Housing Prices Hold in June
July 1st, 2008 by Harvey ShapiroThe O’ahu housing sales statistics for June were released today by the Honolulu Board of REALTORS® (HBR). They show that sales continue to decline, but prices have been staying in a narrow range.
HBR reported that in June, there were sales of 232 single-family homes and 355 condominiums. These sales were declines from a year ago of 31.4% and 35.1% for single-family homes and condominiums. For the first six months of this year, there have been 1,413 and 2,158 residential sales, respectively, compared to 1,902 and 2,978 sales for the same time in 2007. The year-to-date 2008 figures are decreases in the number of sales of 25.7% and 27.5%, respectively.
Median prices remain strong, with single-family homes going for $625,000 and $327,500 for condominiums. These prices both show decreases from last year, but only by 8.8% and 1.9%, respectively, and don’t forget that last June the median price for a single-family home hit it’s all-time peak of $685,000.
For the entire first half of this year, the median prices have been $629,000 and $330,000, respectively. The median price of a single-family home has decreased by 2.5%, but the condominium price has increased sice the same time period a year ago by 1.5%.
Dollar volume has substantially decreased from last year to this. In the first half of 2007, the housing market generated $2.64 billion in residential sales, but this has shrunk by 25.4% to $1.97 billion this year.
Complete information will appear in the newspaper tomorrow morning and will be available on the HBR website.
July 2nd, 2008 at 11:12 pm
Hi
It is a great news for property agents.Whose will take benefits to this news.
July 2nd, 2008 at 11:15 pm
Hi
This is an amazing news for every buyyer who take property in the month of june 2008.
July 4th, 2008 at 11:13 pm
we are entering a normal market with only supply and demand impacting prices. no foreign investors - at least not yet as the global economy is slumping over high oil prices, no subprime lending, and no speculators. you still have some residual flippers trying to sell but for the most part they are no longer there. prices should fall to whatever level local incomes can afford unless something unusual happens to spark buying again. one thing that may happen is folks who are selling for reasons other than they “have to”, may withdraw from the market as they are not getting their price. this may shrink inventory enough to increase demand and raise or hold falling prices steady. it’s hard to tell who’s selling because they have to and who’s fishing for their price.
without any disruptions (eg. foreign investors) in the market i think median prices should decline to around 450k, in 2-3 years.
if supply continues to increase, the market here will mirror the mainland to some extent. steeper price drops of existing inventory and lower new listing prices. waiting to buy oahu real estate isn’t such a bad idea for now. of course, that action alone impacts prices as well.
July 4th, 2008 at 11:15 pm
one market analyst pointed out that realtors who advise their client to list high in this market, are actually prolonging the inevitable market drop. instead of “ripping the band-aid off in one fast pull, they slowly peel the band-aid back, making the process longer and more painful”. he advises that sellers and their realtors need to be realistic about the market. “shoring up the market will only have worst consequesnce in the long run”. let the market naturally fall, then make a healthy rise again.
July 4th, 2008 at 11:22 pm
what the the report doesn’t mention is that supply of homes for sale is up to a level not seens since 1999. it also doesn’t mention that 8.8% is the largest median year to year price drop in 7 years. that’s disappointing.
for all potential buyers, please don’t buy. not yet. prices are still way too high. wait a month or two and see where this market goes. that would be the greatest favor you did for yourself.
July 5th, 2008 at 11:10 pm
If anyone buys now you will be sorry..dont listen to the people who are full of it.. They have do say things in a way that puts a positive light to something that isnt. There is a reason that the sales volume has dropped off dramatically..California went thru the same thing and there economy will not be hit as bad..take a look at the new housing bill if passed will require people to qualify for a home that is 3x to 4x the total income..which for hawaii would be 240k to 300k tops..buy and you will be sorry
July 10th, 2008 at 1:44 am
Hi
It is amazing post and I think it is a great also.
August 12th, 2008 at 6:08 am
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