The island of Oahu, the main port of call for the Hawaiian Islands, famous for its Waikiki Beach, international shopping and tourist attractions such as Pearl Harbor, is starting to have a real estate comeback.
The North Shore
"One of the last rural areas of Oahu, the North Shore is definitely the "country," says Realtor Cece Bulkley . "Beautiful sandy beaches, awesome sunsets, the biggest surf in the world as well as some of the best diving. From swimming, horseback riding, surfing or kayaking, this is one of the best rural areas in Hawaii."
Prices are rising, says Bulkley. "The North Shore home and condo prices have been going up, and with interest rates going down, properties are selling quickly if priced reasonably. The existing inventory is slowing disappearing, especially the condo market. The average home price is $300,900 and condos are about $124,500."
Hawaii Kai is a residential neighborhood located in the south east section of Honolulu on Oahu," explains Realtor George Krischke . "Developed by Henry Kaiser in the early 1960s, Hawaii Kai features a marina with waterfront homes, townhouses and condominiums."
He says, "This is truly the best market for buyers and sellers we have seen in years. How could it be great for buyers and sellers? Well, here is why: mortgage rates are at record low levels (not seen since 1967) and prices are still attractive (compared to where prices have been during the past 12 years since the market peaked in 1990). Great for buyers. However, since 1997, steadily increasing buying demand has been "absorbing" the available inventory to levels not seen since records were kept in 1986. This is great for sellers. This shortage of inventory is creating more of a 'seller's market.'
"The median sales price for single family homes in the Hawaii Kai area "year-to-date through 9/30/2002" is at $483,000 (up 11 percent compared to same time frame last year) and $265,000 for condominiums (up 7.5 percent compared to same time frame last year.) The factors contributing to a strong home resale market remain in place. The overall market is likely to maintain it's strength and moving higher throughout the year 2002."
Says Realtor Barbara Erskine , "On Oahu, by the end of September, 2,871 single family homes had sold this year, compared to 2,573 in 2001. The median sales price was $329,000 compared to $295,000 a year ago, and the average price $404,745 vs. $372,703 last year. Metro Oahu gained 15.9 percent in number of sales, and 16.3 percent in median price.
"For condominiums," she explains, "the number of sales this year over last increased 20.9 percent from 3,923 through 9/30/02 over 3,245 last year. Median price rose 11.2 percent to $149,000, and average price 4.7 percent to $178,445. Metro Oahu gained 20.8 percent in numbers, and 3.3 percent in median price, to $155,000."