The first seven days of July was the strongest week for real estate activity during Covid-19. The seven day period between the 8th and the 14th was considerably quieter. New pending sales were down substantially. Sales were up slightly. It was another week when a substantial amount of new inventory came to market. Keep reading for more details on this week’s numbers.
This Week’s Pending Real Estate Sales
Maui Realtors reported 41 new pending sales during the seven day period between July 8th and 14th. That is down 34% from last week. It is 23% lower than the same seven day period of 2019. While this week’s numbers dropped somewhat precipitously, I am reticent to read into things too much. One week does not make a trend and the chart above shows plenty of fluctuation.
Notable Numbers from this Week’s Pending Sales
- This week’s new pending sales include 16 homes, 19 condos and 6 lots.
- The dip in pending home sales was particularly pronounced after 38 pending home sales last week. This was the slowest week for pending home sales since the doldrums of April. My gut tells me that this is more a function of variability than the start of a trend. We will see over the coming weeks.
- Of the 19 condos that went under contract, 14 were vacation rentals. This comes on the heels of two weeks when there were fewer vacation rental pending sales.
- This is the third straight week of 6 new pending lot sales. This is a bump from earlier in the pandemic when we were averaging just under 2 pending lot sales per week.
- There were three pending sales over $2,000,000 this week. That includes an oceanfront home in Kahana listed for $15,500,000. That is the highest priced home to go under contract on island since Covid-19.
This Week’s Closed Transactions
Maui Realtors reported 33 sales in the last week. That is up 22% from last week. It is 45% below the same seven day period of 2019. With the exception of the last week of June, sales numbers have been pretty consistent over the last four or five weeks. It seems like we are due for a bump in sales sometime in the coming weeks as the properties that went under contact in early June begin to close.
This Week’s New Inventory
Maui Realtors brought 83 new listings to market this week. That is down 12% from the week prior and 9% from the same seven day period of 2019. It is worth noting this is still the second biggest week for new inventory on the chart above including the seven day period in late February and early March.
The biggest increase in new inventory was in the condo market with 50 new listings. It marks another week that there were far more new condo listings then pending sales. While we aren’t seeing any price decreases, there is a notable increase in inventory in some condo developments around the island. Those include a handful of vacation rental condo complexes and a couple of entry level condos complexes in Kihei.
There were 27 new home listings that came on the market last week. That is a small bump over the number that went pending last week. That said, home inventory remains relatively tight across most areas of Maui.
The land market only saw 5 new listings. That is less than the 6 pending sales last week. Overall, the land market is seeing a net increase in inventory, but it has not been substantive enough to impact pricing.
A Couple of Big Picture Comments
It is worth noting that the state has delayed the reopening of Hawaii to tourism. The mandatory 14 day quarantine will remain in effect through the end of August. With testing challenges and more widespread outbreaks on the mainland, the state will need more time to ensure a safe reopening.
Its unclear what the net impact of the delayed reopening will be on the real estate market. It will have an impact on the local economy. Some vacation rental condo owners will feel a little more pain as it postpones a resumption of income. For some thinking of relocating to Hawaii because it feels like a safe haven, the delay may heighten Maui’s appeal. Prognosticate with certainty at your own peril.
Contact The Maui Real Estate Team
Our office continues to remain busy helping buyers and sellers close transactions. Contact the Maui Real Estate Team if you are thinking of buying or selling property on Maui. We welcome the chance to connect and learn more about your needs.
