Local Neighborhood Update for Homes

Did you know that sales in Waialae-Kahala were up 67% since last year? This is David Buck with Harcourts Island Real Estate here to give you the local market update for September of 2022. Well, as I mentioned across the board, Waialae-Kahala saw the largest increase in sales, which was up 67%. That was going from 6 sales last year to 10 sales this past month. That's great news for Waialae-Kahala, however it's a different trend we're seeing across the board in that the single family home product (which we're talking about here). Sales were down in 16 of he 23 neighborhoods that the Honolulu Board of Realtors reports on. So, it's not all rosy. We're seeing a lot less transactions taking place, however Waialae-Kahala as everyone knows is a highly desirable place to be, so we're seeing a lot of trades take place there.

Downtown-Nuuanu saw the largest appreciation year over year in median sales price for single family homes. That was up 24%, going from $1,130,000 to $1,400,000. Meanwhile, the North Shore of Oahu saw a 39% drop in median sales price, which was by far the largest drop was saw in any neighborhood. That was going from $1,722,500 to $1,050,000. I'm not sure if that's got anything to do with Bill 41 or just less demand on the North Shore? Maybe just less trades taking place in general? That's something we want to keep an eye on because in the last market downturn around 207-2008, the North Shore really felt the pinch. Whereas, east Oahu held it a little bit more. So, we'll see if that trend continues if our market corrects. That was kind of unheard of for the single family product on the North Shore  

Local Neighborhood Update for Condos

Moanalua-Salt Lake saw the largest increase in numbers of sales year over year. That was up 35%, going from 20 sales a year ago to 27 sales this year. That's obviously showing strength for Moanalua-Salt Lake. I sold a unit at Country Club Village a few months back. It's a highly desirable area close to the airport and lots of military bases with Hickam, Tripler and Fort Shafter all right there. As we're talking about the condo transactions, they were down in 13 of the 23 neighborhoods. So, it's not as bad as the single family homes drop in sales.

Alright, so our final category is appreciation for condominiums on Oahu in September. Ala Moana-Kakaako saw the largest appreciation, which was up 72%! That was going from $405,000 to $695,000. You might ask yourself "How can I get a condo in Ala Moana-Kakaako that cheap"? But, there are some lower priced condos in the Ala Moana area such as Ala Moana Hotel, where you can get condotels that are relatively inexpensive. With that said, I wanted to cover Ala Moana-Kakaako. But, jumping back to the North Shore - depreciation in values saw the largest hit for single family homes on the North Shore. However, that was quite contrary to the condos on the North Shore, where they saw the 2nd most appreciation, which was going from $646,000 to $930,000, which was up 44%. That's a huge contrast to the North Shore homes. Here's some possible reasons why.

As we always talk about, every neighborhood is different. So, to find out what's going on in your particular neighborhood, give us a call and reach out. Aloha!

There's no doubt about it that condos on Oahu have appreciated well since the lockdowns of 2020, however there's no other area on Oahu that's seen as crazy a spike in prices as Turtle Bay has.

As we've reported on the monthly market updates on Oahu the last several months, condo appreciation has been in the low single digit range if any (two months ago, prices were down .3%). However, if you were to look at the 3 Kuilima Condo Complexes at Turtle Bay (Ocean Villas, Kuilima Estates East and Kuilima Estates West), you will see a complete different story!

Ocean Villas at Turtle Bay Prices up 32.7%

The bulk of the transactions that take place at the Ocean Villas are their 3 bedroom, 2 bathroom product.  On occasion, you'll see a studio or 4 bedroom sale. However, since those sales are rare, let's take a look at the 3 bedroom activity. In 2021 (there were no sales in 2020), there were 5 sales that took place that ranged between $2,320,000 and $3,300,000. Earlier in the year, I sold one for $2,550,000 and it didn't appraise. The Buyer had to bring in an extra $200,000 to get the deal done. My client was happy as we got achieved a record sales price. We never would have guessed what would have happened later with that $3.3 million sale! It just completely shattered all other prices. 

The average sales price in 2021 was $2,684,000. So far, this year, there has been 3 sales that have ranged from $3,375,000 to $3,378,000 for an average sales price of $3,564,333. That is a 32.7% increase since last year, which is leaps and bounds over the rest of the condo market on Oahu. The Ocean Villas was not alone. See what was happening at the Kuilima Estates condos below...

