Getting to Know Oahu’s Current Real Estate Market

The economics behind the Hawai’i housing market can be dynamic and confusing at best to anyone unfamiliar with real estate. Fully understanding the local market is a daunting task; let the professionals make it easy on you!

Here’s what you need to know:

  • The pandemic did have a lasting effect on the Oahu real estate market fortunately, it’s not as bad as you would think! We’ve learned from the Honolulu Board of Realtors that, compared to the year prior, condo sales have seen an over 134% increase leaving single-family homes lagging behind at 49.3%.
  • ‘Why?’, you ask. According to the president of the Honolulu Board of Realtors, “In particular, the condo market surged in 2021 because some buyers decided not to pursue a single-family home due to the severe lack of inventory and competitive bidding wars.”
  • New record lows for days-on-market are being set moving properties into escrow at record times!
  • It’s a bidding war. Over half of the single-family homes and a third of condos listed are closing above the original asking price.
  • Most people are buying condos in the Diamond Head / Metro area - Kalihi through Waikiki.

What does this mean to you:

To put it simply: it’s a seller’s market. What drives it? Limited inventory, extraordinarily low interest rates, and increased demand.

Local families are struggling to find affordable, single-family housing with the median sales price of $979,000. There’s just not enough houses to go around leaving several prominent, local real estate professionals to call for an increase in development to meet the demand.

It should be noted that this isn’t an “only in Hawai’i” issue; it’s nationwide. The market is competitive across the board and is expected to continue this way for months to come. This is why it’s imperative to have a local, established real estate agent behind you.

Pineapple Group is well positioned to guide you through this dynamic market. We are goal-oriented and have already secured and sold over 80 properties in the first six months of 2021 alone. If you’re looking to buy or sell in Oahu, PRG will put your best interests first. Feel free to call us at (808) 228-9874 or email us at [email protected] with any questions or concerns you may have.

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