Real Estate Market Update – 2024 Q3
As we enter the final quarter of 2024, Hawaii’s real estate market faces both opportunities and challenges. Recent data from the University of Hawaii Economic Research Organization and the Honolulu Board of Realtors highlight evolving trends, while the Federal Reserve’s recent interest rate cut is poised to influence the market, potentially boosting buyer activity and impacting home sales in the coming months.
Market Overview: The Federal Reserve recently cut interest rates for the first time in four years, creating more favorable borrowing conditions. This move is expected to lower mortgage rates, making homeownership more accessible. Though the impact may take time, it should encourage both buyer activity and sellers to list their homes.
Hawaii’s Real Estate Market at the End of Summer 2024: In August 2024, the median sales price for single-family homes rose slightly to $1,122,000, a 1.1% increase from August 2023. Condominium (condo) prices, however, dropped by 2.9%, with the median price at $500,000. The number of single-family home sales saw a modest 0.4% increase, while condo sales fell by 5%. The median days on market for single-family homes decreased to 14 days, indicating quicker decision-making by buyers. Conversely, the condo market is facing challenges, with many units staying on the market longer as issues involving association insurance policies, low reserves, and condo repairs are resolved.
The condo market has been significantly affected by insurance premiums for condo buildings surging due to higher risks from natural disasters, increased insurance claims in older buildings, and less insurers in the market. This along with deferred maintenance in older buildings and low reserves are factors that have made it difficult for buyers to obtain mortgages, as lenders are hesitant to lend for properties with insufficient insurance coverage and building reserves or unaddressed maintenance issues. This has contributed to the 5% decline in condo sales and longer market times, with condos now taking an average of 28 days to sell—10 days more than in August 2023.
Looking Ahead: The Federal Reserve’s interest rate cut is expected to provide some relief to mortgage borrowers, encouraging more buyers to enter the market. However, the condo insurance and maintenance issues will likely remain a factor in the short term, affecting condo sales. As the insurance market stabilizes and buildings update their capital improvements, condo sales should recover. Single-family homes will continue to see increased buyer interest.
If you are considering selling or buying property or want to learn more about current market conditions, feel free to contact us. Our team is ready to help you navigate Hawaii’s dynamic real estate market and capitalize on available opportunities.
Introducing the Kiriu Sasaki Team
Myron & Ambur Kiriu are excited to announce a new chapter. Partnering with long-time team member, Sherrie Sasaki, we are proud to introduce the Kiriu Sasaki Team.
Sherrie joined Team Kiriu in 2012, bringing with her a unique background. She holds a Bachelor of Science degree in Geology & Geophysics and a Juris Doctorate degree, working as a Project Geologist for five years and was a licensed attorney in Hawaii for ten years.
In this partnership, Myron brings over 30 years of experience as one of Hawaii’s leading real estate agents, with years of experience as a CPA and a Bachelor of Science degree in Business Administration with a focus in Accounting and Finance. His extensive financial expertise guides clients through real estate transactions and provides support to ensure those transactions are financially sound. Together, they create a dynamic real estate team dedicated to delivering the highest level of service for their clients’ real estate needs.
The Kiriu Sasaki Team looks forward to serving the real estate community and valued clients with an even greater excellence.
Woods Place #9
(Representing Seller)
Makiki Heights | 2835 Round Top Drive
Listed at $7,888,000 fs (Representing Seller)
Kailua Beach | 572C N Kalaheo Avenue
Listed at $19,800,000 fs (Representing Seller)
Makiki Heights | 2835 Round Top Drive Listed at $7,888,000 fs (Representing Seller)
Kailua Beach | 572C N Kalaheo Avenue
Listed at $19,800,000 fs (Representing Seller)
Seller)
St. Louis Heights | 1554 Kanalui Street Sold at $1,960,000 fs (Represented Seller)
Wilhelmina Rise | 3802 Mariposa Drive Sold at $1,850,000 fs (Represented Buyer)
Makiki Heights | 2835 Round Top Drive
Listed at $7,888,000 fs (Representing Seller)
Kailua Beach | 572C N Kalaheo Avenue
Listed at $19,800,000 fs (Representing Seller)
Makiki Heights | 2835 Round Top Drive
Listed at $7,888,000 fs (Representing Seller)
Kailua Beach | 572C N Kalaheo Avenue
Listed at $19,800,000 fs (Representing Seller)
Woods Place #9 (Representing Seller)
Place
(Representing Seller)
Makiki Heights | 2835 Round Top Drive
Listed at $7,888,000 fs (Representing Seller)
Manoa | 3285
Beaumont Woods Place #9
Listed at $2,458,000 fs (Representing Seller)
Makaa Steet
(Representing Seller)
Mariners Ridge | 915 Kahauloa Place
Sold at $2,320,000 fs (Represented Buyer)
Kamiloiki | 1280 Miloiki Street
Listed at $3,150,000 fs (Representing Seller w/ Jessica Yuhara R (S))
Makaa Steet
(Representing Seller)
Mariners Ridge | 915 Kahauloa Place
Sold at $2,320,000 fs (Represented Buyer)
Kamiloiki | 1280 Miloiki Street
Listed at $3,150,000 fs (Representing Seller w/ Jessica Yuhara R (S))
Makiki Heights | 2835 Round Top Drive Listed at $7,888,000 fs (Representing Seller)
Place (Represented Seller)
Diamond Head | 3703 Poka Place
at $4,880,000 fs (Represented Seller)
Makiki Heights | 2835 Round Top Drive
Listed at $7,888,000 fs (Representing Seller)
Lilo Place (Representing Seller)
St. Louis Heights | 1554 Kanalui Street
Seller)
KIRIU SASAKI TEAM
RESTAURANT SAVINGS
