Kauai, Big Island home prices slide

The residential real estate markets on Kauai and the Big Island saw both median home prices and transactions slide last month as economic concerns continued to chip away at the market. However, luxury buyer activity bolstered condominium prices on the Big Island.

Prices in Kauai's single-family home market fell 15.07 percent in April, with the median falling to $620,000 from the year-ago $730,000, according to data released yesterday by the Hawaii Information Service. Kauai condominium prices fell 39 percent to $416,000 from the year-ago $682,000.

Kauai saw only 19 single-family homes and 14 condominiums sold last month. Single-family sales dove 55.81 percent while condominium sales dropped 53.33 percent.

Phillip Fudge, a real estate agent with Kauai Landmark Realty in Kapaa, said that April's numbers continue to reflect concern about what's happening in the mainland real estate markets and with the overall economy.

"People are buying condos, but there's a lag effect." Fudge said. "Most of the investors are in the mainland and they see economic downturns before the local buyers do."

Still, there is a lot of higher-end activity in Poipu and Princeville, Fudge said.

On the Big Island, the April median sales price for a single-family home slid 6.55 percent to $385,000 from the year-ago $412,000. But condominium prices rose a staggering 58.42 percent to $609,900 from the $385,000 in April 2007.

The number of single-family homes sold on the Big Island in April fell 19.29 percent to 113 from the year-ago 140, while sales dropped by 22.64 percent in the condominium market.

Demand for luxury condominiums and unique properties on the Big Island continued to remain steady last month, said Paula Beamer, a real estate agent with Parker Ranch Realty Inc. on the Big Island.

"Condominium sales seem to be doing OK and there is a lot of higher end product coming on the market and getting sold," she said.

While there's no doubt that the market has slowed, Beamer said that see began seeing signs of a pickup last month.

"I've seen accepted offers at 25 percent below asking price; however last month I saw a house in Waimea sell for $100,000 over asking price," she said.

Neighbor island home prices

Median sales prices for single-family homes:

Kauai

April 2008	$620,000
April 2007	$730,000
Change	-15.1%

Big Island

April 2008	$385,000
April 2007	$412,000
Change	-6.6%

Source: Hawaii Information Service