In Hawaii we often use the maxim “no rain, no rainbows” to remember that the most beautiful moments come from challenging times. Despite the noticeable decrease in number of sales for condos and homes on Maui, there are still many bright spots in our market which give us optimism. Most notably, June sales still show healthy increases for sales prices, even when comparing to last year’s highs.
Condo sales on Maui continue to show strong growth and the June average sales price reached $1,289,358 which is up 24.87% from the 2021 June average ($1,032,482). This is despite the fact that the number of sales declined this month 38% compared to the same month last year.
See our updated list of Maui vacation condos for sale
One particular bit of good news for condo sellers is that more than 62% of sales in June were at or above list price. Only 50 out of 137 condos sold last month were below the sellers asking price. The majority of those price concessions were less than 5% under list price.
For home sales island-wide the average price in June went up to $1,837,627 which is up 5.92% from the 2021 June average ($1,734,816). The South Maui region, which includes the areas of Kihei, Wailea and Makena, was the bright spot in June for increasing home values. The average sales price for residential property in South Maui went up 25% to $3,620,440 (compared to June 2021 which was $2,886,965).
Check out our special guide to Wailea homes
There were 83 homes sold last month which is a drop of 24% from the previous year’s count of 110. It’s worth remembering that the current decrease in volume is actually more of a return to the normal number of home sales pre-pandemic – there were 87 homes sold in June 2019.
Both nationally and locally, there’s been a lot of recent press about residential markets going quiet and home sellers are certainly looking for guidance on where things are headed. Price reductions are one important signal of a changing market. Reductions are happening but not necessarily at the rate some are expecting: Out of 83 homes sold in June only 11 had price reductions before going under contract.
Rising mortgage rates are definitely putting downward pressure, especially on the residential housing market, because buyers are looking more carefully than ever at what they can afford.
Property condition and features matter now more than ever when it comes to justifying the home prices which, for the moment, are still holding fairly stable. The good news is that, even when there are rainy days in the Maui real estate market, we will be here to point out the rainbows and show you the best opportunities.
Contact a Maui Real Estate and Lifestyle Specialist
Beyond being a trusted advisor in the real estate market, your REALTOR should be a professional who recognizes their role in supporting your wealth building and wealth preservation. Helping to magnify wealth is one of the core values of The Sayles Team, a set of guiding principles for how we serve our clients at the highest level. As experts in the field, we are constantly learning and providing guidance about making the wisest choices for the future. If someone you care about needs guidance or recommendations, please share our contact information and we would be honored to help them! If you would like to receive our in-depth market update or would like an evaluation of your property’s value we would love to hear from you.
Anthony Sayles R(S)
Direct mobile: (808) 280-6532
Anthony@DanoSayles.com
Anthony Sayles R(S)
Direct mobile: (808) 280-6532
Anthony@DanoSayles.com