September 2021 Market Update

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Falling Prices?

August 2021 Sales Quick Facts

Median Sales Price for a Single Family Home
$1,040,000
(down 1% from last month; up 30.1% over last year)

Median Sales Price for a Condo
$650,000
(down 8.5% from last month; up 11.1% over last year)

% of List Price Received
Single Family 98.81%
Condo 98.98%

Average Price per Sq Ft
Single Family $780.24
Condo $904.76

Average Days On Market
Single Family 114
Condo 114

As home prices soared over the last several months (up more than 30% over last year,) we have begun to see some price drops. Does this mean that home prices are falling? The answer seems to be no. The falling prices we are seeing are largely the result of price corrections for ambitiously priced properties during a time of high demand and very low inventory. For properties priced at true current market value, we are still seeing multiple and over-asking-price offers, especially for single family homes under $1M.

All indications show we are still in a hot market with lack of inventory fueling what can be interpreted as a slow down. That said, autumn is historically a slower time for real estate on Maui. While inventory remains incredibly low for move-in ready single family homes under $1M, inventory in fixer-uppers and homes over $1M are gaining ground.

Mortgage rates are expected to remain low through the beginning of next year, and job recovery for Maui is expected to be higher than the rest of the country,. Now would be a great time for Maui first-time homebuyers and residents wanting to size up to start their planning and the implementation of their plans for their future home purchase.

Li Hay