Waikoloa Village Market Report   Leave a comment

So far, it is so much more pleasant than the mugginess of last summer when hurricanes consistently threatened us. Our good fortune kept their destruction away even though they turned our days to sweltering! Yet even so, there really isn’t a lot to complain about here in our Big Island paradise. Our Real Estate market is staying steady and strong with consistent improvement in most sectors and neighborhoods without the rapid percolation of a bubble market. While bubble markets may be profitable for some, they always precede a crash so it may be better to have steady and slow appreciation than effervescent peaks followed by steep depreciation. It is all about timing…which is an imprecise science affected by globally and locally influenced factors.

The home market in the Village remains strong. Presently there is a good selection of 40 homes on the market. We can expect this inventory to be absorbed in approximately five months given that 66-homes have sold this year for an average price of $495,508. If you were to remove some extreme price deviations, our average price for 2016 comes in at $511,394. Market absorption is conditioned on each home on the market being appropriately priced. Homes not priced for the present market will not sell, but others will come on the market, priced well, and sell easily. Experts say that although there is somewhat limited inventory, we are not in a seller’s market or a buyer’s market, more like a balanced maker which is a healthy market!  This compares to 115-homes sold at the average price of $501,322 in all of 2015. Bear in mind that in the first quarter there were some abnormally low sales of a couple of bank owned fixer uppers, with another very low sale price of $300,000 for a non-bank owned fixer upper in the third quarter. Second quarter sales did not have major deviations. Presently 18 homes are in escrow waiting for their sales to finalize.

The average price of condos sold in Waikoloa so far this year is $245,539 compared to the average sold price of $208,868 for all Waikoloa Village condos last year. Pace of sales remains about the same at 5.52 per month in 2016 compared to 5.33 per month last year. So far 46 condos sold this year in Waikoloa Village compared to the 64 sold in all of 2015. Condos are harder to generalize since the prices vary significantly from project to project. The lowest average price in 2016 is found at Fairway Terrace, $152,717 and the highest is $499,000 at The Pointe at Waikoloa. If you want more specific information about a certain project, please call or email me.

Land sales were up this year with a total of 13 sales so far. There have been two lots sold so far this quarter. Most of the vacant land sales are coming out of developer held inventory in Kilohana Kai and Wehilani by Castle and Cook.  Average price this year is S150,354 compared to the average sale price of $183,526 at the end of 2015. The higher inventory of lots for sale is the primary cause for the decrease in price. You can see the average price going down in each quarter of 2016 as number of sales increased. That said, there is a very nice lot that was just listed yesterday on Makana Aloha St., click here to see the information.

Hope you find some good information in this report. As always, call or email if you want more specific information. Always look forward to hearing from you. Take care, stay healthy and be happy. A hui hou and aloha.

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