Corcoran Pacific Properties is pleased to present a closer look at the luxury real estate market in Hawaii, showcasing detailed statistical analysis of Kauai, Oahu, Maui and the Island of Hawaii for January 2021. We also share our predictions for the luxury market during 2021.
The first month of 2021 continues to see the trend set in the last quarter of 2020, with growing numbers in sales transactions and increasing average sold prices, while inventory levels continue to fall.
At the start of 2020 there had been expectations that the Hawaiian Islands would see a strong year and, despite the disruption of the pandemic, the year did end with a growth of over 20% in luxury sales. January 2021 figures show an even stronger start, with more significant increases year over year than expected.
The total number of sales increased over 114% for luxury single family homes and even sales for attached properties were up 14.08% when compared to January 2020. Median price points for January 2021 rose 6.4% for single family and 10.7% for attached properties against the previous year, while inventory levels dropped 32.89% and 23.35% respectively.
“Demand continues to increase, while inventory levels fall across the islands for all luxury property types” says Chuck Garrett, Senior Vice President of Corcoran Pacific Properties. “We expect that this will put an unprecedented pressure on the market during 2021, especially as we are already starting to see increased demand from buyers outside of the US”.
Garrett anticipates that, as the distribution of vaccines increases, international travel will once again bring tourists and visitors back to the islands by summer. He predicts that this will have a positive impact on the purchase of vacation properties, particularly for luxury condos and townhomes, whose sales were badly depleted during the height of Hawaii’s lockdown.
“Looking at the specifications of properties sold in the latter half of 2020,” Garrett predicts “single family homes that offer privacy, remoteness, large footprints and amenities such as home offices, theatres, swimming pools, tennis courts and are move-in ready, are likely to remain the most popular for the foreseeable future.”
For homeowners currently looking to sell, now is the time to work with your Corcoran Pacific agent to prepare the home so that it’s turnkey, as statistics show that demand for properties in Hawaii is projected to continue to increase, and fetch close to relatable asking prices.
As always, a real estate expert familiar with local trends is the best resource to navigate a specific market.
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