Well, you may have heard that home and condo sales here on Oahu are down 22.8%. It's all over the news and it's like "The Sky is Falling". Well, believe it or not, it's not all "Doom and Gloom". This is David Buck with Harcourts Island Real Estate here to give you the monthly market report for July of 2022.
As I started off, if you read all the local papers, they talked about this drop. 22.8% is a significant drop in transaction volume, which is not good for Realtors, because that's how we make money. With that said, I also found it interesting because it's probably the first time ever I've seen the exact same stat for homes and condos. Last month when we reported, we had a similar drop in the home market, but not in the condos. So, it's interesting to see that drop in transaction volume for the condos as well.
Single Family Market Report
First off, we're going to dive into the single family home market. There we saw on top of the drop of 22.8%, from a positive spin (for Sellers that is), the median sales price was actually up 11.6% from a year ago. A year ago, in July of '21 the median sales price was $992,500 and now it's at $1,107,944. I know that's a mouthful, but that's the median price for homes now here on Oahu. It's off the record by almost $150,000, but it's still up over 11% from a year ago.
Days on Market have increased from 9 to 11 Days, which is a 22.2% increase. It's still a Seller's Market, with only 11 Days to sell. Inventory, however is up 38.8%, which was real similar to last month where it was up about 39%. Months of remaining inventory were up 45.5%. Now, you might be like "Whoa! The market is crashing". Keep in mind, that's increase of 1.1 Months of Remaining Inventory to 1.6 Months. According to the National Association of Realtors, anything less than 6 months is still considered a Seller's Market. We still have a ways to go to go from 1.6 Months to a full 6 Months of Remaining Inventory. So, that's a recap of what's happening with the single family home market. I'll be up shortly to talk about what's happening with the condos.
Condo Market Report
As I mentioned earlier, sales were down 22.8%, however similar to the single family home front, prices were actually up. The median price was up 5.3% from a year ago and this is going to be a lot easier number to say than for the homes. It was $475,000 a year ago and now it is $500,000 for the median condo price on Oahu. Days on Market was a similar trend to the homes. It was up a bit - 9.1%, going from 11 to 12 Days. So, it's still great for Sellers.
Inventory was up 8.4%. It was not as dramatic an increase as the single family homes, however it was up 8.4%. Months of Active Inventory, which we talked about earlier was up 5.6%. That was going from 1.7 Months to 1.8 Months. Once again, that's quite a ways off of 6 Months, which is that barometer tipping to a Buyer's Market.
One of the things we've been talking about over the past few months is that dramatic increase in interest rates. Well, over the last several weeks, rates have actually started to go down. We're starting to see a little more uptick in activity and a little more buyer traffic as we round out the rest of this summer. I hope you enjoy the rest of your August. Stay cool and Aloha!