Kuilima Estates 1 Bedroom, 1 Bath Units up 36.9%

The Kuilima Estates (both East and West) saw a similar spike in prices. In 2021, there were only two 1 bedroom, 1 bathroom sales that were at $525,000 and a HUGE jump to $824,000. In 2020, the average price was $506,540. So far this year, there have been 7 (fee simple) transactions that range from $850,000 to $1,026,750! With an average sales price of $906,393, that is a 36.9% increase from last year's average of $662,000.

Kuilima Estates 2 Bedroom, 2 Bath Units up 49%

Unfortunately, there were not any 2 bedroom, 2 bathroom sales in 2021, however in 2020, there were 6 transactions that took place that ranged between $639,000 to $850,000. So far this year, there's been 9 sales that range from $1,150,000 to $1,734,000! In 2020, the average sale price was $740,167. This year, the average sales price is $1,465,444, which has almost doubled. Dividing the 2 year appreciation of 98% by two give you an annual appreciation of 49%! This is just unheard of when comparing to other condo complexes on Oahu!

Why are Turtle Bay Condo Prices so Crazy?

Is there something in the water? Why have the prices at Turtle Bay shot up so much higher than everywhere else on Oahu over the past 2 years? There are several factors at play here:

1. The passage of Bill 41, which later became ordinance 22-7 took the minimum rental period on Oahu from 30 days to 90 days. Prior to that, Bill 89 on Oahu gave the city some teeth to enforce the law on the books of 30 day min on rentals. Up until that point, there are been tons of properties all over the North Shore of Oahu (both homes and condos), where people were renting out their properties short term. What we've seen with these recent laws is investors flocking to the "legal" short term rentals. 

2. The recent renovations of the Turtle Bay Hotel in 2021. The Blackstone Group bought the hotel in 2018 and pumped over $70 million in to upgrading the hotel. They also recently cancelled some long term agreements where owners of the Ocean Villas condos could use certain hotel amenities if they went with a certain property management company. Some thought the value of the condos would go down by severing that relationship. Well, it turns out to be quite the contrary as there's still a huge demand for the Ocean Villa condos as seen above.

Where Will Prices Go from Here?

Just this past week, a federal judge has stopped the city from enforcing ordinance 22-7, which prohibits 30-89 day rentals. It will be interesting to see if this law gets overturned as it takes away people's property rights and was in direct conflict with the landlord tenant code. With all that aside, we didn't really see a huge spike of condo prices in town for legal vacation rentals with the exception of a few buildings. I don't foresee prices coming down overnight at Turtle Bay because there's just a finite amount of real estate there. What's also wild, is we haven't even hit winter yet, which typically shows an uptick in buyer traffic.

One thing I'll be some money on is prices can't continue to appreciate the way they have over this past year or two. It is just not sustainable to have 30-50% appreciation year over year... If you own a condo at Turtle Bay, however this might not be a bad time to sell. Feel free to contact me for a confidential conversation.

Single Family Home Update

Did you know that home and condo prices were up last month - in September? This is David Buck with Harcourts Island Real Estate here to give you the monthly market report for September of 2022. First off, we'll start with the single family product. There, we saw a 4.8% increase year over year in median sales price. That was going from $1,050,000 last year to $1,100,000 this past month.

Single family home sales however, are following that trend we've seen over the past several months and sales volume is down 34.4%. That was going from 424 single family home sales a year ago to now just 278. Days on Market for single family homes are slowing down. There's a 100% increase. That was going from 9 Days on Market at year ago to 18 Days now. So, it's definitely taking things longer to sell. The rise in interest rates is definitely having an effect on our market. However, with that said prices are holding. They are up just under 5%.

Condo Update

The median price for condos was also up this past month. That was going from $478,000 to $502,500. That's a 5.1% increase year over year. So, on average homes and condos were up about 5% in regards to median sales price. We're also following that trend with single family homes in a drop off in sales volume. Condo sales weren't down as bad, but they were down 19.3%. That was going from 615 sales a year ago to 496 this year. 

The median Days on Market were up just slightly, going from 11 to 14 Days. That's a 27.3% increase. That's not 100% increase like the homes, but we are seeing less sales volume for condos and prices are holding. If there's anything we can help with that's specific to you (because every neighborhood is different, every building on Oahu too), to find out what's going on in your market, whether you're looking to buy or sell, feel free to give us a call. Mahalo!

