Low Inventory Drives 2017 Sales
According to the December 2017 real estate report released by the Realtors Association of Maui (RAM), Maui County’s residential home sales continues its upward trajectory. Median residential home sales reached $695,000, up 8.8% compared to 2016.
Condos also performed very well with a 7.2% increase to $445,000 for the end of 2017.
The main reason for significant price increases has been the low amount of supply, which is creating a stronger demand in the marketplace. Hawaii is not the only state to be experiencing this problem; across the nation are buyers faced with similar buying hurdles.
A one of a kind Wailea Highlands home the team sold last year
Over the course of 2017, the average number of residential properties on the market was 555, a decrease of 7.7% from 2016. Condo inventory was down even further into double digit figures were it saw a 17.4% decreased and an average of 723 condos for sale.
Also for the year, the number of new home listings rose to an average of 139 per month, an 8.6 percent increase, while new condo listings fell to an average of 165 per month, a decline of 9.8 percent.
Although there is a lack of inventory, single family homes have been coming to market more frequently; the average number of new residential listings was 139 per month, a 8.6% increase from 2016. The number of new condo listings took a dip where an average of 165 per month were listed, down 9.8% from 2016.
Buyer behavior quickly responded to the low shortage of inventory by making quicker decisions to write offers. On average, 98 homes per month entered escrow which was a 12.6% increase from 2016. Condos entering escrow also increased by 15.5% to average 127 per month.
Top row Ho’olei villa sold by the team in mid August
As expected, the increase in escrows correlates with shorter days on market. The average days on market for a home was 146, down 8.4% from 2016; condos spent an average of 154 days on market, a drop of 3.8%.
The quicker escrows translated to a faster closing rate of 91 homes per month in 2017, up 1.1%; while closed condos averaged 121 per month, an increase of 11%.
The strong demand is keeping sellers happy where they received 96.7% of their list price. Condo sale prices slightly bettered that by closing for 96.8% of asking price.
Analyzing 2017 as a whole, the data indicates a productive year for the Maui real estate market. Single family sales totaled 1099, a slight increase of 2.1% from 2016. On the other hand, condos experienced a monster year with a 10.8% gain of 1451 condos sold.
Maui Sales Break Down By Region
Single Family Home Sales
- Wailuku: 215, up 9.7%
- Kihei: 190, up 8%
- Kahului: 147, up 4.5%
- Haiku: 85, up 30.8%
- Kula-Ulupalakua-Kanaio: 79, up 23.4%
Single Family Median Home Prices
- Wailuku: $617,435, up 9.4%
- Kihei:$702,000, up 12.3%
- Kahului: $600,000, up 8.4%
- Haiku:$753,500, down 11.1%
- Kula-Ulupalakua-Kanaio: $849,000
- Kihei: 580, which accounted for 40% of all condo sales in 2017 and up 18.9%
- Napili-Kahana-Honokowai: 222, down 5.9%
- Wailea/Makena: 141, up 34.3%
- Wailuku: 133, down 9.5%
- Kaanapali: 129, down 13.4%
- Kihei: $373,050, up 10.3%
- Napili-Kahana-Honokowai: $417,500, up 4.5%
- Wailea-Makena: 1.15 million, up 7%
- Wailuku: $407,000, up 8.5%
- Kaanapali: 780,000, down 10.9%
- Number of Wailea condos for sale: 106
- Average asking price: $2,003,476
- Highest priced listing: $7,488,800
- Lowest priced condo for sale: $554,900
Contact a Maui Real Estate and Lifestyle Specialist
Ho’olei villas, we are also currently the in house “Sayles” team at Ho’olei Grand Wailea
Please interview me to be your trusted Maui Real Estate and Lifestyle Advisor. I was born in South Maui and raised on the island, and spend a considerable amount of time to inform my clients about the best deals currently on the market. Please do not hesitate to call me for your Maui real estate needs. I am more than happy to assist you in your home search.
Aloha,Anthony Sayles R(S) 808-280-6532 Anthony@DanoSayles.com