My belief is that ALL housing markets differ and the circumstances are going to depend on the housing markets in each of the states & local cities; and right down to each neighborhood which will show a significant difference in number of sales and of course the sales prices too.
I also believe that it is up to everyone in the Real Estate Industry to keep the market moving. With our professional attitudes shining through in all communication and contact with our clients and peers and being thorough in our process through each and every transaction are just a few points to always be aware of.
How well we all perform will determine the level of service "they" will rate us as well.
The most important factor to consider regarding our housing market in the United States is that it is truly NOT a NATIONWIDE bunch of statistics to clump all in one percentage or sales price to air on the national news every night like it is the 'written word'. Nope. I rely on what I SEE going on in each neighborhood of Honolulu County and the surrounding neighborhoods.
The big difference with the Housing Market in Hawaii is the fact that we have just so little buildable and usable land. Our land is valuable and there are areas that you will see a newer home in Central Oahu that has about 1500 sq. ft. interior on 3,000 sq. ft. of land. And you ask, "What is an approximate price for a home on such a small lot?" Upper $600,000's ....easy. And what might a home like this be priced at when it is closer to the Honolulu city area? You're looking at OLDER and HIGHER priced homes priced at about $700,000 up ...in ‘good' condition. One thing that I make sure and let my Hawaii Home Buying and Relocation clients know is: DO NOT EXPECT the same sq/ft interior and land area homes like you had back in the Continental United States.
There are a few neighborhoods on Oahu where they are experiencing a "slightly declining market" such as the Ewa. Diamond Head, Hawaii Kai, Waipahu and West Oahu areas. Even Central Oahu is fluctuating up and down. The whole housing market in Honolulu County has shifted to the point where I will let the Hawaii Home Buyer know that there is a little room for 'negotiating' for either a little reduction in price or closing costs credit from the seller to buyer. I let the Hawaii Home Seller know that THIS is how the market is NOW.
So...Is the Honolulu, Hawaii Housing Market Still Shifting? Look at the following statistics from the Honolulu Board of Realtors® and you decide:
Single Family: Median Sales Price
- 2003- $380,000
- 2004- $460,000
- 2005- $590,000
- 2006- $630,000
- 2007- $625,300
- 2008- $620,000 (first quarter)
Condos: Median Sales Price
- 2003- $175,000
- 2004- $180,000
- 2005- $269,000
- 2006- $310,000
- 2007- $320,000
- 2008- $330,000 (first quarter)
For those of you who believe that we make a difference for our Real Estate Industry then keep on striving to be the best you can be; ALWAYS support each other and work as a team and ALWAYS think in the best interests of your clients.
And if you need current and up to date information on statistics, a Hawaii Relocations packet or you just have questions please don't hesitate to contact Celeste "Sally" Cheeseman, Realtor Associate ® , Century 21 Liberty Homes, Mililani, HI @ (808) 375-1404.
Alive in Honolulu County, Oahu, Hawaii!
© 2008 Celeste "Sally" Cheeseman's Hawaii Real Estate and Relocation Blog. All rights reserved.
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Celeste "Sally" Cheeseman is a Realtor-Associate with Century 21 Liberty Homes in Mililani, Hawaii. With a sharp understanding that a listening ear is the key to a client's needs she serves the island of Oahu (Honolulu County) and all Hawaii Military Relocating to Hawaii, Hawaii Retirees, Hawaii Job Transfers and Hawaii Residents. Website: www.hawaiihomesmarket.com
Celeste "Sally" Cheeseman is a Realtor-Associate® and Certified Residential Specialist (CRS) with Century 21 Liberty Homes in Mililani, Hawaii. With a sharp understanding that a listening ear is the key to a client's needs she serves the island of Oahu (Honolulu County) and all Hawaii Military Relocations, Hawaii Retirees, Hawaii Job Transfers and Hawaii Residents, Home Buyers and Sellers.
© 2007-2012 Celeste "Sally" Cheeseman's Hawaii Real Estate and Relocation Blog.
All rights reserved.
Sally: It looks as though we've all been hit by this changing market but, statistically, I think you're still doing quite well. Just as we need corrections in the stock market, the housing market had been on such a rapid pace upwards, a correction was needed there as well. Of course, I don't think any of us anticipated such a sharp and profound correction, but that is, in essence what we are currently experiencing. We'll make it through and will have learned many lessons in economics along the way!
Sally,
Good post! I like your stress on the 'local' nature of real estate...and how it differs even neighborhood to neighborhood...
So many decisions are based on nationwide statistics that can mean very little in any given neighborhood!!!
Thanks, Fran
Debe: I sure have learned a lot through these times as well...an ever changing market is as the 'nothing is constant except change' theory :)
Fran: Thanks Fran! Isn't that the truth? Too bad millions of people just look at the news as the word of life :)
Woo Hoo! been a couple days, had family visiting and it was just impossible to do it all. Anyway, this post is right on the money.
And I am sure when you discuss the lesser sq footage of both the lot and the interior, the real point is that Hawaii was made for outside living. With all the natural beauty that surrounds, one should be spending more time outside anyways. At least that is my opinion. I would be. If I lived there, I think it would be very hard for me to want to work. Playing, being so enjoyable, :-). At least I imagine it that way. LOL
William: You're correct! No basements and no need to have a bunch of room for cooped up winters :) It is William...I can imagine if you visited...woohoooo!
Sally, That's so interesting that I hadn't thought of that....you can live easily with less house, no need to have hideouts for the freezing winters! Ah, what a dream....
Sally, your numbers say over time you basically are still having appreciation. In our area it is very strange. One "neighborhood" can be a sellers market and then five miles away in another neighborhood it can be a strong buyers market. Go figure, other than that is how real estate works. In our area probably very "unlike" Hawaii we NEVER had the runup in prices. Now our going down is not very severe.
Sally you got it, Real Estate is Local and not National or even Statewide, so it is up to us to use the conditions of our local market to the best of our advantage.
Carole: And people wonder how we survive on our small place :)
Gary: If anything....the last couple of years it's stayed around the same....and condos went up a little. Our market is pretty stable and some areas show a little depreciation....not much...but a little :)
George: So true....and the conditions of our market include us...as professionals. :)
It is definitely local, even within our county it varies from community to community.
It looks like the 2nd quarter numbers may be up from the 1st quarter. They were at the end of last month anyway.
Hi Sally,
You are absolutely right, Real Estate is and always will be extremely localized.
All the best!
Sure is Randy. I need to stay away from the national news....they 'act' like their word is the word of real estate.
Kevin: Thanks Kevin...it sure is...
You're right about ALL housing markets being different. I know ours is still shifting. And thanks for the reminder. It is up to us to keep things moving. It's tough when things don't look so great, and 17 listings are not moving. I'm so sick of the lowball offers. But my sellers are now holding their ground. Those lowball offers are just getting rejected with no counter-offer. The party's over for the people that think they can steal those houses!
Lisa: It sure is ....after all the whoha....it's time to buckle down and all of us that survived...to continue on and show this market who are the professionals... woohooooo!