Aloha, this is David Buck with Harcourts Island Real Estate. I'm here to give you the local market report for August of 2022.

Local Market Update for Single Family Homes

We're going to start off with the single family homes and Wahiawa saw the largest year over year increase in the number of sales. That was going from 8 sales a year ago to 13 sales this year. Not everything is so great on Oahu. We're starting to see a trend we've been following for a few months now, where the number of sales are down year over year. In 16 of the 23 neighborhoods the Honolulu Board of Realtors tracks, sales volume was down year over year. However that's a little bit different story in regards to the median sales price. So, if you stay with me, I'll share with you shortly which neighborhood took out the number 1 spot for median sales price on Oahu.

The Windward Coast of Oahu saw the largest increase in median sales price year over year for single family homes. So, in August of last year, that median sales price was $1,009,500 and now it's $1,890,000. So, year over year that's an 87% increase in median sales price. Across the board, it's quite a contradictory story to what we saw in the sales volume, where everything was down in 16 of 23 neighborhoods. As far as appreciation goes, just about every neighborhood was up. I take it back - 5 of the 23 neighborhoods were down, so that would leave it at 18 neighborhoods were up year over year for the median home price. That's a good thing for home sellers that prices are holding. That's not as good for buyers, but there's less buyers out there, so we're seeing less sales taking place.

Local Market Update for Condos

Waialae-Kahala saw the largest increase year over year regarding the number of sales for condominiums on Oahu. That was going from 4 transaction to 8 transactions in August. Behind me you'll see Tropicana Village and Kahala Towers. Across the board with condos we also saw a similar trend to single family home sales and they were down, just like the general market that we talked about earlier in the month. The numbers of transactions were down in 18 of the 23 neighborhoods that the Honolulu Board of Realtors tracks.

The final category we're going to cover today is the median sales price for condos on Oahu. The Windward Coast also took out that #1 spot, just like they did for single family homes. Appreciation for condos on the Windward Coast was up quite a lot at 218%! That was going from $137,000 to $435,000. So, that's a huge jump in price. If you were to go in MLS today or go online and look for condos under $200,000 on the Windward Coast, there's not a whole lot out there. Most likely what happened last year is we saw a lot of transactions at a particular building called Hanohano Hale, which would be next to this one you see in the backdrop here, which would be Pats at Punaluu. That's kind of the most remote part of the Windward Coast. You get a little more for your money, or a little more "bang for your buck" (no pun intended) if you're willing to drive a little further on the Windward Coast.

Thanks for tuning in and if there's anything we can help with, give us a shout. Our office number is 808-777-4880. Mahalo!

I currently have 4320 Papu Circle listed* and here's 10 reasons why this Diamond Head listing is such a great deal.

4320 Papu Circle priced at $3,300,000

1. Currently the Lowest Priced Home for sale in Diamond Head

This alone should speak volumes as there's no other home for sale in Diamond Head that's priced less. We'll get in to comps here shortly, however there's actually 4 condos on the market priced higher, another in escrow at the Seabreeze asking $4,150,000 and a combined 1 bed, 2 bath unit at the Colony Surf (1519 sq. ft. interior)  that sold for $3,998,000 in May.

2. 4083 Kulamanu St. Sold for $3,300,000

A home on Kulamanu St. (MLS # 202129750) a block away sold for $3,300,000 in March. It was a 3 bed, 2 bath home with 1,771 sq. ft. interior (less than half the size), had no swimming pool, no view and was arguably a tear town. 

3. 216 Kulamanu Pl. Sold for $3,550,000

Two blocks away, 216 Kulamanu Place (MLS # 202205156) sold for $3,550,000 in March. This one was a 4 bed, 3 bath with 1,924 sq. ft. with no pool. It was close to the beach, however a SUPER BUSY street with beach traffic. It was also single wall construction.

4. 4345 Papu Circle Sold for $3,500,000

Just down the street, this Papu Circle home (MLS # 202128571) sold in December of last year. It was slightly larger, however had no swimming pool, had an inferior view, the downstairs ceilings were really low and it was also single wall construction.

5. 4126 Papu Circle is Listed at $7,950,000

Around the corner, 4126 Papu Circle (MLS # 202209558) is a beautiful newly constructed home. It sits on a lot the same size as 4320 Papu Circle and although it has all the modern bells and whistles of a new home, it is 2.4 times the price! 

