I can’t say how many times in a week I am asked this question; too many to remember, but enough to know the answer without a lot of thought.
The resort market here on the Big Island from Hualalai and Kukio up to Mauna Kea and including Waikoloa Resort and the Mauna Lani started showing signs of sales as early as October this year, where the average market can almost be charted; a flurry in December and the bulk of the sales taking place from December 30th thru April 15th.
This year sales have actually been robust and as far as hitting bottom…are we there yet, are we there yet…I for one would have to say WE ARE THERE!
Buyers and Sellers, along with every Realtor in the world, have been watching the MLS (multiple listing service) stats like a bad stock report…. Price drops daily and new listings slashing each other to drop to the lowest price over the past 3 years. With the glut of the short sales and foreclosures having hit the market and been gobbled up, often seeing multiple offers, the bargain shoppers are no longer waiting for the market to drop!
Halii Kai now has properties less than $400,000 and ocean view at 50% of original developer costs. Waikoloa Colony Villas are a bargain at less than $300,000; and the best buy of all right now is a 1466 sq. ft. double master suite in the Shores at Waikoloa on the golf course fully furnished for $420,000.
This is the best buyer’s market in 20 years! Let us not forget the perfect market is one where there is plenty of inventory, great pricing and motivated sellers, along with the best interest rates we have seen in a “normal†(HA) mortgage market in 20 years. I doubt it will get any better for another 20 years! If it does, you can call me then. Those wanting to invest in reality, call me now!
Matt Beall, PB
February 28, 2010
Thanks Pam… I’ll be curious to see if this post generates a dialog like the last time Katie ‘called the bottom’. That one started a 52-comment discussion back in August of ’08: http://www.hawaiilife.com/articles/2008/09/big-island-real-estate-sales-stats-august-2008/
Matt Beall, PB
February 28, 2010
Thanks Pam… I’ll be curious to see if this post generates a dialog like the last time Katie ‘called the bottom’. That one started a 52-comment discussion back in August of ’08: http://www.hawaiilife.com/articles/2008/09/big-island-real-estate-sales-stats-august-2008/
mark
February 28, 2010
If it were only true… the continued government infusion of incentives to prop up the entire US market will eventually subside (2010) and the market will continue to slowly erode or at best go sideways… The party is over: If you’re a seller reality is starting to settle in and if you are a buyer… beware. Unless you plan on living/renting the property for a very long time, now is not the time to buy
mark
February 28, 2010
If it were only true… the continued government infusion of incentives to prop up the entire US market will eventually subside (2010) and the market will continue to slowly erode or at best go sideways… The party is over: If you’re a seller reality is starting to settle in and if you are a buyer… beware. Unless you plan on living/renting the property for a very long time, now is not the time to buy
Katie Minkus, R(BIC)
February 28, 2010
Can we be clear, here? I never called the “bottom” I merely said it was a great time to buy – and it was!! It still is a great time to buy, but honestly, not as good of a time to buy as August 2008 was, in retrospect. Why? Because although prices have indeed continued to fall in most markets for the past 18 months, the reality is the inventory is (for the most part) nowhere close to as good as 18 months ago, and the process to buy a property at short sale or foreclosure, even worse. Although I certainly see Mark’s point, the reality of buying property in Hawaii – especially on the neighbor islands – is very, very different than that of any mainland state that doesn’t cater to tourism as their #1 source of revenue. No offense to Mark, but a $1.5M cash buyer who saw a similar unit trade for nearly $3M at the height of the market isn’t buying because of a $6500 tax write-off, or because Obama said “go shopping for real estate!” (He didn’t.) That buyer is buying a lifestyle. I think that’s Pam’s point. No first time buyer on the Big Island is buying a Waikoloa Shores condominium unit for $420,000… but a savvy second home “because I want to change my lifestyle” buyer most certainly will see that perhaps this may be the best buying opportunity in 20 years (with the exception of August, 2008 😉 )
Katie Minkus, R(BIC)
February 28, 2010
Can we be clear, here? I never called the “bottom” I merely said it was a great time to buy – and it was!! It still is a great time to buy, but honestly, not as good of a time to buy as August 2008 was, in retrospect. Why? Because although prices have indeed continued to fall in most markets for the past 18 months, the reality is the inventory is (for the most part) nowhere close to as good as 18 months ago, and the process to buy a property at short sale or foreclosure, even worse. Although I certainly see Mark’s point, the reality of buying property in Hawaii – especially on the neighbor islands – is very, very different than that of any mainland state that doesn’t cater to tourism as their #1 source of revenue. No offense to Mark, but a $1.5M cash buyer who saw a similar unit trade for nearly $3M at the height of the market isn’t buying because of a $6500 tax write-off, or because Obama said “go shopping for real estate!” (He didn’t.) That buyer is buying a lifestyle. I think that’s Pam’s point. No first time buyer on the Big Island is buying a Waikoloa Shores condominium unit for $420,000… but a savvy second home “because I want to change my lifestyle” buyer most certainly will see that perhaps this may be the best buying opportunity in 20 years (with the exception of August, 2008 😉 )