Oahu Condo Sales Surged 21% in August 2012

I’m a little late getting my monthly market update out this month as our office has been cranking in September. Riding the closings that were generated by our hot summer’s wave, we’ve closed more transactions this month than any other. We’re also set to pass our 2011 sales volume on Oahu in another week or so. In addition, one of our agents just closed her 20th sale of the year today! Not bad considering we still have another quarter to go…

This Ala Moana Hotel condo (MLS# 1209588) is priced at August’s median price of $320,000

One of the statistics that really hit me in the face was that condo sales were up 21% from this time last year. There were 409 sales, which basically crushed the 2nd highest number we’ve had over the last few years, which was 379 sales. Condo prices were also up 6.7% to $320,000.

The single family home market was no slouch either with sales up 5% and prices up 9.2% from the same month in 2011. In addition, the average days on market was only 25 days, which was the same as the previous month. This is one of many reasons that confirms we are still in a Seller’s Market.

It’s no surprise this Hoakalei Home (MLS# 1208383) priced under the median of $610,000 is in escrow

Can Buyers Still Get Financing?

This is a question I’m often asked. I also had someone comment recently on a past blog titled In Hawaiian Real Estate is Cash Really King? I did a little more research and interestingly enough the % of cash buyers and those getting financing hasn’t really changed in the past 2 years.

In the past 6 months 13.6% of home sales, 36.4% of condo sales, and 70% of vacant land sales were cash transactions. Which means the remainder were financed. So, yes, Buyers ARE able to get financing. What has really changed in the past 2 years is Sellers are now more realistic on their prices and Buyers are more confident.

Here’s a recap of August real estate trends on Oahu:

Neighborhoods “Hot” for Sellers

• Home sales in Moanalua–Salt Lake were up 400%
• Home prices on the North Shore were up 97%
• Condo sales in Kailua–Waimanalo were up 240%
• Condo prices in Kapahulu–Diamond Head were up 40%

Neighborhoods “Hot” for Buyers

• Home sales in Makaha–Nanakuli were down 40%
• Home prices on the Mililani were down 19%
• Condo sales in Waialae–Kahala were down 75%
• Condo prices in Waialae-Kahala were down 60%

As always, all real estate is local. To find out what is happening in your neighborhood, contact one of our great Realtors on Oahu to see what is going on in your market, and if now is the time to buy or sell.