6. Average Home Sale in Diamond Head over $5 Million

In the past 6 months, there's been 14 home sales in Diamond Head with an average sales price of $5,107,643

7. Average Home Price in Diamond Head over $7 Million

As of today, there are only 10 homes for sale in Diamond Head (tied the lowest on record we saw back in May) with an average asking price of $7,733,000.

8. Median Sale Price in Diamond Head is $3,264,000

Although the median sales price is just under our asking price, only 1 home that sold under that price was larger than 4320 Papu Circle. It was one on the Historic Register that had restrictions on remodeling and also had a restriction allowing the public on to the property one day a month.

9. Multi-Family Option

This listing has a detached cottage and the option to rent part of the home out separately for additional income to offset a mortgage and/or have available for guests to stay in when they come to town.

10. Papu Circle Location

Papu Circle is a quiet street and also features underground utilities. Lots of the older parts of Diamond Head and Kahala have overhead utilities/telephone poles. What's also great about Papu Circle compared to Kahala and some parts of Diamond Head is the elevation, so you get more cross-ventilation with the trade-winds.

* Listing Agent is also owner and feel free to contact David for more information.

Well, if you've listened to the news lately on Oahu, all they are talking about now is that we are now back to "Pre-Pandemic Levels"in regards to sales on Oahu. Believe it or not, things aren't all "Doom and Gloom". The median price was up 7.2% for homes on Oahu and here's the real data. Take a look at this graph below. You'll see that sales are actually up for single family homes and condos to levels higher than prior to when the pandemic started in the beginning of 2020.

Can you see what I meant by looking at that graph? Sales aren't all that bad and they are actually above where they were pre-pandemic. So, this is a testament to not always believe what you see in the news. This is David Buck with Harcourts Island Real Estate and I'm here to give you the monthly market update for August of 2022.

Single Family Home Stats

We'll start off with the median sales price, which was up 7.2% from a year ago for single family homes. A year ago, that median price was at $1,050,000 and now it's at $1,125,000. Sales were actually down 26.1%, so that's one thing we should be keeping track of, which we saw in previous months (June Stats, July Stats) is that sales volume. We had 425 sales a year ago and now we are at 314.

Days on Market were up 44.4% for homes and that was going from 9 to 13 Days. So, things are slowing down, but the news about back to "Pre-Pandemic Levels" we're not quite there yet. But, that effect of higher interest rates is taking an effect on the market.

Condo Stats

Regarding the condo market on Oahu, the median price was down just .3%. So, unlike the single family pricing that was higher, the condo prices were just off the mark. In August of 2021, the median condo price on Oahu was $500,000. It's just down slightly at $498,500 and the numbers of sales are down quite a bit as well. They are down 24.7%. A year ago, we were seeing 675 condo sales on Oahu and now we're down to 508.

With the Median Days on Market, we're also seeing a slight uptick (which was only a day) up 8.3% going from 12 Days to 13 Days. So, 13 Days across the board for homes and condos. With inventory, we're also seeing a slight increase. It was up 12.9%. So, not as dramatic an increase as single family home inventory, but condo inventory is picking up as well. 

Stay tuned - We just wrapped up summer and heading into fall. If there's anything we can help with, feel free to reach out. We're at 808-777-4880. Mahalo

Aloha, this is David Buck with Harcourts Island Real Estate. I'm here to give you the local market update for July of 2022. I'm here on the North Shore. I just wrapped up some showings. I stopped next to Polynesian Cultural Center and pulled over to give you this update because in 4 of the major categories we track on Oahu - 1. Home Sales 2. Home Median Price 3. Condo Sales 4. Condo Median Price, the North Shore took out 3 of those categories. I'm going to dive in first to the single family homes.

Local Single Family Home Update

The North Shore saw 100% increase year over year in sales, going from 6 transactions to 12. Meanwhile on the rest of Oahu in 14 of the 23 neighborhoods we track we saw a down trend on home sales. Just like in the general market update we talked about earlier in the month, transaction volume was down significantly. In 14 of those 23 neighborhoods, sales were down, but here on the North Shore, sales were up 100%

The only segment of the market that was not taken by the North Shore was the median sales price in July. Downtown-Nuuanu saw the largest increase. It was up 52% year over year. That was going from $1,135,500 to $1,725,000 year over year. Stand by and I'll be up with the condos.

