Though the Hawaii market has seen some overall improvements since late 2008 when the housing market downfall began, it remains highly volatile. As recently as the month of April, the Associated Press reported that there were more than 1,470 foreclosure notices, more than double the figure from a year earlier and enough to put foreclosures in Hawaii at a figure of one for every 387 households.

But every real estate market is local, and the lingering effects of the recession vary by region. The Maui market recently saw encouraging signs, with its median home sales price in June higher than figures from a year ago, a positive sign that the market may be turning. ABC reported that both Kauai and the Big Island were also showing signs of markets re-emerging over the summer.

The median price for homes sold in Hawaii County, or the Big Island, rose slightly in the second quarter of 2010 from the first quarter, though both of those figures stood below the figure for 2009′s Q4. Kona saw a healthy increase in its median price from the first to the second quarter of this year, rising by nearly $50,000.  The Pacific Business Journal reported that between January and June of this year, sales of existing single-family homes were up 32.5% on Oahu, 43% on Maui, 71.8% on Kauai and 45.8% on the Big Island. In addition, condo sales were up 46% on Oahu, 64% on Maui, 65.% on Kauai and 101.5% on the Big Island. Despite the uptick in sales activity, the median prices of Hawaii homes for sale still struggles. Only Oahu saw its median sales price increase over the six-month period, up a mere 2%. The other areas saw prices fall between 2% and 7%.

The number of Kahala homes for sale that were actually purchased increased somewhat in the month of July, but the figures were somewhat disappointing compared to expectations spurred by the federal tax credit. An August 9, 2010 report from Hawaii News Now stated that “Realtors across Hawaii reported generally strong home sales and prices on deals that closed in July, if not the much-improved market they hoped would be spurred by low mortgage rates. Oahu saw 268 July home sales (up from 266 a year ago) for a median price of $605,000 (up from $595,000) while buyers closed on 320 condo sales (down from 343 a year ago) for a median $299,000 (down from $307,250), the Honolulu Board of Realtors reported Monday.”

March 2010 Condos number of sales increased 172.7% and the median sales price increased 43.18%

Information on February 2010 sales on the island of Kauai was provided by Russell Tucker

Condo sales volume for January 2010  compared to January 2009 increased 100% and decreased in medium sales price by 19%

With a Decline in prices and more inventory sellers are dropping prices and buyers are finding great deal in todays market.

The condo market in Kailua-Kona saw sales of condos increase 75% for the month of Dec ’09 vs. Dec ’08 and the Kohala Coast condo sales increased 57% in Dec ’09.  Kona condo median price declined 16% for the month and Kohala Coast median condo prices slid nearly 33%.  I expect the sales volume to increase during the winter months, as this is usually a busy time for condos.  Mainlanders are arriving on island and are starting to pick well prices condos.

Current Market Conditions as of Jan 5, 2010… There are 577 Single Family Homes on the market for the Kona/Kohala Coast, which is a decrease from last month’s 603 active listings, 93 homes in escrow, which is up from last month of 92 and 45 homes sold… 5 less than last month.  At the current buying rate, we have a 12.8 month supply of homes, which is more than last month’s 11.4 month supply.

Of the 577 Single Family Homes on the market, 28 are Foreclosure Listings and 102 are Short Sale Listings.

For Kona/Kohala Coast Condos, there are currently 577 on the market for sale, 63 in escrow, down from 65 last month and 32 sales.  We have a 18 month supply of inventory, which is a decrease from last month’s 29 month supply.

Keep an eye the market inventory supply shown in months.  A 6 month supply of properties is considered to be a balanced market.  Right now, it’s still a buyer’s, but our local market can change quickly and supply can dry up fast.

Information on sales for the Big Island of Hawaii was provided by Kurt & Kirsten Carlson, Big Island real estate experts.

Number of condos sold on the Island of Oahu for the month of July in 2009 were down by 32.3% compared to the same time in 2008. The average sales price for the month of July in 2009 was down by 7% compared to the same time in 2008.

The Kailua real estate market seems to be moving pretty close to the averages of the over all island. The Leeward side of the island is continuing to get hammered both by drop in prices and number of sales.

The Waikiki real estate condo market seems to be mixed. The number of sales seem be doing better than island wide, but the price drops seem to be more than the island average. That may be good for buyers, but not sellers at this time.

