Hilo, HI Metro Area Housing Market Analysis - November 2024
The Hilo, HI metro area housing market in November 2024 presents a dynamic landscape with notable shifts in pricing, sales activity, and inventory levels. The market is characterized by a combination of rising prices and increased sales activity, alongside a reduction in the Months of Supply, indicating a competitive environment for buyers.
The Median Sales Price in Hilo stands at $567,500, reflecting a modest year-over-year increase of 1.8%. This suggests a steady appreciation in home values, albeit at a slower pace compared to the list prices. The Median List Price has surged by 6.9% year-over-year, reaching $695,000, indicating sellers' confidence in the market's upward trajectory.
Price Per Square Foot metrics further underscore the market's strength. The median Price Per Square Foot has risen significantly by 19.6% to $438.95, while the Median List Price per square foot has increased by 19.7% to $588.69. These figures highlight a robust demand for housing, driving up the cost per square foot.
Sales activity in Hilo is on the rise, with 179 Homes Sold, marking a substantial 17.0% increase from the previous year. Pending Sales have also seen a notable uptick of 18.6%, totaling 217. This heightened activity is supported by an increase in New Listings, which have grown by 6.3% year-over-year to 219, providing more options for prospective buyers.
Inventory levels have expanded by 11.1% to 952 homes, yet the Months of Supply have decreased dramatically by 30.0% to 5.3 months. This reduction in supply relative to demand indicates a tightening market, where homes are being absorbed more quickly than they are being listed.
The Median Days on Market have increased by 25.0% to 105 days, suggesting that while homes are selling, they are taking longer to do so compared to last year. This could be attributed to the higher price points and increased inventory, giving buyers more choices and time to make decisions.
The average sale to list ratio has slightly decreased by 0.2% to 97.1%, indicating that homes are selling closer to their list prices, but not exceeding them as frequently as before. The percentage of Homes Sold above list price has declined by 3.4% to 16.2%, reflecting a more balanced negotiation environment between buyers and sellers.
Price Drops have seen a slight increase of 0.8%, now at 22.7%, suggesting that some sellers are adjusting their expectations to align with market realities. Additionally, the percentage of homes going Off Market Within Two Weeks has decreased by 13.9% to 21.7%, indicating a slower pace in the initial stages of the selling process.
Overall, the Hilo housing market in November 2024 is characterized by rising prices and increased sales activity, with a competitive environment for buyers due to reduced Months of Supply. While homes are taking longer to sell, the market remains robust, with sellers adjusting to the evolving dynamics. Buyers and sellers alike should be prepared for a market that demands strategic pricing and negotiation.
