COVID19 UPDATE
Big Island

More of the Same… on Steroids!

Only those who have absolutely no interest in real estate (is there such a person?) will be surprised to learn that inventory is low and prices are still inching up. It’s difficult to isolate the most important factors driving the current market but as I look at the chart, it’s clear that supply and demand will continue to cause prices to creep up.

Active Listings

The fourth column from the left combines the number of homes currently under contract/contingent (technically still active) with the active numbers to indicate current supply. We assume many of the under-contract properties will move to close, so the “active” numbers are certainly skewed on the high side. The demand number is derived by extrapolating the number of closed sales during the most recent quarter times 4 to determine the theoretical demand for the upcoming year.

Under Contract

You may recall that Danny Krause, our team stats guy, began tracking under contract homes on the East side of Hawai‘i Island in June. At that time, there were 207 homes moving to close. At the beginning of COVID, we logically expected a downward sales trend. Watch this.

During this past week’s Real Estate Wine’d Down, (our bi-weekly online meeting) the number of homes under contract ballooned to around 350! With many deciding to shelter in place and delay selling, inventory has remained very low.

The New “Showing” Norm

Meanwhile, agents have learned to sell property in an entirely different way. Sight unseen is no longer an anomaly. We have come to embrace this alternate sales method. Video including in-person walk-throughs supplemented by Matterport tours and pre-recorded video has become part of our normal marketing package. This only increases the importance of a great online presence.

Lava? What Lava?

In the “oh, how fast we forget” category, Leilani homes are selling. This past quarter saw 9 homes move to close and 7 are under contract. During the lava event, air quality at the Volcano Golf Course (and surrounds) became an issue. Not only is that market brisk, but sales over $650,000 are happening.

Join Us Online!

Team Nakanishi continues to track important issues as part of our Real Estate Wine’d Down Series. Join Ryan Kadota for great wine selection, and a new guest presenter every other week. Email us for your Zoom invite!

About the Author

Denise Nakanishi

Denise Nakanishi is a REALTOR Broker with Hawai'i Life. Denise Nakanishi is one of Hilo's most acclaimed real estate agents. She reached the rank of Major in the US Army and is now known by many as "Major Mom." The nickname fits–not only does Denise bring the discipline and mission-oriented attitude you'd expect, she's also caring and compassionate, always looking out for her clients like they're her own family. Having made the Big Island her home since 1987, Denise combines her extensive knowledge of the area with a sharp focus on customer service and the results speak for themselves. She's the recent recipient of the Best East Hawai`i, Best of Zillow, Chairman's Circle Award, President's Circle, Top Producing Agent since 2001, and Realtor of the Year awards. Denise stays ahead of the curve because she's passionate about education–she served as Education Chair for Hawaii Island REALTORS® for many years. She's one of Big Island's best real estate resources, known for her weekly article in the Hawaii Tribune Herald. Denise leads Team Nakanishi for Hawai`i Life, who is committed to their family, work, and community. In her little time away from work, Denise is a committed runner and Grandy. She also devotes many hours to various Veterans' Organizations, the East Hawaii Cultural Center, and the Hawaii Island REALTORS®. You can email me at denise@hawaiilife.com or via phone at (808) 936-5100.

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