The median worth of a house in Maui County dipped beneath $1 million for the primary time in practically a yr, because the housing market “continues to shift in a extra buyer-friendly route,” in response to the most recent report from the Realtors Affiliation of Maui.
The median gross sales worth of $983,575 for a single-family residence in August was a 5.9 % lower from the median worth of $1,045,000 in August 2021 and an indication of the altering market after a summer time of record-high gross sales costs and mortgage charges that discouraged many patrons.
“Inflation, increased rates of interest and fears of a possible recession have taken a toll on patrons and sellers this summer time, main many individuals to remain on the sidelines to see what’s going to occur with the market,” mentioned the report, which was launched Monday.
Some specialists, together with Nationwide Affiliation of Realtors Chief Economist Lawrence Yun, consider the worst of inflation could also be over, in response to the report.
“Though gross sales costs stay up from this time final yr, worth progress is anticipated to reasonable within the months forward because the market continues to shift in a extra buyer-friendly route,” the report mentioned.
The final time the median gross sales worth dropped beneath $1 million in Maui County was October 2021, when the median worth was $930,000. Over the summer time, Maui County set a brand new document for median residence costs at $1,252,500 in June.
Whereas the 99 new listings, 87 closed gross sales in August had been a lower from the 135 new listings and 122 closed gross sales in August 2021, the stock of properties on the market final month was an enchancment at 279, an 18.7 % improve over the 235 properties within the August 2021 stock.
There have been 70 pending gross sales in August, a forty five.3 % lower from the 128 pending gross sales in August 2021, a doable reflection of the client pattern of ready out the sky-high costs.
Houses that offered in August had been available on the market for a mean of 119 days, barely longer than the 114-day common in August 2021.
Nevertheless, whereas the housing market confirmed some indicators of reduction when it comes to pricing, the condominium market skilled a soar, with a median gross sales worth of $820,000 in Maui County in August, a 26.6 % improve over the identical time final yr. This tied April’s median worth and was the best in a minimum of a decade.
The 97 new rental listings in August had been a 40.1 % decline from the 162 new listings on the similar time final yr, whereas closed gross sales additionally took a dive from 190 to 103. Pending gross sales dipped 30.7 % from 150 to 104.
August’s stock of condos on the market was 213, a 33.1 % improve over the 160 condos within the stock in August 2021.
Condos had been additionally being scooped up a lot quicker — models that offered in August had been available on the market a mean of 79 days, a 21.8 % improve over the 101-day common on the similar time final yr.
Central Maui continued to be the most popular marketplace for single-family properties, as 25 offered in Wailuku with a median gross sales worth of $941,600. 9 properties offered in Lahaina with a median worth of $1.65 million, whereas eight offered within the Kula-Ulupalakua-Kanaio space with a median worth of $1.16 million.
The most costly market was Kapalua, the place two properties offered with a median gross sales worth of $7.9 million.
The least costly properties had been on Molokai, the place 4 offered with a median gross sales worth of $512,500.
Kihei continued to be some of the well-liked areas for rental gross sales, with 34 models promoting with a median gross sales worth of $679,000. One other 23 condos offered within the Napili-Kahana-Honokowai space with a median gross sales worth of $808,379, whereas 9 models offered in Kaanapali with a median gross sales worth of about $1.14 million.
The priciest space was Wailea-Makena, the place eight bought models had a median worth of about $3.2 million, whereas the least costly space was Kahului, the place 4 models offered with a median worth of $184,250.
“Summer time 2022 has been a season of change for the U.S. actual property market,” the report mentioned. “With housing affordability at a 33-year low, existing-home gross sales have continued to melt nationwide, falling 5.9 % month-to-month and 20.9 % year-over-year as of final measure, in response to the Nationwide Affiliation of Realtors (NAR).
“Pending residence gross sales have additionally continued to say no, whereas new listings have steadily elevated, with unsold stock reaching 3.3 months’ provide at first of August. The pullback in demand has been notably arduous on homebuilders, inflicting new-home gross sales and building to gradual.”
* Colleen Uechi could be reached at firstname.lastname@example.org.