Inventory Continues to Decrease on Maui in February
Single family home sales on Maui increased 51% from this time last year and 10% from month before levels, according to new data released by the Realtors Association of Maui.
There were 121 new listings for single family homes in February, a decrease of 10% from the month before and an 8.3% decrease from the year before. There were 159 new condo listings in February, a 20% decrease from the month before and a 6.5% from the year before.
Inventory continues to decrease on both ends, with 521 single family homes available in February, a 4% decrease from January and -13.5% from the same time last year. There were 654 condos available in February, a decrease of 3% from the month before and down 26% from the year before.
“The three most prominent national market trends for residential real estate are the ongoing lack of abundant inventory, the steadily upward movement of home prices and year-over-year declines in home sales,” RAM says. “Sales declines are a natural result of there being fewer homes for sale, but higher prices often indicate higher demand leading to competitive bidding.”
There were 95 homes sold in February for a median price of $685,000, a $20K decrease from January when 87 homes were sold for a median price of $705K.
The greatest activity was in Kahului where 21 homes sold for a median price of $688K. In January, 16 homes sold for a median price of $659,500.
There were 20 homes sold in Wailuku last month for a median sales price of $624,872, a slight increase from January when 16 homes sold in the area for a median price of $610K.
In Kīhei, 17 homes sold for a median price of $685,000; an 89% increase in sales from January when only nine homes sold for a median price of $673K.
There were 122 condominium units sold on Maui for a median price of $472,500, a slight increase from the 120 condos sold from the month before but down from the January median price of $505,563.
There were 46 sold in Kīhei for a median price of $452,500, down from the month before when 36 condos were sold but up $56,500 from the January median sales price of $396,000. Condo sales from February 2017 remained the same at 46, but increased $44,300 from the previous year’s median sales price of $408,200.
There were 20 condos sold in the Nāpili/Kahana/Honokōwai area for a median price of $383,500, up from the 18 sold in January and down from the median sales price of $460K.
Kāʻanapali saw a major increase in sales and price in February with 18 condos sold for a median price of $1,057,500. In January, there were 10 condos sold in the area for a median sales price of $773,500. In February of last year, eight condos sold in the area for a median sales price of $635K.
RAM also states that markets are poised for increased supply, so there is hope that more sellers will take advantage of what appears to be a ready and willing buyer base.
In February, prevailing mortgage rates continued to rise. “This has a notable impact on housing affordability and can leave consumers choosing between higher payments or lower-priced homes,” RAM says. According to the Mortgage Bankers Association, the average rate for 30-year fixed-rate mortgages with a 20% down payment that qualify for backing by Fannie Mae and Freddie Mac rose to its highest level since January 2014.