Posted on: Tuesday, November 25, 2003

Home resales surge on Neighbor Islands

 • Chart: Neighbor Island home resales for October

By Andrew Gomes
Advertiser Staff Writer

Neighbor Island home resales rose last month as low interest rates and out-of-state buyers of second homes fueled demand.

All Neighbor Island markets reported higher sales volume and higher median prices except for single-family homes on Kaua'i, which registered a small decrease in the median price.

The latest industry statistics broaden the picture of the state's growing residential real-estate market, about half of which is outside of O'ahu.

The biggest increases over October 2002 were for single-family home resales on the Big Island and prices for condos on Kaua'i.

Buyers were the busiest overall on the Big Island, where single-family resales rose 28 percent, to 226 last month over 176 in October 2002, according to Hawaii Information Service. Big Island condo resales rose 15 percent, to 91 over 79 in the same period.

Median prices were up on the Big Island, rising 16 percent to $250,000 last month from $215,000 in October 2002 for single-family homes, and 21 percent to $210,000 over $173,000 for condos in the same period.

The median price represents a point where half the prices are higher and half are lower.

On Maui, the volume increases were smaller, according to the Realtors Association of Maui. For single-family homes, resales were up 8 percent to 104 transactions last month compared with 96 in the year-ago month. Condo resales were up 5 percent to 146 compared with 139 during the same period.

Median prices for single-family homes on Maui jumped 35 percent to $527,500 last month over $391,220 in October 2002, and 37 percent to $273,000 over $200,000 for condos in the same period.

Hawaii Information Service reported Kaua'i single-family resales were up 20 percent, to 60 homes last month, compared with 50 in October 2002. Condo resales totaled 48 units last month, compared with 42 in the year-ago month, a 14 percent increase.

The median price for a single-family home on Kaua'i dropped 9 percent to $350,000, down from $384,250 in October 2002. The median condo resale price last month was up 39 percent on Kaua'i, rising to $284,500 over $203,968 in October 2002.

By comparison, O'ahu single-family home resales were flat last month at 380, compared with 381 in October 2002, while the median price rose 12 percent to $399,300 over $355,000 in the same period.

O'ahu condo resales increased 28 percent to 669 transactions last month over 524 in October 2002, while the median price was up 17 percent to $185,000 over $158,500 in the same period.

All the resale data are for transactions completed in October, and represent purchase contracts generally signed between June and August.

Reach Andrew Gomes at agomes@honoluluadvertiser.com or 525-8065.