With all of the negative news in the market that is quite prevalent in national publications, and a little too often found in the Maui news, I found the following article to be very accurate about where we currently stand in the market and am optimistic that we will see this trend of recovery continue.
The following are excerpts from a recent Maui News article (The full article can be found here):
- In straight forward terms, the Maui real estate market can be summed up as follows: the volume of sales is up and selling prices are lower. Resort areas such as Wailea, Kaanapali, and Kapalua are heading into recovery, as is often the case when Maui comes back after a market crash like the one experienced, or more accurately, finally understood in 2008.
- For year-end numbers for 2010 in comparison to 2009—condominium sales volume is up 39%, residential sales volume is up 17%, and land sales volume is up 14%.
- For condos overall, the average price declined 10 percent to $648,043, compared to $718,885 in 2009. Reduced prices mean there are deals, but they won’t last forever. Cash buyers increased airlift from the mainland bringing more tourists and potential buyers, and the strength of the Canadian dollar, or Looney as it is affectionately referred to, has made Maui one of the best deals of any world-class destination. Read one of my recent posts on how Cash is King in Maui Real Estate Market.
- A local Wailea broker stated, “Since Maui is a resort destination, we have different market parameters, which in a sense have insulated our market compared to the rest of the country. There will always be a demand for resort properties here on Maui due to the beautiful year-round weather and resort activities. As baby boomers age, we will see an influx of properties being sold as second/retirement homes. I believe that this will keep the real estate market strong on Maui.”
Speaking of Wailea-Ulua Beach is certainly a pleasant beach to enjoy an afternoon stroll as I did in this Ulua Beach YouTube Clip
My personal note here, I do partially agree with the opinion of this broker as it relates to higher end resort-type properties, but there is certainly the other side of the spectrum that comprises the vast majority of full-time Maui residents, many of which are taking huge financial losses when selling their properties and many of which are forced to settle elsewhere to make ends meet; this is certainly heartbreaking. The other side of the coin is that many people with whom I have shared Maui with for the last 30 years are able to take advantage of these lower prices and purchase a home.
The article then details the strong prevalence of REO/bank owned/foreclosed properties in our market. Read about how the Stice Team assisted a local Maui family with their recent purchase of one of these types of properties in my previous blog, Maui REO Closed – Stice Team Plays Hard Ball With Solid Representation.
Overall, I am in strong agreement with the article and I think it is summed up nicely by one of the contributing broker/authors.
Sunrise at Haleakala Crater in Maui is one of the 10 Reasons why Maui is Priceless
â€œNever start your day off listening to the pessimists of the news. Start your day off with a walk, smiling and watching the sunrise over this great island. We are rebounding and will continue to do so.
For more detailed analysis, or to get started on either purchasing or selling real estate in Maui, please contact the Stice Team directly. Please reach out directly to me at my below contact information, or feel free to create your own HawaiiLife.com account, where you can view all properties on the MLS and save your favorites. Just click here and you will see the tab at the very top right of the page that says Sign Up, which you can then click on and follow the steps—it is easy and rewarding.
The Stice Team and Hawaii Life Real Estate Brokers
Jeremy Stice, R(S)
Tracy Stice, R(B) Maui Broker-in-Charge