HONOLULU (HawaiiNewsNow) - Locations – Hawaii's leading real estate firm – published its Oahu Residential Real Estate Report for November 2017. The report, which analyzes sales activity for more than 350 Oahu neighborhoods, concludes that Oahu home values continue to rise at a steady pace, with double-digit increases in sales for both single-family homes and condos, and a welcome increase in available condos.
Both single-family home and condo sales saw double-digit increases in November, with an increase of 14 and 15 percent, respectively, pushing up year-to-date sales above expectations. Median prices for both single-family homes and condos rose over last year, at four and three percent, respectively. Days on Market for single-family homes fell 16 percent from last year. The median days on market for Oahu homes in November was just 16 days. Days on Market for condos increased by 11 percent to just under three weeks. New Listings for condos increased by 25 percent in November to 625, while active condo listings rose 10 percent to 1,419 – offering more choices for future homeowners. The number of available condos for sale has been up over last year since summer 2017.
"November was another strong month for home sales, with double-digit increases for both single-family homes and condos," says Scott Higashi, President and CEO of Locations. "We also saw a significant increase in condo inventory, however, there was no slowing in the market and Months of Remaining Inventory stayed flat."
"While the winter months tend to be slower in real estate, that doesn't appear to be the case this year. With interest rates below four percent and lower than last year, coupled with a large increase in new and active condo listings, now is an attractive time for future homeowners, particularly first-time homeowners, to act – especially as prices are expected to rise steadily in 2018. Homeowners who have been considering listing their home in the spring may want to consult with their REALTORS® about placing their home on the market now, as demand has clearly not abated despite the upcoming holiday season."
Median prices in November 2017 ticked up slightly over last year, with the median single-family home price up 4% to $780,000, and the median condo price up 3% to $408,000. Prices continue to rise in 2017 over previous years. Sales are strong and increasing across Oahu. November was a particularly strong month, with single-family home and condo sales up 14% and 15% over last year, respectively. Sales hit their highest point in more than 10 years in 2017.
Time to sell dropped in 2017. Days on Market for single-family homes remains at 16 days, bucking the typical seasonal trend. Low Days on Market is an indicator of both competitive real estate market conditions and strong demand. Condo inventory for sale increased in 2017. The number of condo active listings is greater than the past two Novembers, bucking a typical seasonal trend downward. Low inventory constrains sales and increases competition for available properties. Months of Remaining Inventory (MRI), also called absorption, is at record lows in 2017. MRI for single-family homes dropped to 2.5 months, its lowest point in more than 12 years. MRI is an indicator of the supply-demand balance.
Bid-ups are the percent of sales that are bid-up over asking price in competitive bidding. An indicator of demand and rising prices, bid-ups are holding steady at peak highs in fall of 2017.