Hawaii Real Estate Market Insights for July 2024

Hawaii Housing Market Analysis - July 2024

The Hawaiian housing market in July 2024 presents a mixed bag of trends, reflecting both growth and contraction in various key metrics. This analysis delves into the specifics of these trends, providing a comprehensive overview of the current state of the market.

Median Sales Price

The median sales price for homes in Hawaii has experienced a slight decline, with a year-over-year (YoY) decrease of 0.06%. Despite this minor drop, the median sales price stands at $775,100 indicating a robust market value for properties in the state.

Median List Price

The median list price has also seen a decrease, falling by 3% YoY to $793,500. This decline suggests that sellers may be adjusting their expectations in response to market conditions, potentially to attract more buyers in a competitive environment.

Price Per Square Foot

Interestingly, the median price per square foot has increased by 5% YoY, reaching $692. This rise indicates that while overall prices may be slightly down, the value of space within homes is appreciating. Similarly, the median list price per square foot has seen a modest increase of 1% YoY, now at $704.

Sales and Listings

The number of homes sold in July 2024 was 1,036 marking a 2% increase YoY. This uptick in sales volume suggests a healthy demand for housing in Hawaii. Pending sales have shown a more significant rise, with a 10% increase YoY, totaling 1,227. This indicates a strong pipeline of transactions that are likely to close in the near future.

New listings have surged by 27% YoY, reaching 1,483. This substantial increase in new listings reflects a growing supply of homes entering the market, which could help balance the demand and potentially stabilize prices.

Inventory and Supply

The total inventory of homes available for sale has risen dramatically by 35% YoY, now standing at 5,592. This increase in inventory is a positive sign for buyers, offering more options and potentially easing competition for properties.

The months of supply, a key indicator of market balance, has seen a significant rise of 130% YoY, reaching 5.4 months. This increase suggests that the market is moving towards a more balanced state, with neither buyers nor sellers having a distinct advantage.

Market Dynamics

The median days on market for homes in Hawaii is now 80 days, reflecting a 16% increase YoY. This longer time on market could indicate that buyers are taking more time to make purchasing decisions, possibly due to the increased inventory and higher list prices.

The average sale to list price ratio has decreased by 1% YoY, now at 0.98. This slight decline suggests that homes are selling slightly below their list prices, which could be a result of the increased inventory and longer time on market.

The percentage of homes sold above list price has dropped by 6% YoY, now at 21%. This decrease indicates that fewer buyers are willing to pay above the asking price, likely due to the increased supply of homes and more negotiating power for buyers.

Price Adjustments and Off-Market Activity

The percentage of price drops has remained steady YoY at 20.71%. This stability suggests that while some sellers are adjusting their prices to attract buyers, the overall market pricing remains relatively consistent.

The percentage of homes going off market within two weeks has increased by 11% YoY, now at 28%. This rise indicates that a significant portion of homes are still selling quickly, reflecting strong demand for well-priced and desirable properties.

Conclusion

In summary, the Hawaiian housing market in July 2024 exhibits a blend of growth and contraction across various metrics. While median sales and list prices have seen slight declines, the value per square foot has appreciated. Sales volume and pending sales are up, indicating strong demand, while new listings and inventory have surged, providing more options for buyers. The market is moving towards a more balanced state, with increased supply and longer time on market. Overall, the Hawaiian housing market remains dynamic, with opportunities for both buyers and sellers.