Kona Kohala Blog

It's been a month filled with business and travel and surprises.  The west Hawaii real estate market has been busy, slowing but busy.  The low end of the market for both Single Family Residences (SFR's) and condos has been moving well.

Travel, a trip to Phoenix to experience living in an oven first hand, yes, people do live where it's 110 degrees.  The AZ real estate market is worse than ours maybe because of all the additional properties that come with a larger, much larger population.  I was looking at condos that are listed for sale for less than half of what they were four years ago.

Surprises, the big banks pulling Foreclosures off the market then, after a magic feat or two, putting them right back on with all the problems, the thousands of unreviewed files, suddenly reviewed and ready to go again.  They are good.

Here's a great property for you if you'd like to ease into the vacation rental market.  I just listed a one bedroom, one bath condo in the Kona Plaza complex which is right in town across Alii Drive from the Kona Inn.  This place is only 623 sq. ft., painted vacation blue with veneer wood floors, tile in the kitchen and bath, washer and dryer in the unit and a large lanai overlooking Kailua Bay.

How's that for a view?  This unit is MLS #239648 and is listed for just $135,000.

If you'd like more information on this listing or would like to know more about the Foreclosure debacle, let me know and I'll send you last week's copy of the Aloha Friday newsletter.  This week I'll be doing a follow up on why the banks have suddenly decided it's okay to go ahead with the sales.

Real estate prices in North Kona and South Kohala are continuing their downward spiral but not as rapid as in the past.  For the last couple of years we've seen prices dropping at an annual rate of about 20%.  In the last quarter of 2010 that has slowed to about 15% in both places.

Some of the best buys are condos under $350,000 in Waikoloa Beach Resort and the Mauna Lani Resort as well as in Kailua Kona.  Homes under $400,000 are also selling well but some of this may change depending on what happens with the foreclosures that are coming back on line.

The other thing to watch is what happens when those millionaire slum dogs that sit in the house and the senate return to their offices.  Will we have a continuation of the Bush tax cuts or will our taxes go up.  Just knowing will help settle the market because right now, with all the unknowns out there, few people are committing to making a purchase even though prices are down and interest rates are unbelievably low.

Please don't forget to vote.  If you like the ways things are then re-elect those already in office.  If you think it's time to change that vote the buggers out, all of them.  Whatever you decide, vote.