The plaintiffs consist of two separate groups, one of which chose to air their grievances in the state circuit court, and the other of which chose to file suit in Honolulu federal court. Combined, the trial groups include about twenty dissatisfied buyers, representing investors from the mainland, Japan, and Hawaii itself. The claims of both lawsuits are essentially the same – that Irongate incorrectly listed Donald Trump as a “co-developer” in its 2006 promotional brochure, when in reality Trump simply licensed his name to be used with the project. The lawsuit alleges that Trump had the option to terminate the contract at any point in time, since the real estate mogul did not have any material investment in the tower. The plaintiffs claim that their decision to invest in the development was based heavily on the brand name of Trump, which grants an inherent value to the complex. They are concerned that if Trump exercises the option to withdraw his name, the Trump Waikiki will plummet in value.

The suit was filed by former Hawaii Attorney General Warren Price, and seeks to recover the initial deposits of the plaintiffs. Price stated that “Our clients intended to invest in an exclusive, one-of-a-kind Trump project in Waikiki. They were making an investment in a Rolls-Royce. They weren’t told there’s a license and it can be terminated, at which time the Rolls-Royce turns into a GM type of car.” Irongate was quick to respond to the lawsuit, saying that “A small group of individuals filed suit today. We believe that all of the claims are without merit and we intend to vigorously defend ourselves. Furthermore, we intend to pursue all of our own claims against these individuals. The vast majority of buyers are moving towards closing and are looking forward to their first visit to Trump Tower Waikiki Beach Walk later this year.”

That is great news for buyers that have been waiting for prices to adjust and get something. Interested rates have come up a little bit from their lows, but are still are very low historically. Jim Cramer recently called the bottom for real estate. That is a pretty bold prediction. Not sure if we are there yet. One thing I do know is there are some great deals out there.

Feel free to contact us if you are interesting in finding out more about what is happening in Hawaii real estate market.

New Home Developments/Subdivisions in Hawaii Kai

Moana Kai - Choose from seven different types of home-styles, ranging from 1,237 sq.ft. to 1,729 sq.ft. of living area. Call Jeff Manson of American Dream Realty at (808) 792-7040

New Home Developments/Subdivisions in Honolulu

Capitol Place – Offers a blend of the modern and traditional. Apartments ranging from approximately 638 sq.ft. (1 Bed/1 Bath)to 1,500 sq.ft. (3 Bed/2 Bath) of living area plus parking. Call Jeff Manson of American Dream Realty at (808) 792-7040

The Hokua building offers all the convenience you would expect of an exclusive residential condominium, the amenities you’d expect to find in a fine resort. Available residences are 3 Bedrooms with approx living area of 2,220 sq ft to 4,315 sq ft. Call Jeff Manson of American Dream Realty at (808) 792-7040

Ko’olani’s – offer only the finest in elegant designer appointments and haute custom upgrades. Residences are 2, 3 and 4 bedrooms with approx living area of 1,113 sq ft to 2,633 sq ft. Call Jeff Manson of American Dream Realty at (808) 792-7040

Moana Pacific – This prime 6-acre site provides views, convenience, and an in-town lifestyle. Residences are from 1 Bedroom/1 Bath to 3 Bedroom/3Bath with approx. living area from 704 sq ft to 2,310 sq ft.
Call Jeff Manson of American Dream Realty at (808) 792-7040

Keola La’i - “the calm, peaceful, contented life” – 350 luxurious one to three bedroom, fee simple residences with spectacular views. Call Jeff Manson of American Dream Realty at (808) 792-7040

The LOFT@WAIKIKI offers designer details including: 12, 15, and 19-foot high ceilings; select units can be combined for 2399 SF custom unit. Standards include 4′ x 8′ deco entry doors, two 11-foot arched, cathedral windows, creative vertical storage spaces, jet-spa bathtub. The open gourmet kitchen boasts SUB-ZERO®, WOLFâ„¢, and BOSCH® stainless steel kitchen/gas appliances. Oversized parking stalls, and designer options available. Call Jeff Manson of American Dream Realty at (808) 792-7040

The Watermark Waikiki – Neighborhood bridging Waikiki and Ala Moana, overlooking the beach park, yacht harbor and ocean, The Watermark blends the aesthetics of contemporary design with a tropical sense of place. The Watermark is the new mark of distinction in Waikiki’s architectural and cultural renaissance. Call Jeff Manson of American Dream Realty at (808) 792-7040

