Kona Kohala Blog

The end of another month and the beginning of December with just 24 shopping days until Christmas.  Where has the time gone?  Even in a recession, time flies.

The improvement in the number of sales continues as bargain prices entice buyers into the market place.  We're seeing not only first timers and investors jumping in but also those who will be retiring soon.  More people who wish to live in Hawaii in their golden years or rust years for some of us, are seeing very appealing prices on homes for their future.  Most of these people I'm working with have either the cash or the credit to buy now and hold onto their current homes until they retire.

The median price continues to decline in both North Kona and South Kohala.  This November compared to last November shows a <46.27%> decline in median price for Single Family Residences (SFR's) in South Kohala and a <12.63%> decline in North Kona.  Year to date for those two districts are <22.11%> and <22.5%> respectively.

Condos are still coming down, South Kohala condo prices are down a whopping <84.49%> compared to last November and <26.82%> year to date.  In North Kona, condos are down <23.08%> from last year and <25.11%> year to date.

Sales numbers look so much better, a little light shining through the dismal fog of recession with a 142.86% increase in the number of SFR sold in November compared to last November in South Kohala.  North Kona isn't too far behind with a 94.12% increase over last year.  Year to date South Kohala is up 4% and North Kona is up 11.26%. 

Sales of condos in South Kohala are up 50% for this November compared to last but down <25.19%> year to date.  North Kona is unchanged comparing November to November and down <15.79%> year to date.

As long as prices keep coming down we can expect to see sales numbers go up.  With all the inventory of foreclosed properties now being held by the banks we can expect prices to continue to fall for a while, at least until the number of foreclosures diminishes somewhat.  With the new pressure on the banks to modify loans we may see short sales and foreclosures slow down but if past performance by the feds is any indication of future performance, don't look for any change soon.