In past blogs, we’ve discussed the number of condo and home sales in Maui County, along with their median prices in a given month or year. This subject is a bit more specific. An interesting bit of information has been revealed via a recent luxury market report, and it shows that year to date home sales (up to November) costing over $1 million in Hawaii have increased by 8 percent compared to the same period last year.
According to the report, which focuses on the upper end of the market, there has also been an 8 percent increase in the volume of sales. The long and short of it is that a socio-economic mix of buyers ranging from upper class to middle are helping to bolster Maui real estate, along with the other islands. This growth also signifies the revitalization of second-home buying from those who live on the Mainland and in Asia. While the local market has dominated the $1-2 million price range in the past, it is also buying up into the $2-3 million price range.
The Single-family home category is growing fastest for real estate between $2-4 million, which is up 48 percent in number and volume of sales.
As for luxury Hawaii condos in the range of $1 million or higher, sales have dropped a bit compared to the same period last year, which was attributed to limited availability of such properties. The report indicated that luxury condos tend to be a favorite of downsizing baby boomers as well as overseas second-home buyers.
It’s good news that luxury real estate in the islands is seeing activity along with all the affordable homes. It doesn’t take many wealthy individuals to help stimulate the economy, even discounting their activity in the real estate market. Let’s hope this kind of growth continues into 2013 and beyond.