Kaiolu Sunrise - Kaiolu means cool, calm water From the lobby tropical decor to the outdoor entertainment pavilion beside the swimming pool, a contemporary Hawaiian atmosphere welcomes residents and visitors.
Call Jeff Manson of American Dream Realty at (808) 792-7040

Palms at Waikiki – Conveniently located across from Hilton Hawaiian Village, Palms at Waikiki is steps away from Waikiki Beach, Ala Moana Shopping Center, the Hawaii Convention Center, and just a short drive from downtown Honolulu. all Jeff Manson of American Dream Realty at (808) 792-7040

New Home Development/Subdivision in Koolina

Beach Villas at Ko’Olina by Centex Destination Properties
Beachfront resort condominium on the sandy beaches of Ko Olina Resort & Marina, where lagoons reflect the moon, exotic flowers scent the sky, and the ocean laps at your feet. Come home to paradise and live your dream. Call Jeff Manson of American Dream Realty at (808) 792-7040

New Home Developments/Subdivisions in Makakilo

Ho’olu Landing at Makakilo
Ho’olu Landing at Makakilo offers five distinguished three bedroom home styles consisting of up to 1,848 square feet of living area. A unique, personalized options program will allow you to customize your home’s interior. Convenient dining, shopping and entertainment are just minutes away. Call Jeff Manson of American Dream Realty at (808) 792-7040

Ocean Ridge at Makakilo by D. R. Horton (Schuler Homes Hawaii)
Ocean Ridge features 68 town homes with approx. living area of 1,424 sq ft to 1,529 sq ft.
Call Jeff Manson of American Dream Realty at (808) 792-7040

Anuhea at Makakilo. Anuhea offers 4 model styles ranging from 1,291 to 1,808 square feet.
Call Jeff Manson of American Dream Realty at (808) 792-7040.

High Pointe by Schuler Homes Hawaii
Choose from 12 model styles that vary in size from 1,359 to 2,757 sq. ft. of living space.
Call Jeff Manson of American Dream Realty at (808) 792-7040.

Kai Nani at Makakilo by Schuler Homes Hawaii
This condominium town home community of 96 units will offer 12 floor plans ranging from approximately 1,010 to 1,766 square feet. Call Jeff Manson of American Dream Realty at (808) 792-7040

New Home Developments/Subdivisions in Ewa Beach

Ocean Pointe by Haseko Homes, Inc.
Comprised of 1,100 acres, Ocean Pointe with its proposed world-class marina, is destined to become a commercial center, a water-oriented retreat and a residential haven. 17 Models to choose from. Call Jeff Manson of American Dream Realty at (808) 792-7040.

Prescott by Gentry offers a classic design in their Prescott II Development, with 3 floor plans to choose from and approximate living areas of 1,466 to 1,803 sq. ft
Call Jeff Manson of American Dream Realty at (808) 792-7040

New Home Developments/Subdivisions in Maili

Kaimalino at Sea Country will offer beautiful views of the Waianae mountain range from some of it’s 86 homes. This new community will feature single family & “duet” homes with six model styles from which to choose.
Call Jeff Manson of American Dream Realty at (808) 792-7040

They also list Hawaii houses for rent. I believe they also link to other Hawaii real estate brokers MLS searches as well. This site might gain popularity as the Hawai real estate market continues to tighten up.  Sellers that have bought a home in the last two years do not have very much equity  if any at all.

Time will tell whether or not this is going to be a substitute from a traditional broker.

We are American Dream Realty, a Hawaii real estate firm who deals with properties on Maui, the Big Island, Oahu and Kauai. You can see what’s available at www.adrhi.com, and you can also give us a call. We often can find properties that haven’t made it to the market yet, and if you let us know precisely what you are looking for, we will leave no stone unturned in our search.

We are a close-knit team of five real estate specialists who stay on top of island listings. We are also familiar with the different “personalities” of each island, each area, town, and neighborhood. It’s always best to make an informed decision, especially when it’s one that will have such an impact on your life, and American Dream Realty can help you with the facts and information you need on each location.

Everyone has their own, unique reason for moving to Hawaii. Some are moving for work, others for retirement, and some are searching for vacation property. Still others desire a tropical lifestyle that is the polar opposite of how they live now. We work with all kinds of people, in all walks of life, who want an aggressive realtor who knows Hawaii real estate inside and out.