HONOLULU, Hawaii (HawaiiNewsNow) - The pandemic is having an unexpected ripple effect from the pandemic.
More wealthy people from the mainland are moving to Hawaii, driving up high-end real estate sales.
Real estate experts said the sales volume of homes over $1 million has picked up in the past several months on Oahu and on Kauai.
“On Kauai, the $5 million, $6 million and $7 million homes -- all the inventory is gone,” said real estate expert Ricky Cassiday. “On Oahu, it’s condominums over $7 million.”
Cassiday said the buyers include Silicon Valley executives and financial services managers, who are leaving the pandemic-struck regions. They’re keeping their jobs and are tele-working from Hawaii.
Meanwhile, there is also a boom in prices for middle-class homes, propelled by low interest rates and new workplace trends.
“People are working from home, no longer is traffic so much of an issue,” said Maila Gibson-Bandmann, Realtor-Association at Locations Hawaii.
She said Hawaii’s stay-at-home orders has led to increased demand some markets such as Central Oahu.
“There was a home at Mililani Mauka that was (recently) listed at $885,000. It sold over the asking price and went into escrow in less than six days. It closed at $947,000,” she said.
Experts say that trend could continue so long interest rates go back up or if the economy here continues to get worse.