Knowing whether a real estate market favors the buyer or the seller is key information when submitting an offer or pricing a home for sale. In a buyer’s market, an inventory of more that 6 months needed to sell the available homes for sale, buyers can often ask for higher price concessions from the sellers. In a seller’s market, sellers can usually negotiate with a stronger hand.
This home (MLS# 249493), listed at $420,000, is priced close to the average list price of $433,449
Is it a Buyer’s or Seller’s Market?…It All Depends on the Price Range of the Home
So, is Waikoloa a buyer’s or seller’s market? At this time, there are 51 homes listed for sale ranging in price from $184,900 to $975,500. Over the past year, there have been 78 homes sold at an average sales price of $310,689. This number ends up being 6.5 homes per month. Right now, the time it would take to sell the current inventory of 51 homes is 7.8 months – making Waikoloa a buyer’s market.
Distressed Sales in Waikoloa Decrease
One trend that has been happening in Hawaii is a smaller number of distressed properties (short sales and bank owned) available for sale. This is also happening in the Waikoloa home market. Over the past year, distressed sales accounted for 65% of the total sales with 51 distressed homes sold. At this time, the distressed homes for sale in Waikoloa is only 15 homes, or just under 30% at 29.4%.
Homes Under $300K Account for Over Half the Total Sales in Waikoloa
One of the most popular markets in the past year has been the sub $300,000 market. Looking at homes for sale at this time, there are only six homes listed for sale under $300,000 – and half of those are listed at $299,000. The great deals are still out there, but buyers wanting a home in this price range will have to move a bit faster.
In the past year, there have been 46 sales under $300,000 – accounting for over half the total sales in Waikoloa. This equates to an inventory level of just over 1.5 months of inventory – a very strong seller’s market! So, if you are a buyer trying to get a home under $300,000, move fast, and don’t try to come in way under the asking price. In fact, buyers may have to come in ABOVE the asking price to snag a home in this price range.
I’ll be back next month to take a look at February sales. I love the Big Island! Aloha.