How Are Big Island Real Estate Sales Looking with Lava Pending?
Information in the chart obtained from Hawaii Information Service
How Are Sales Looking on the East Side of the Big Island?
The sixty-four thousand dollar question is what’s going to happen to East Hawaii real estate now that Madame Pele has decided to re-visit lower Puna. I have not specifically tracked lower Puna over the years, but here are some of the things I’ve been hearing about sales and value.
All my listings in lower Puna (except one) have been withdrawn. I’m sure this is the case with many listings in the area. I have also seen large price reductions. The number of properties under contract has decreased significantly in both Leilani and Nanawale. Leilani had 9 pending sales last quarter; this quarter there are 6. There were 12 pending home sales in Nanawale during the second quarter; the number dropped to 3 this quarter.
Are There Still Sales in Lower Puna?
While I personally haven’t heard of contract cancellations in lower Puna, I’m sure it is happening. I did learn of one cancellation in Hawaiian Paradise Park. Traffic through HPP will certainly increase if Highway 130 is re-routed. Otherwise, HPP seems to be out of harm’s way.
I have received several calls from lower Puna owners searching for property on the Hilo side of the projected lava flow. Historically, (especially) lot sales increase in non-threatened areas. Many probably recall that a number of homes were moved when Royal Gardens was covered.
Overall, the numbers by district (see chart) seem very stable. The market sample in any area listed North of South Hilo the land sales are so small that the numbers don’t mean much. Puna residential prices increased 10% and both Hilo and Puna saw an increase in the number of sales.
At this point, the only thing that is certain about real property in lower Puna is that selling is likely to be frustrating. On the other hand, there just might be some market opportunities for those willing to risk being “roomies” with Puna’s newest homegirl.