drop in activity compared to last year with a twelve percent increase in median prices.

I counted 100 condo sales in February of 2013 with a median price of $364,950. By comparison, there were 83 condos sold last February with a median price of $287,000. That calculates to a 20% increase in activity over 2012 with a 27% increase in median prices.

There were 12 land transactions reported last month with a median sales price of $575,000. The February 2012 numbers were 12 sales with a median price of $575,000.

Here are a few other numbers that I thought were worth sharing from when I was compiling this month’s stats.

  • The high sale for the month was $4,750,000 for a 5,018 square foot home in Wailea Golf Vistas.
  • That high sale was one of four single family homes that closed for more than $2,000,000 last month. By comparison, there were five $2,000,000 home closes on island in February 2012.
  • The high condo sale last month was $4,196,500 for a beachfront three bedroom at Coconut Grove in Kapalua.
  • That was one of two condo sales over $1,500,000 last month. By comparison, there were no sales over $1,500,000 last February.
  • There were 9 bank owned (REO) sales on island last month. There were 28 REO sales in February 2012. That is a 68% drop in bank owned sales activity. This is a continuation of a trend of diminished REO activity.
  • There were 15 short sales that closed in February. The February 2012 sales numbers included 26 short sale closes. That is a 43% drop in short sale activity. Short sale activity has fluctuated over the last year with no clear decline like we have seen with REOs.

After looking at the numbers above, I wanted to start with my thoughts on the condo market. There was a huge surge in condo sales towards the end of 2012. Some of that was driven by sellers anxious to close in 2012 due to uncertainty over taxes in 2013. Last month, we had a post new year hangover for condo sales. The condo market rebounded in February with a healthy bump in activity. I would anticipate a continuation of strong sales for condos over the next couple of months as we continue our peak visitor and real estate season. The two factors most likely to constrain sales are economic uncertainty due to the sequester and reduced inventory. There is more demand than there is supply when it comes to low priced condos on Maui.

The home market did not fare as well this month compared to last year. I can’t provide a definitive reason why, but I surmise that some of it may be related to reduced inventories. Most Maui communities are seeing tight inventories particularly when it comes to price ranges below $600,000. Last year, there were 625 sales in Maui County under $600,000. There are currently only 103 properties active for sale in that range. Based on last year’s absorption rate, that is just under two month’s supply of property. Supplies get even tighter as you go down in price. I would surmise we might be seeing more sales with more supply. There is strong demand at this point.

The lack of inventory on the low end is also having an impact on median prices. Fewer lower priced transactions means a higher median sales price. Last February, 40% of the transactions were priced below $400,000. This year, that number dipped to 33% of the transaction volume. There may also be some upward movement in median pricing due to price increases. The limited supply of homes is helping to slowly bump up pricing in the lower and middle ranges of the market. The upward price pressure is greatest were supplies are most constrained. That being said, there are some barriers in place that should cool the rate of appreciation. Many financed transactions are having a tough time with appraisal if the purchase price is much above recent comparable sales.

What does this all mean for buyers and sellers? Inventory remains the driving force in the market. Buyers who are looking in areas of tight inventory can expect a highly competitive market place. If you require financing, get pre-approved for your loan. Sellers are looking for strong buyers and that will help your cause if you are bidding in a competitive situation. Sellers are finding that market conditions are slowly turning in their favor after the difficulties of the last five years. That being said, buyer behavior isn’t the same as it was during the real estate boom. Most overpriced properties are sitting. I have seen a few properties with high listing prices go under contract. That being said, they may have challenges closing. We are seeing more than a few properties fall out of escrow due to low appraisals.

Contact The Maui Real Estate Team if you are considering buying or selling property on Maui. We would welcome the opportunity for a free consultation to discuss your real estate needs.

Pete Jalbert

Maui Real Estate Blog

Wailea and Makena Mid Year Real Estate Market Update

We may be almost midway through August, but I wanted to follow through on our promise to provide midyear market updates for a hand full of Maui communities. Today, we are going to cast the spotlight on the resort communities of Wailea and Makena. This corner of Maui is a a world renowned resort travel destination. Wailea and Makena are synonymous with stunning beaches, great golf, fine dining, luxurious resorts and high end shopping. All of these amenities combine to make Wailea and Makena desirable locales for second home owners. The following is a comparison of the sales numbers between the first half of 2012 and 2011 for the Wailea and Makena luxury markets.

This chart compares the Wailea and Makena Real Estate Sales volumes for the first six months of 2011 and 2012.

There were 17 home sales reported in Wailea/Makena with a median sales price of $1,635,000 during the first six months of 2012. During the same period of 2011, those totals were 10 sales with a median price of $1,472,500. That is a 70% increase in volume and an 11% increase in median prices. There were 58 condos sold in Wailea with a median price of $780,000 during January through June of 2012. The numbers for the first half of 2011 were 65 condos sold with a median price of $975,000. That is a 17 percent drop in volume and a 20% drop in median price. There was only one land sale in Wailea/Makena during the first six months of 2012. There were two during the first six months of 2011.

