The rising interest rates have lessened the number of buyers we have for condominiums, especially vacation rental condominiums. I’m seeing longer days on market and not the multiple offers that we had gotten before. I believe the condo market will start looking more like it did in 2019, which is a change that needed to happen. The feeding frenzy when something new hit the market was not sustainable. And, it was no fun when you are working with a buyer!
We’ll take a look at where the condo market is at for the end of June 2022 and compare that to this same time last year. These numbers will not reflect what has been happening for the last couple of weeks, I expect that to show up in the coming months.
Kauai Condo Market Update
The number of condominiums sold is down in all areas except Lihue which has the highest concentration of residential condominiums. Year to date 2022 249 condominiums have sold compared to 325 last year, this is a 23.38% decrease. On the South Shore we have a slight 3.81% decrease in sales at 101 compared to 105 last year. The North Shore had a 48.31% drop in the number of sales from 46 this year to 89 in 2021. Lihue had a 15.52% gain with 67 condominiums sold compared to 58 last year.
The Median Price for a condominium at the end of June 2022 on Kauai is $708,000, which is a 15.88% gain from 611,000 last year. The south shore had a -10.61% decrease at 708,000 from 792,000 a year ago, this being due to the leasehold sales at the Kiahuna Plantation, which are on the rise. The north shore is up 31.60% with their median price at 987,000 compared to 750,000 last year. Lihue had a similar gain at 31.06% with a new median price of $500,000 compared to $381,500 last year, the driver for this increase is the buyers being priced out of the residential market and buying a condominium instead.
These numbers are general in nature and might not reflect your particular area of interest. You’re welcome to call me to find out how these numbers relate to your favorite condominium complex.
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