It's a seller's market on Maui

By Andrew Gomes
Advertiser Staff Writer

The number of existing homes sold last year in Hawai'i increased more on Maui than on any other major island, according to recently released year-end industry statistics.

The Valley Isle was the strongest seller's market in the state, with a median price for a single-family home that could buy two median-priced condominiums on the Big Island or O'ahu.

"The market couldn't be stronger," said Thomas Delmore of Delmore Realty on Maui. "It's all supply-demand and everyone gets excited."

Maui homeowners sold 1,410 single-family homes last year, up 42 percent from the 996 sold in 2002, according to the Realtors Association of Maui Inc. Maui condo resales also were strong, increasing 26 percent to 1,986 from 1,573 in the same period.

The median price — the point at which half the sales were higher and half lower — for a single-family home on Maui last year was $440,000. That was up 17 percent from $375,000 in 2002, and higher than in any other county.

Maui condos sold for a median of $241,622 last year, up 24 percent from $195,000 in the previous year.

Delmore said Maui, a growing community with one of the worst home shortages, is attracting more speculators buying homes only to put them back on the market for more. The practice is increasing competition and prices for people trying to buy a home in which to live.

Statewide, the greatest home price rise between last year and this year occurred on Kaua'i, where the median condo resold for $289,000, up 38 percent from $210,000, according to Hawai'i Information Service. The number of Kaua'i condo resales rose to 534 from 472, or 13 percent.

Kaua'i single-family home resales increased to 667 from 536, or 24 percent, at a median price that rose to $368,000 from $328,500 in the same year-over-year period.

The Big Island, where resale volume was the highest of the Neighbor Islands, posted a 17 percent increase in single-family home transactions, to 2,261 last year from 1,927 in the prior year, Hawai'i Information Service figures showed. The 2003 median price was $235,000, up 21 percent from $194,000 in 2002.

Big Island condo resales totaled 934, up 32 percent from 705 during the same period, as median prices rose to $180,500 from $166,000.

O'ahu statistics for last year were reported earlier this month. According to the Honolulu Board of Realtors, there were 4,419 single-family homes and 6,907 condominiums sold on O'ahu, increases of 13.1 percent and 27.8 percent, respectively. That compares with the 3,906 single-family homes and 5,406 condos sold in 2002.

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