Buyer’s Market vs. Seller’s Market: Understanding Today’s Oʻahu Trends

Real estate on Oʻahu is evolving rapidly. Whether you’re buying or selling right now, knowing if you’re in a buyer’s market or a seller’s market can make all the difference in shaping strategies, expectations, and outcomes. Here’s a clear guide—with local insights—to help you navigate the conditions.

What Defines a Buyer’s Market?

A buyer’s market emerges when the number of homes for sale outpaces buyer demand. On Oʻahu, this means more homes sit on the market, giving buyers negotiating leverage and the luxury of choice. In May 2025, Oʻahu’s single-family homes averaged 21 days on market, condos 39 days, and active listings rose significantly—condo inventory was up nearly 55% year-over-year.

Condo resale in particular leans buyer-friendly—Oʻahu’s condo inventory jumped over 50% in spring, with escalation clauses less common than past years.

What Defines a Seller’s Market?

A seller’s market appears when buyers outnumber available properties—prompting quick sales, bidding wars, and offers above asking price. This is still happening in pockets around the island: single-family homes in areas like Waipahu and Mililani see roughly 30–40% selling above ask.

How to Gauge the Market You’re In

1. Days on Market (DOM):
   • Longer DOM and rising inventory = buyer’s market.
   • Short DOM and frequent bid-ups = seller’s market.
2. Months of Remaining Inventory (MRI):
   • Over 6 months = buyer’s market.
   • Under 6 months = seller’s market.

In March 2025, MRI for condos on Oʻahu hit 6.4 months, the highest in 15 years—while single-family homes stayed around 3.5 months.

3. Sale-to-List Ratio:
   • Less than 100% = buyers are negotiating lower.
   • Over 100% = sellers are commanding premium dollars.

In Honolulu, only 12.7% of homes sold above list price, with a sale-to-list ratio of 97.4%, suggesting a tilt toward buyers.

What Buyers Should Do in Today’s Oʻahu Market

Given the softer conditions, buyers can:

• Secure a pre‑approval mortgage letter—and come ready to negotiate.
• Take advantage of longer DOM: shop patiently and compare options.
• Ask sellers for incentives, flexible closing dates, or repairs.
• Set a firm budget and know details to avoid overbidding in hot neighborhoods like Waipahu or Mililani, where competition persists.

How Sellers Should Respond

If you’re selling now:

• Price your home strategically based on comps—don’t overreach.
• Make a strong first impression—staging plus curb appeal boosts click‑through and showing interest.
• Be ready to negotiate on timelines, inspections, or price adjustments.

Neighborhood Highlights: Local Market Flash

Can Market Conditions Shift Fast?

Absolutely. Factors like interest rate adjustments, more listings, seasonal demand changes, or economic signals can tip the scales. In early summer 2025, rising inventory and steady mortgage rates (~6.6–6.8%) have shifted the tides toward buyers.

Should You Try Timing the Market?

Timing the market is rarely perfect. Life-stage choices—job changes, family needs, retirement, or investment planning—often outweigh short-term market cycles. Success is less about guesswork and more about expert guidance. Working closely with an experienced Real Estate Broker like myself, we can confidently craft your plan in any market.

Bottom Line: What It Means for You

As of mid‑2025, Oʻahu is showing signs of a buyer’s market, especially in the condo sector and many suburban areas. That means more homes, more negotiating power, and less urgency—great for buyers, and requiring strategic edge for sellers.

Whether you’re planning to buy, sell, or invest, let’s connect. I provide neighborhood‑by‑neighborhood insights so you can take action with clarity and confidence—no guesswork, just results.

Let’s make paradise your new address. Mahalo and Aloha, Jon.

(Note: All Photography by Tron Von Tran, unless labeled differently)