First Half 2018 Sales Sees Strong Foreign Buyer Influence
According to a report put together by Title Guaranty, it tells an interesting story. Although the 1st half of 2018 has seen 25% more sales than the same time in 2017, foreign buyers spent nearly twice as much. Essential foreign buyers in 2o17 were buying less property for higher prices, while 2018 they are buying more property for lower prices.
To look at some percentages, foreign buyers made up 3.9% of all 9724 properties sold in the 1st & 2nd quarter of 2018. Their total dollar spend represents just under 7% of the $7.1 billion spent in the first half of 2018.
Compared to the same time in last year, 2018 foreign buyers spent 24% less than what 2017 foreign buyers did. 2018 saw 375 sales, while 2017 saw 303 sales, but is still behind the all time 2016 mid-year high of 453.
The dollar volume for the first half of $485.4 million was a 74 percent increase from $278.5 million last year, but 10 percent below 2016.
Buyers by Country
The breakdown of buyers by country tell an interesting story and makes one wonder why there aren’t more Chinese buyers playing the Hawaii real estate game.
- Japan: 204 properties
- Canada: 118 properties
- Korea: 9
Buyers from Japan topped all foreign buyers in Hawaii with a total spend of $271.4 million which translate to a 25% increase in the number of sales sales and an 88% surge in dollar volume from last year. Japanese buyers still favor Oahu real estate than other island.
The bulk of the sales to Japanese buyers were on Oahu, while the majority of sales to buyers from Canada were on Maui.
Although over the last few years we saw a dip in Canadian buyers when their dollar weakened, they still remained strong with the purchase of 118. The data indicates a 37% jump from 2017, for a total of $139.4 million. Canadian buyers still Maui with a total of $70.2 million in purchases.
The third-highest sales to foreign buyers were to buyers from Korea, who bought a total of nine properties, all on Oahu, during the first half, which was two fewer than the same time last year. The amount they spent, $16.5 million, was more than twice the amount spent during the same period in 2017.
Contact a Maui Real Estate Specialist
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