If you’ve been undecided about selling your Big Island home or condo, now is the time to sell! According to the latest data from Hawaii Information Service, condo prices were up 37 percent last month when compared to the same month last year – the highest increase thus far this year.
Why Should You List Your Hawaii Property Now?
1. Single-family home prices are also increasing. Although the median sales price in May was about the same as May 2012 ($300,000), the median price has increased every month this year when compared to the previous year.
For instance, the median price of a single-family home on the Big Island in February was $295,000; a jump of 25 percent compared the February 2012 median price of $235,000. While in April the median price of a single-family Big Island home was $325,000, up a whopping 35 percent from April 2012, when the median price was $241,500.
Some of you might be thinking, “Well, if the prices continue to go up, maybe we should just wait a few more months and the prices will be even higher.” While the market does appear to be on an upward track, rising prices are being tempered by mortgage rates.
2. According to the Mortgage Bankers Association, mortgage rates last month were at a 12-month high. New, higher rates are pushing some undecided home buyers into the market, so they can lock in lower rates. This is excellent news for sellers.
I’m seeing more and more homeowners interested in listing their property because they want to upgrade or change locations and also take advantage of low interest rates. Folks who have been on the fence for a while are being spurred to action by the changes in mortgage rates.
3. The good news for sellers is that since inventory levels are low across Hawaii Island, their homes are selling faster than they have in years and close to – or at – full asking price.
With inventory low and prices rising, now is an excellent time to list your property, like this historic sugar plantation manager’s home in Pepeekeo (MLS# 255263)
4. Another factor that undecided sellers need to consider is that the Fed may soon cut back on its measures to keep mortgage prices low. For some time now, the Fed has been buying mortgage-backed bonds every month – around $85 BILLION a month.
This Fed buying spree has kept mortgage rates much lower than normal and also made borrowing more affordable. Should the Fed cut back on this buy-back program it could impact homebuyer’s eagerness to buy.
Reasons to Sell Your Hawaii Home Now
The following is a recap of why now is a great time to be a Hawaii home seller, all of which saying, NOW is the perfect time to list your property:
- Single-family home and condo prices are increasing
- New, higher mortgage rates are pushing some undecided home buyers into the market
- Homes are selling faster than they have in years and close to – or at – full asking price
- Fed may soon cut back on its measures to keep mortgage prices low
It’s Time to Get Off the Fence
If you have questions about the market, current conditions, and the value of your property, give me a call today at (808) 963-6880. Having sold $96,000,000 in real estate, I can help you off the fence of indecision and achieve your financial goals in selling your home.
“When only the best will do.”