Here are some other noteworthy numbers for the first half of 2012.

  • There were three home sales in Makena during the first six months of 2012. By comparison, there were no sales in Makena during the first six months of 2011. On the other side of the coin, there were no condo sales in Makena during the first six months of 2012. There were four Makena condo sales in the first six months of 2011.
  • The high sale during the first six months of 2012 was $9,850,000 for a 4,155 square foot home oceanfront home in Makena Place. The high in the first six months of 2011 was $5,200,000 for a 5,967 square foot home in Wailea Golf Vistas.
  • The highest priced condo transaction in Wailea for the first half of 2012 was $5,992,000 for a 2,983 square foot unit at Wailea Beach Villas. The high condo sale in the first half of 2011 was $12,500,000 for a front row unit at Wailea Beach Villas.
  • The lowest priced home sale during the first six months of 2012 was $775,000 for a bank owned home in Wailea Pualani. The lowest priced home sale in the first half of 2011 was $900,000 for a home in Wailea Kai.
  • The lowest priced condo sale during the first six months of 2012 was $400,000 for a two bed/two bath unit at Grand Champions. Last year, the low priced sale was $360,000 for a one bedroom, bank owned unit in Wailea Ekahi.
  • There were a total of six REO sales and one short sale in all of Wailea and Makena during the first half of 2012. The numbers were eight REO sales and eight successful short sales in all of Wailea and Makena during the first half of 2011.

The most striking element of the Wailea and Makena numbers was the divergence in market performance between homes and condos. While activity was clearly up for home sales, the numbers trended down for the condo market. I can’t say there is a clear cut reason for the difference in activity. That being said, I have a few thoughts. Looking at the home side of the equation, the bump may be a case of buyers responding to values. At our broker Billy’s suggestion, I looked at original asking price vs. sales prices for homes in Wailea. Looking at the five highest priced sales, the difference between original asking price and sales price was 10%, 15%, 53%, 28% and 20% respectively. The 10% number difference between original list price and sales price on the Makena Place sale may actually be a little low. This home had been on and off the market without selling dating back to 2007. Back then, it was priced as high as $14,900,000. While I can’t say this unequivocally, it appears that buyers responded to these properties in part because of a perception of value. An increase in well priced properties may well be the driver for the increase in activity.

I think this is something worth noting for luxury sellers. There is still a pretty healthy luxury inventory on the market. The buyers like Peter Thiel are more an exception than a rule. Luxury buyers are showing that they are value conscious in this market. Motivated sellers may want to take heed and position their home so that it stands out as a value among the rest of the inventory.

The reasons for the decrease in activity in the luxury condo market are a little murky. In my search for answers, I compared the sales volume of individual condo complexes in the Wailea and Makena area. You can see this comparison in the chart below.

A comparison of sales volumes at the different condo complexes of Wailea and Makena during the first half of 2011 and 2012

There was one thing that stood out the most while looking at this chart. There appears to be a sharper decline in activity on the high end of the condo market. Among the places that saw sharper declines in activity, Wailea Palms is the only complex with a median less than $1,000,000. Other complexes with more notable declines included Papali, Wailea Beach Villas, Hoolei, Wailea Point, Makena Surf and Na Hale O Makena. All of these complexes are condos with median prices over $1,000,000 and in some cases well over $2,000,000. I looked back at all of the sales and my suspicions appear to be supported. There were 30 sales over $1,500,000 during the first six months of last year. This year that number shrank to 15 sales. What’s driving a high end condo slow down in Wailea and Makena? That’s tough to say. The decline in volume at Papali and Hoolei may stem from a decrease in inventory. These are new developments that have sold all but a few of the original developer listings. There is only one new developer listing remaining at Papali and the majority of the twelve listings at Hoolei are resales. With the rest of the luxury market, lack of inventory isn’t driving the decline in activity. There are an additional 39 condos on the market over $1,500,000. If these sellers are serious about selling, they may want to take a page from the book of Wailea luxury home sellers and start to sharpen their pencils.

The land market in Wailea and Makena remains limited. The one sale this year was for a property in Makena with upside development potential. There are fourteen vacant lots listed currently. Two of the fourteen are under contract. Looking at this inventory, many of these lots are resales. I can’t see a lot of activity in this market segment unless more of these listings become values in the eyes of buyers.

Contact The Maui Real Estate Team if you have questions or would like assistance buying or selling Wailea and Makena Properties. Search MauiRealEstate.com for the current inventory of Makena and Wailea Condos for Sale. You can also peruse the current inventory of Makena and Wailea Homes for Sale.

Pete Jalbert