County median home price climbs to near record levels

Condo median prices down 3.6 percent

The October median price of a single-family home in Maui County came within $6,000 of the $780,000 record set in May 2005 and tied in July 2006, the dizzying heights reached before the real estate bubble burst nationally in 2008.

The Realtors Association of Maui reports that the October median single-family home price in Maui County was $774,223, a 15.8 percent increase over the same month last year. The October figure for homes marked the fifth straight month of $700,000-or-higher median home sales prices.

Aside from October, those months were: June, $725,000 (down 2 percent from the same month last year); July, $764,500 (up 9.1 percent); August, $700,000 (no change from a year earlier); and September, $754,248 (up 16 percent from the previous year).

Condo prices in the county were down 3.6 percent to $499,000 in October. For the 12 months ending in October, however, median condo sales prices are up 10.2 percent to $485,000. (Median prices are determined to be at a point where half the sales for a given month are higher and half lower.)

The association’s narrative opens by saying: “If the last few months are an indication of the temperature of housing markets across the country, a period of relative calm can be expected during the last three months of the year. A trend of market balance is emerging as we approach the end of 2018. Prices are still rising in most areas, and the number of homes for sale is still low, but there is a general shrinking of year-over-year percentage change gaps in sales, inventory and prices.”

Maui County’s October housing affordability index fell 18.9 percent to 43 for single-family homes in the county. It was down 1.5 percent to 67 for condos.

The index number represents housing affordability for a region. For example, an index of 120 means the median household income is 120 percent of what is needed to qualify for the median-priced home under prevailing interest rates. A higher number means greater affordability.

A number of the association’s statistical metrics point to the monthly story of Maui’s hot housing market: low inventory, high demand and rising prices.

In October, the inventory of single-family homes fell 15.4 percent to 467, compared with the same month in 2017. The 12-month average inventory for homes was 534, down 8.6 percent.

By percentage, the October inventory for condominiums was in worse shape in terms of price affordability. The inventory of available condo units for the month dropped 19.9 percent to 532. The 12-month average condo inventory was 622, down 20.3 percent.

A lack of new listings aggravated the lack of inventory. Single-family home new listings went down 3.3 percent in October to 119, and the 12-month average for monthly new home listings was 128, down 7.2 percent. For condominiums, new listings for the month were off 17.2 percent to 159, and the 12-month average was 161, down 11 percent.

For single-family sales, year to date, January through October, the number of homes that changed hands rose 3.1 percent to 967. The year-to-date median sales price was up 1.4 percent to $705,000 for homes. The average sales price went up 1.4 percent to $1,033,905. (Average prices can be skewed up or down by a very high or low transaction.)

The total dollar tally for homes in the year’s first 10 months was up 4.6 percent to $999,784,985, compared with the same period last year.

By region, the most single-family home sales for the January-through-October period were: Wailuku, 220 sales, up 25 percent; Kihei, 147, down 2 percent; Kahului, 117, down 14.6 percent; Haiku, 80, up 6.7 percent; and Kula-Ulupalakua-Kanaio, 61, down 12.9 percent — all compared with the same period last year.

In Wailuku, the median sales price grew 6 percent to $654,500. In Kihei, median home prices slid down 3.8 percent to $688,025. In Kahului, home prices rose 13.4 percent to $679,000. In Haiku, prices went up 13.2 percent to $830,000. And, in Kula-Ulupalakua-Kanaio, prices were up 11.8 percent to $950,000.

The most expensive homes countywide were in Kapalua, where eight homes sold in the first 10 months of the year for a median price of $2.84 million, up 14.2 percent from last year. The second most expensive was in Maalaea, where a single home sold for $2 million. But, that was 42.9 percent lower than the $3.5 million price of a single home that sold in the area last year.

The most sales in a luxury area was the 31 transactions for the year in Kaanapali, a 63.2 percent increase in sales volume. The median price was $1.75 million, no change from last year.

The least expensive sales prices were found on Molokai and Lanai. On the Friendly Isle, sales volume rose 28.6 percent to 27 homes, which sold for a median price of $320,000, down 24.7 percent from last year. On Lanai, sales volume dropped 5.3 percent to 18 homes, which sold for a median of $455,000, an increase of 18.2 percent.

Upcountry homes were middle of the road in terms of highs and lows. In Makawao-Olinda-Haliimaile, 49 homes sold, a volume increase of 4.3 percent. Homes in the region sold for a median of $648,500, up 2.9 percent. In Pukalani, 33 homes sold, a 23.3 percent drop in volume. Residences in the area went for $725,000, up 6.5 percent.

For year-to-date sales of condominiums, there were 1,412 sales countywide, a 19.2 percent increase in volume. Median prices for the year went up 10.8 percent to $498,500. The average sales price was up 5.3 percent to $724,201.

The total dollar amount for condominiums was up 25.5 percent to $1,022,571,197, compared with last year.

The 514 sales in Kihei alone represented 36.4 percent of condo sales countywide for the year. Kihei condo unit sales volume was up 13.5 percent. Runner-up in sales volume was the Napili-Kahana-Honokowai region with 215 units exchanging hands, up 15 percent. Wailea-Makena was third with 193 unit sales, up 63.6 percent, followed by Kaanapali with 149 sales, up 35.5 percent, and Wailuku with 133 units sold, up 34.3 percent.

The median sales price in Kihei grew 8.2 percent to $409,000. In Napili-Kahana-Honokowai, the sales price was up 6.6 percent to $437,000. In Wailea-Makena, the median price was up 6.6 percent to $1,146,008. In Kaanapali, it was down 4.6 percent to $775,000, and Wailuku was up 17 percent to $438,750.

Condo bargain hunters could search in Kahului, where 27 units sold for the year, an 18.2 percent drop in volume. The median price for a Kahului condo was $125,000, up 31.6 percent from a year ago.

The see the full report, go to www.ramaui.com, click on the market statistics icon and the October 2018 report.

* Brian Perry can be reached at bperry@mauinews.com.