Over the past decade, we’ve gone from people wanting to downsize, to those embracing tiny home living, back to I want a bigger space, privacy, and more land! We are still hearing that the market is slowing. The numbers certainly don’t support that.
Every single neighborhood I track has far more demand than supply. As long as this trend continues, the market will remain steady. There are subtle changes but, in the end, the market still favors sellers. Besides a severe inventory shortage, here’s what I’m seeing.
Trending in East Hawai`i:
- Video tours seem to have decreased.
- In-person showings, even by mainland buyers, seem to be on the rise.
- We’re still receiving multiple offers but there are fewer showings overall.
- This tells me the market is cooling but demand is still there. Watch this.
Hilo & Hawaiian Paradise Park
The chart above compares 3rd qtr 2020 to the 3rd qtr of this year. Looking at last quarter (2nd qtr 2021), sales numbers in Hilo increased from 79 to 112. The median price rose from $381,750 to over $468,000 this quarter.
Now consider Hawaiian Paradise Park. Last quarter (qtr 2/2021) there were 98 sales with a median sale of $372,500. This past quarter, sales numbers rose to 100 (fairly steady) while the median price increased to $432,877! If this trend continues, prices in HPP will soon eclipse Hilo!
Take time to compare the numbers. Even the projected demand hasn’t kept pace. For instance, between Oct 1, 2020 thru Sept 21, 2021, the Hilo area saw 411 homes change hands. When I prepared the update in October 2020, the theoretical demand was for 320 homes to change hands. The HPP demand based on closings during the same period was for 380 homes. The number was 400!
What About My home?
Don’t see your neighborhood here, just contact any member of Team Nakanishi and we’ll set you up for complete and tailored information for any property on Hawai`i Island…and trust me, McMansions and tiny houses and everything in between are definitely in vogue!