County sees dip in sales as home prices hover over $1M
New listings and closed sales for homes and condos took a dive in July while inventory improved — all signs that the housing market is continuing to cool.
There were 76 new listings for single-family homes in Maui County in July, a 38.7 percent decrease from the 124 new listings in July 2021, according to a report from the Realtors Association of Maui released Wednesday. Pending sales also tumbled 41.7 percent from the previous year, from 120 to 70, while closed sales dipped 20 percent from 110 to 88.
The condominium market had 103 new listings in July, a 16.9 percent decline from the 124 new listings in July 2021, while pending sales fell 39.5 percent from 157 to 95 and closed sales plunged 52.9 percent from 210 to 99.
Part of the decline in sales for homes and condos could be attributed to continually high prices. While lower than June’s record price of $1,252,500, the median sales price for a single-family home in July was still high at $1,102,500, a 5 percent increase over the median sales price of $1,050,000 in July 2021.
The median sales price for condos in Maui County was $789,500 in July, an 11 percent increase over the $711,500 median sales price reported in July 2021.
“The U.S. housing market has continued to cool, as rising mortgage rates and record-high sales have stifled affordability, weakening demand and pricing out a multitude of buyers,” the report said. “Nationally, median household income has failed to keep pace with increasing mortgage payments, with the costs of buying a home about 80 percent more expensive now than they were just three summers ago, according to the National Association of Realtors (NAR).”
The struggle to buy housing, meanwhile, is putting more pressure on the rental market.
“As more and more prospective buyers find their home purchase plans delayed, many are turning to the rental market, where competition has intensified due to increase demand,” the report stated.
One “bright spot,” according to the report, is that as sales have fallen, inventory has improved. In July, there were 262 single-family homes for sale in Maui County, a 6.5 percent increase over the 246 homes for sale in July 2021. The condo market saw an even bigger leap, with 232 units for sale in July, a 41.5 percent increase over the 164 available in July 2021.
While still far lower than prior to the pandemic, inventory in recent months has started to trend upward. Since January 2021, the number of properties available for sale each month has been less than it was a year prior. June and July were the first time since January 2021 that both single-family homes and condos saw an uptick in inventory over the same months in the previous year.
Central and South Maui were the most popular markets for single-family home sales in July. A total of 13 homes sold in Wailuku with a median sales price of $929,000, while 12 homes sold in Kahului with a median sales price of $957,500 and 12 homes sold in Kihei with a median sales price of $1,412,500.
The most expensive markets were Kapalua, where three homes sold with a median sales price of $5,200,000, and Wailea-Makena, where one home sold for $5,350,000. Molokai, where four homes sold, had the lowest median sales price at $685,000.
Most condo purchases were in Kihei, where 36 sold with a median sales price of $784,750. In the Napili-Kahana-Honokowai area, 24 condos sold with a median sales price of $562,500. Another eight sold in Kaanapali with a median sales price of $1,675,000.
Wailea-Makena, where seven condos sold, had the highest median sales price at $1,695,000. One condo also sold on Lanai for $3,400,000, while two condos sold on Molokai with a median sales price of $187,500, the lowest in the county.
* Colleen Uechi can be reached at email@example.com.