There is only so much oceanfront property on the Big Island…and near the beginning of this year I looked at the healthy inventory of ocean-side homes along Puako Beach Drive and picked two Puako oceanfront homes as “buys”. Little did I know that there would be additional homes listed across the street and quickly sold as well, for a crazy year (so far) in Puako real estate.
New listing, 4 bedroom home on the beach at Puako (MLS# 256514) asking $4,895,000
Puako Sales in 2012 Outpace 2011 on Both Sides of the Street
To put our crazy year in perspective, let’s look at 2011 sales:
- One home on the mauka (non-ocean) side of Puako Beach Drive sold for $710,000.
- One property sold on the ocean side at $2,125,000 with a home the buyers tore down.
That makes a total of two sales for 2011. In 2012 so far:
- On the mauka side of Puako Beach Drive, three homes have already closed escrow at prices from $675,000 for a cottage, to $1,425,000 for a 4-bedroom home with 2,905 sq. ft. of living space. A fourth home is under contract, closing later this month. A vacant lot also sold, for $625,000.
- On the ocean side, one home has closed at $3,000,000 (this was my best buy pick!); and two more are in escrow. In addition, an oceanfront lot sold for $1,925,000.
- One of the Puako Beach Apartment condos is also under contract.
In short, we’ve already had 3-4 times the number of sales of Puako real estate as last year!
What’s For Sale on the Oceanfront at Puako
The only vacant lot currently for sale at Puako is listed at $ 2,150,000 (MLS# 255003)
According to the sold comps, the market does not seem to distinguish much between a vacant lot and a lot with a small cottage on it. Makes sense that a $2- or $3- million buyer is unlikely to be satisfied with a one-bedroom cottage, even if it is right on the beach.
Hence for direct oceanfront at Puako, the newer lot listing (MLS# 255003) for $2,150,000 now beats out my previous best buy of a lot with an older home (MLS# 247129) for $2,250,000.
The only larger, newer property listed on the beach at Puako is a 4-bedroom plantation-style home built in 2005 with 1,000 sq. ft. of lanai along the ocean side (MLS# 256514). I’ll have to reserve judgment on the $4,895,000 asking price until the two homes in escrow close.
On the Other Side of Puako Beach Drive
Only one home is for sale on the “other” side of the street in Puako…asking $1,195,000
On the more affordable side of the street, there is only one property for sale. Currently run as a bed-and-breakfast, this five-bedroom, income-producing home is listed for $1,195,000 (MLS# 251099). Did I hear someone say “next to sell”?? Pretty sweet for a one-block walk to the beach.
One postscript I can’t help but add – having Hawaii Life’s Kohala Coast office right in Puako must be the explanation for why Hawaii Life agents have been on one or both sides of half of the Puako real estate transactions this year to date!
A hui hou,
Beth Thoma Robinson, R(B)
Direct: 808.443.4588
Email: Beth@HawaiiLife.com
sean
August 13, 2012
Sounds like your “the next to sell?” is on target. Your previous next to sell/good deal post, “Kohala/WBR scarce deals” did not last the night (Vista Waikoloa and the Shores at Waikoloa). It will be interesting to see if the 2.5 bath larger floor plan sells above or below the last Vista REO (F201) which closed at $317,000 while the last 3 closes of the 2.5 bath Vista floor plan were $400K, $433K plus back HOA, and $460K. Ditto for Shores 202 with last comps @$226/255K.
It would appear that Kohala buyers are stepping back into the market with both feet and goods deal go quickly.
Puako beach appears lovely!
sean
August 13, 2012
Sounds like your “the next to sell?” is on target. Your previous next to sell/good deal post, “Kohala/WBR scarce deals” did not last the night (Vista Waikoloa and the Shores at Waikoloa). It will be interesting to see if the 2.5 bath larger floor plan sells above or below the last Vista REO (F201) which closed at $317,000 while the last 3 closes of the 2.5 bath Vista floor plan were $400K, $433K plus back HOA, and $460K. Ditto for Shores 202 with last comps @$226/255K.
It would appear that Kohala buyers are stepping back into the market with both feet and goods deal go quickly.
Puako beach appears lovely!
Beth Thoma Robinson R(B)
August 13, 2012
Sean, thanks so much for your comment. Your comments are also a source of valuable information for readers.
Beth Thoma Robinson R(B)
August 13, 2012
Sean, thanks so much for your comment. Your comments are also a source of valuable information for readers.
Pam Deery, R(B)
August 14, 2012
Beth; as to the listing price of the newly listed plantation style home, I would think due to size and of course location, this listing (#256514) is a bit overpriced..but with homes that have been on the market 6-12 months and four selling all within a month..who knows.
It will be very interesting to see as many have been sitting on the sidelines and when one jumps..contagious or strategic. Is this the turning of the buyers market?
Pam Deery, R(B)
August 14, 2012
Beth; as to the listing price of the newly listed plantation style home, I would think due to size and of course location, this listing (#256514) is a bit overpriced..but with homes that have been on the market 6-12 months and four selling all within a month..who knows.
It will be very interesting to see as many have been sitting on the sidelines and when one jumps..contagious or strategic. Is this the turning of the buyers market?
Beth Thoma Robinson, R(B)
August 14, 2012
@ Pam – of course the newly listing oceanfront home was listed previously for a brief time at almost $ 1 million more if I recall correctly…so perhaps seller’s expectations have come down and as you say maybe buyers expectations up. As always, we will see!
Beth Thoma Robinson, R(B)
August 14, 2012
@ Pam – of course the newly listing oceanfront home was listed previously for a brief time at almost $ 1 million more if I recall correctly…so perhaps seller’s expectations have come down and as you say maybe buyers expectations up. As always, we will see!