Housing prices expected to rise even more
Housing prices expected to rise even more
- 2004-05-03 - Pacific Business News (Honolulu)
Oahu's housing prices are expected to go only one way -- up -- in the next few years, according to economists speaking at the Hawaii Economic Association's annual conference Friday.
Sales in 2004 will exceed last year's while prices will continue to increase, according to Harvey Shapiro, market analyst for the Honolulu Board of Realtors.
Growing demand, low interest rates and a very limited inventory are all contributing factors, according to Shapiro.
He noted the following real estate trends:
Residential sales expansion has occurred for the past 27 quarters.
Properties are selling significantly faster. In 2003, single-family homes sold in 26 median days compared to 45 days in 2001 (from the listing date to contract date). Condos sold in 42 median days in 2001 compared to 27 median days in 2003.
Price appreciation continues.
Consumers are paying premiums above the asking price. In 2003, 18.2 percent of buyers paid more than the asking price, compared to 11.2 percent in 2001 for single-family homes. In 2003, 10.4 percent paid a premium, up from 8.9 percent in 2001.
Inventory remains low -- even lower than at any point during the height of the Japanese bubble from 1989-1990.
The median sales price in Oahu reached a record $420,000, up 20 percent from $350,000 in 2003 -- with the highest prices in East Oahu.
The Leeward side has the lowest median price for a single-family home at $339,000, but also experienced the highest jump. In 2003, the median price for a single-family home on the Leeward side was $278,500.
The picture also looks bright on neighbor islands, according to market consultant Paula Harris of the Harris Company.
Resort homes are booming all along the Kohala coast and from Waikoloa to Waimea Bay on the Big Island. High-profile celebrities are also boosting the cache of homes on the north shore of Kauai, while the inventory of condominiums remains tight.
Realtors on Maui -- which is experiencing a rise in prices -- are taking their clients to Molokai for comparison shopping on lots and homes. The available lots are practically gone.
Meanwhile, the landscape of Oahu is changing with an influx of high-rise condominiums in Kakaako.
- 2004-05-03 - Pacific Business News (Honolulu)
Oahu's housing prices are expected to go only one way -- up -- in the next few years, according to economists speaking at the Hawaii Economic Association's annual conference Friday.
Sales in 2004 will exceed last year's while prices will continue to increase, according to Harvey Shapiro, market analyst for the Honolulu Board of Realtors.
Growing demand, low interest rates and a very limited inventory are all contributing factors, according to Shapiro.
He noted the following real estate trends:
Residential sales expansion has occurred for the past 27 quarters.
Properties are selling significantly faster. In 2003, single-family homes sold in 26 median days compared to 45 days in 2001 (from the listing date to contract date). Condos sold in 42 median days in 2001 compared to 27 median days in 2003.
Price appreciation continues.
Consumers are paying premiums above the asking price. In 2003, 18.2 percent of buyers paid more than the asking price, compared to 11.2 percent in 2001 for single-family homes. In 2003, 10.4 percent paid a premium, up from 8.9 percent in 2001.
Inventory remains low -- even lower than at any point during the height of the Japanese bubble from 1989-1990.
The median sales price in Oahu reached a record $420,000, up 20 percent from $350,000 in 2003 -- with the highest prices in East Oahu.
The Leeward side has the lowest median price for a single-family home at $339,000, but also experienced the highest jump. In 2003, the median price for a single-family home on the Leeward side was $278,500.
The picture also looks bright on neighbor islands, according to market consultant Paula Harris of the Harris Company.
Resort homes are booming all along the Kohala coast and from Waikoloa to Waimea Bay on the Big Island. High-profile celebrities are also boosting the cache of homes on the north shore of Kauai, while the inventory of condominiums remains tight.
Realtors on Maui -- which is experiencing a rise in prices -- are taking their clients to Molokai for comparison shopping on lots and homes. The available lots are practically gone.
Meanwhile, the landscape of Oahu is changing with an influx of high-rise condominiums in Kakaako.
posted by DP at 4:42 PM
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