As housing prices climb on Oahu, expert describes how to build e - Hawaii News Now - KGMB and KHNL

As housing prices climb on Oahu, expert describes how to build equity

Image; Hawaii News Now Image; Hawaii News Now
HONOLULU (HawaiiNewsNow) -

Locations – Hawaii’s leading real estate firm – published its Oahu Residential Real Estate Report for September 2017. The report, which analyzes sales activity for more than 350 Oahu neighborhoods, concludes that Oahu home values continue their steady climb into fall, with condo median prices tied for the highest median price on record and Days on Market remaining at near-record lows. 

The Oahu median condo price hit $425,000 in September, tying for the highest condo median on record. The same median price was reached in July 2017, just two months ago. Prices continue to rise in 2017 over previous years.  Homes are selling faster than ever. The median days on market for Oahu homes hit 16 days – sellers are accepting offers in just over 2 weeks.

With prices rising steadily for the past several years, home equity is on the rise all across Oahu. Homeowners who purchased a home more than five years ago could have $150,000 or more in home equity.

“One of the primary benefits of homeownership in Hawaii is that home values continue to increase over time. Homeowners who purchased a single-family home at the median price in 2012 or before could now have $150,000 or more in home equity,” says Scott Higashi, President and CEO of Locations.

“In our current market, the combination of still very low interest rates and home equity built over time is allowing move-up homeowners to find the home that best suits their needs. However, homeowners need to be prepared to act quickly when they find the home of their choice. Half of all single-family homes sold in less than 16 days in September. A bright spot for condo buyers is that there were more condos for sale this summer than last summer.”

The Oahu median condo price reached $425,000 in September, tying for the highest median price on record. The same median price was reached in July 2017, just two months ago. Home prices in September reached $761,000, a 3 percent increase from last year. Prices are continuing to rise in 2017 over previous years.

Sales are strong and increasing across Oahu. In 2017, both single-family home and condo sales hit their highest point in more than a decade. Time to sell is dropping significantly in 2017, with Days on Market for both single-family homes and condos at or near-record lows. Low Days on Market is an indicator of competitive real estate market conditions and strong demand. Condo inventory for sale has increased in 2017, welcome news for future homeowners. There are more condos for sale this summer than last summer. When inventory is low, sales are constrained and competition for available properties increases.

Months of Remaining Inventory, also called absorption, is at record lows in 2017, the tightest supply conditions in more than 10 years. If no new properties came on the market, the existing supply would sell out in less than 3 months. Months of Remaining Inventory is also an indicator of the supply-demand balance.

Bid-ups are the percent of sales sold for over asking price with multiple offers. An indicator of demand and rising prices, bid-ups are holding steady at peak highs into the fall of 2017.

Copyright 2017. Hawaii News Now. All Rights Reserved.

  • Hawaii News Now headlinesNewsMore>>

  • Germany extends facial recognition test at rail station

    Germany extends facial recognition test at rail station

    Friday, December 15 2017 7:45 AM EST2017-12-15 12:45:42 GMT
    Monday, December 18 2017 2:32 AM EST2017-12-18 07:32:19 GMT
    Germany's top security official is extending tests of automatic facial recognition technology after an initial six-month trial showed the system had a good success rate.More >>
    Germany's top security official is extending tests of automatic facial recognition technology after an initial six-month trial showed the system had a good success rate.More >>
  • Forecast: Mostly clear skies, some vog ahead of strong cold front

    Forecast: Mostly clear skies, some vog ahead of strong cold front

    Monday, December 18 2017 12:04 AM EST2017-12-18 05:04:59 GMT
    Image: Hawaii News NowImage: Hawaii News Now

    Light winds and mostly clear skies are in the forecast for Monday, but an approaching cold front will combine with abundant moisture from the south to bring heavy showers and a chance of thunderstorms to most of the state by Monday night and Tuesday.

    More >>

    Light winds and mostly clear skies are in the forecast for Monday, but an approaching cold front will combine with abundant moisture from the south to bring heavy showers and a chance of thunderstorms to most of the state by Monday night and Tuesday.

    More >>
  • Flash Flood Watch to take effect Monday night

    Flash Flood Watch to take effect Monday night

    Sunday, December 17 2017 10:58 PM EST2017-12-18 03:58:55 GMT
    Image: Kevin Olson/FileImage: Kevin Olson/File

    Abundant moisture ahead of a slow-moving cold front could result in heavy showers and thunderstorms starting Monday night for Oahu, Maui County and the Big Island. 

    More >>

    Abundant moisture ahead of a slow-moving cold front could result in heavy showers and thunderstorms starting Monday night for Oahu, Maui County and the Big Island. 

    More >>
Powered by Frankly