Local Condo Market Update

North Shore Condo sales were up 100% since July of last year. That was going from 5 sales to 10 sales. Unfortunately, across the board on Oahu, the numbers of sales were down in 17 of the 23 neighborhoods we track. Standby as I have more news about the North Shore in a second.

Here I am at Kuilima on the North Shore and the North Shore also saw the largest increase in median sales price for condos on Oahu in July. It was up 153% and that was going from a median price of $350,000 just a year ago to $885,000. So, that's a huge jump! The North Shore was just crushing it across the board in July. To learn more about what's happening in your neighborhood, feel free to reach out and contact us. Mahalo!

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!

Well, we went nearly a decade without seeing a unit hit the market at the Seabreeze, a special oceanfront building on Diamond Head's Gold Coast. Now, we've seen two within a year.

The Seabreeze only has 1 unit per floor, which why they seldom come on the market. Prior to the nearly decade long drought, unit #6 sold for $2,645,000 in December of 2012. This past November, unit #3 sold for $3,150,000. Now, just this week unit #6 is back on the market after nearly 10 years of ownership listed at $4,150,000.

Seabreeze Unit 6 (MLS # 202214695) Recently Listed for $4,150,000

Seabreeze #6 Living Area Seen from the Ocean Side

Priced at over $3,000/sq. ft., this would be roughly a 50% increase in a 10 year hold. It was also completely remodeled in 2015 by Peter Vincent. If you're looking for prime real estate on the Gold Coast, look no further as these don't come up that often. To learn more about this Seabreeze listing or other options in Diamond Head, feel free to contact us for more information.

Local Single Family Home Update

Aloha, this is David Buck with Harcourts Island Real Estate here to give you the local market update for June of 2022. As you can see, I've got the North Shore in the backdrop behind me and we're going to first dive into the stats with the North Shore because there we saw the largest increase in sales for single family homes, which were up 86%. There were only 7 sales in June of 2021 and now we had 13 sales this year.

Another thing to take away, which we saw in last month's local market update as well as the general market update was that the transaction volume is dropping off a bit. In 15 of the 23 major neighborhoods that the Honolulu Board of Realtors tracks, sale numbers were down. In 2 of those 8 remaining neighborhoods were just flat, or no change. So, there were just a handful of neighborhoods that saw an uptick in the number of sales. 

Now, we're going to jump into which neighborhood on Oahu saw the largest appreciation for single family homes. I'm kind of giving it away with the backdrop here. The Windward Coast of Oahu saw the largest appreciation year over year, which as up 60%. In June of 2021, that median sales price was $655,000 and now we're up at $1,050,000. So, we're following a trend where those rural neighborhoods were king of leading the way for single family homes in June of this year. We'll see what's up next for the condo market.

Local Condo Market Update

As we dive into the condo market for June of 2022, we're going to cover what neighborhood saw the largest number of transactions increase. Aina Haina-Kuliouou saw the largest increase, which was up 100%. That was going from 1 sale a year ago to 2 sales, so it didn't take much. Those of you that know that Aina-Haina to Kuliouou span, there isn't much for sale in regards to condos. We have Haleola 1 and Haleola 2 in Kuliouou Valley and Kuliouou Kai Villa, which is directly behind me, so that's most likely where those trades took place. There's not a lot of condo inventory there, but that was the #1 spot for June as far as transaction percentage increase year over year. 

The last segment we're going to cover is the appreciation year over year for condos on Oahu. As you can see from the backdrop behind me, we're at Kahala Beach Apartments. The reason I have the Kahala Beach Apartments up there is Waialae-Kahala saw the largest increase year over year, which was up 407%. Now, keep in mind we do have this product here in Kahala at the Kahala Beach Apartments that is Leasehold. In June of 2021, the median price in Waialae Kahala was only $105,000. Now, we have a median sales price of $532,500. Most likely the reason for that is we had more Fee Simple trades taking place. For instance, some of those buildings on the mauka side of H-1 such as Kahala Towers, Waialae Gardens, Tropicana Village and Tropic Gardens. Most likely, we had trades taking place in those projects, which were all fee simple and that bumped up that median sales price in Waialae-Kahala, which is why Waialae-Kahala took out that #1 spot year over year for appreciation. 

Now, obviously every market is different here on Oahu and if you want to see what's happening in your particular market, feel free to give us a call. Mahalo