According to the Hawaii Information Service statistics for September 2019, in North Kona, the median price of a single-family home for September 2019, is BELOW that of September 2018 at $688,000 this year compared to $719,500 last year. Year to date, the median price of a home in North Kona is $648,838 compared to 2018 when it was $655,000, .94% decrease year over year.
The condominium market in North Kona has popped up 13.95% year over year from the median price of $297,500 in 2018 to $339,000 in 2019. Year to date the median price has increased by 4.02% from last year from $330,00 to $343,250.
In North Kona, 45 single family homes sold in September 2019 vs 38 in 2018, an 18% increase year over year. For condos, 299 were sold last year vs 35 in 2019. In South Kohala, number of homes and condos sold only varied by two sales less this year than last.
Signs Showing Market Peak?
Interesting to note, according to the Griggs Report, the total 12 month sales for homes priced up to $4.0M remain well over 500. This is reminiscent of the numbers seen in 2002-2003 leading up to the last market peak. If pending sales remain in the 90+ range, we should continue to see 500+ sales per 12 months on homes priced below $4.0M.
Would be homebuyers are looking for the sweet spot under $700,000 with 50% of the sales in September falling within the $400K to $700K price range, with only 55 homes listed under $900K.
Interest in buying a home on Hawaii Island is strong in both East and West Hawaii as the pending ratio has increased in both markets. Usually home sales slow and inventory increases in the early fall, but this year, activity remains brisk. Shrinking inventory
Similar to residential and condo statistics, land statistics show a shrinking inventory. The continued strong sales numbers will contribute to a decline in inventory and increased price pressure, which is already showing up as the median price has increased 9% after many months of showing decline. Pending sales declined this past month.