Although the stock market recovered from a rocky March, the full impact of COVID-19 is now being felt across the local, national and global economy. As of May 7th, according to Hawaii News Now, more than 240,000 unemployment insurance filings have been filed with the state.
While the state, local business, and Hawaii families have pulled together in support of one another, the stay at home orders have dramatically slowed Hawaii’s economy and significantly impacted Maui’s real estate market.
The uncertainty of Hawaii’s future is weighing heavy on potential buyers. April only saw 46 homes enter escrow, a 58% decline from the same time last year. Average days on market for homes shot up 34% to an average of 155 days. New homes for sale plummeted by 42% to a meager 72 homes for sale; overall, total home for sale decreased by 19% to 420.
April totaled 124 new condos for sale, down 24% from April 2019. Condos entering escrow dropped by an astounding 72% to 39. Average days on market for condos increased by 48% to an average of 133 days. New condos for sale dropped by 25% to 124 condos for sale; overall, total condos for sale decreased by 1.3% to 540.
While the effect of COVID-19 varies widely from family to family, the overall real estate market is anticipated to feel the impact of social distancing orders, increasing unemployment, and consumers unwillingness to make large purchases.
However, not all is bleak on the real estate front. Some buyers may be in a better position than ever to make the most of current market conditions. Interest rates have hit 52 week lows and increased qualified buyers’ purchasing power.
The industry has adapted incredibly fast to latest technologies. We ourselves have developed innovative strategies to support buyers through our exclusive virtual home buying program and sellers through our extensive virtual home selling program.
Please interview me to be your trusted Maui Real Estate and Lifestyle Advisor. I was born 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.
Anthony Sayles R(S)