Maui home prices drop for 2nd month
By Andrew Gomes Timothy Hurley | The Honolulu Advertiser
The median price for single-family homes on Maui fell in July for the second month in a row, though prices for single-family homes and condominiums remained well above year-ago levels.
"The economists keep telling us they expect the market to flatten out, but we're not seeing it yet," said John Stephens, a broker with Equity-1 Properties and president of the Realtors Association of Maui. "We're still seeing more demand than supply."
The median price for single-family homes sold last month was $679,000, meaning half sold for more and half for less. In June, it was $735,000. The record was set in May at $780,000, which remains an extreme and unexplained spike. A year earlier, the median price was $567,000.
"It was some kind of seasonal peak ... I don't know," said Terry Tolman, executive vice president of the Maui Realtors association, which compiled the sales data.
Because there are a relatively small number of single-family home sales — about 100 a month — the median price tends to fluctuate more than it would in bigger markets, so month-to-month ups and downs are typical, Tolman said.
From January to July, the single-family home median sales price was up an average of 24 percent over the same period last year.
The median condo price in July was $380,000, compared with $278,850 a year earlier, and $404,425 in June. The record was in January at $430,000.
From January to July, the condo median sales price was up an average of 34 percent over the same period last year.
Despite single-family home and condo prices being lower last month than in previous months, Stephens said, it's still a serious challenge for many residents to afford a home. "It's a tough market to be in," he said.
There are about 500 single-family homes and 500 condos for sale on Maui, a relatively small supply compared with about 750 single-family homes and 1,200 to 1,500 condos near the bottom of the previous market cycle in 1995, according to Tolman. "Inventory is pretty tight," he said.
Last month, there were 113 single-family home sales, compared with 112 a year earlier. There were 213 condo sales in July, up 29 percent from 165 a year earlier.
Advertiser Staff Writer
This home on Kakalina Place in Wailuku Heights is listed for sale at $997,000. The median price for single-family homes on Maui in July was $679,000. In June, the median price was $735,000. There are about 500 single-family homes for sale on the island.
