With the first month of sales for 2013 in the books, we're happy to say that our prediction for 2012 was spot on: real estate on Maui is rapidly recovering from the great recession which began in 2008.
Early last year, buyers sensed that we had passed the "bottom" of the market and began picking up properties that were on the average 30 percent below peak prices, creating a quantum shift in the market.
Median year-to-date prices for homes rose 9 percent in December 2012 to $470,000 (average price $707,719), while condos increased 16 percent to $358,995 (average $470,614). The sampling numbers for land sales remained too small, but the median price rose 13 percent to $350,000 (average $562,024).
When you are ready to buy or sell, call Barry and Carol Brown.
As Board Chief Staff Executive Terry Tolman noted in January's Realtors Association of Maui statistics overview: "Well-priced properties are attracting multiple offers, making for a quick sale. Inventories have declined 16-18 percent over the past 12 months in Residential and Condo classes. Many short sales and REO (bank owned) properties are being absorbed as sales as we begin to move ahead to a more normal marketplace. Mortgage Interest Rates are still near historic record lows, which may help motivate would-be Buyers to go ahead and buy IF they can qualify. While general U.S. economic news looks cautiously hopeful, current World and U.S. events will have ripple effects on cost of living, consumer confidence, Financial and Real Estate Markets."
While the window of opportunity for super good deals may be closing, there are still some great opportunities for buyers who are patient, knowledgeable, and have the confidence to act quickly.
As Terry mentioned, well-priced properties receive multiple offers within their first week on the MLS. Of course, that's good news for sellers, who are feeling better about their prospects.
We still have a way to go before we get back to the values we saw prior to 2008, but with the stock market at all-time highs, and Maui's prices still well below their peaks, real estate on the most popular island in the world looks like a great place to invest.
It's always hard to determine which homes or condos are the best buys, but we're here to help you achieve your goal of finding your dream home or condo on Maui.
Our motto is "Service is Everything," so just say the word, and we'll send you the most comprehensive information possible, enabling you to make a confident decision on the best property for your needs.
Bottom line: If you want to buy low and sell high, don't wait any longer for the lowest prices - the right time to find your Maui investment is now. And if you're an owner who's been waiting to sell until the market has improved, now might be the right time to list while there are still good opportunities to reinvest, or use the funds for long-postponed dreams.
Whether you're buying or selling, we look forward to hearing from you soon! Aloha, Barry and Carol Brown.