Housing sales sizzle
on Big Isle and KauaiSales of single-family homes
in September jump by almost
half over the previous year
The pace of home sales and prices on the Big Island and Kauai showed no sign of a slow- down last month.
On the Big Island, there were 189 single-family home sales in September, up 48.8 percent from the number of sales recorded during the same period last year. The number of condominium sales rose to 71 for the month, an increase of 22.4 percent over the 58 sales in September 2002.
Single-family home prices on the Big Island also edged up, showing an increase of 36.4 percent to a median price of $240,000. Condominium prices showed the same percentage increase during the month, hitting a median of $208,000.
Gary Davis, broker-in-charge at Clark Realty in Waimea, believes home prices will continue to increase.
"As long as demand is there, the prices will continue to go up because there is nothing in the way of new projects, so the pressure will be on pricing," he said.
Davis pointed to Hilo as a good example of the impact of increased demand.
"Hilo has been remarkable. It's got a market now almost like they've never had," he said.
On the Garden Isle, the median price reached for a single-family home in September was $415,000, an increase of 5.5 percent over one year ago when the median stood at $393,500.
There were 65 single-family home sales recorded for the month on Kauai, an increase of 47.7 percent over the number of homes sold in September 2002.
The number of condominium sales also increased, rising 29.4 percent to 44 sales recorded during the month. The median price for a condominium on Kauai reached $301,000, an increase of 32.2 percent of the median of $227,618 reached in September 2002.
Economist Leroy Laney, in his recent annual economic survey of Kauai for First Hawaiian Bank, said the mix of residential housing being built on Kauai is cause for some concern.
Most of the new product is aimed at wealthy buyers who are part-time residents or investors, he said.
"That, combined with rising prices in general, causes anxiety that local buyers of more modest means are being crowded out of the market," said Laney.
