Oahu January 2019 Market Update
For January 2019, the median sales price for single family homes was $767,500, a slight decrease from this time last year, and for condos, it was $399,000, and that was a 7.2% decrease from last year.
For closed sales, single family homes, had 246 units sold, a slight decrease of 2.4%. For condos, it was 326 sold, at 12.8% decrease from this time last year.
For median days on market, single family homes were 27 days on market, a 28.6% increase, and for condos, it was also 27 days on market, a 42.1% increase.
For months of inventory, single family homes were up to three months, a 57.9% increase, which is quite significant. And for condos, at 3.4, it was at 41.7% increase. Months of inventory is the number of months it would take to sell out all the existing inventory on the market, so this increase indicates an excellent buying opportunity, because units that were previously not available in certain price brackets last year are now available.
If we look deeper into each of the price ranges, for single family homes, the biggest jump from this time last year in days on market are between $475,000 and $650,000. For percent of list price received, it was only a slight decrease across the board, but the biggest story of this current shifting market is the increase in inventory. As you can see in these price brackets, they’re all significantly higher. This means there are now more diverse options across price points for buyers in this space.
For condos, it’s a very similar story. The days on market increased in most price brackets, except for luxury, at over $700,000. The percent of list price received were only slightly less, and the inventory are all significantly higher, except for the lower end.
However, it’s important to keep in mind the long-term trends. For Oahu, the median sales price over the last 40 years indicates this general upward trend, especially in the last 10 years. Since 2010, there’s been an escalation pattern for both single family homes in blue and for condos in red. That, coupled with a 10-month low in interest rates indicates it’s an excellent opportunity to get in the market if you are on the fence.
Overall, 6 months of inventory is generally considered a balanced market between buyers and sellers. Since we are still around 3 months of inventory, there’s still not enough supply to satisfy the current demand, not to mention the future demand, with projected increases in number of households formed. These are all long term trends, which do not necessarily indicate the short term market behavior.
If you have any questions, or if I can help you in any way, please feel free to contact me. My number is 808-278-0285.