Hawaii drops out of 10 priciest home markets

Coldwell Banker's house price index is dominated by homes in California

Hawaii has fallen out of top 10 most expensive U.S. home markets, according to a list that aims to make an accurate comparison of similar homes in different states.

The 2006 Coldwell Banker Home Price Comparison Index found that except for Greenwich, Conn., the top 10 markets were largely in California. Beverly Hills ranked No. 1, followed by Santa Monica, La Jolla, Santa Barbara and Palo Alto.

The study evaluated home prices in a total of 384 markets, using as a benchmark a 2,200-square-foot single-family home with four bedrooms, two-and-a-half baths and two-car garage -- considered typical for corporate middle-management transferees.

Last year's survey found Kihei, Maui, ranked 10th, the sole Hawaii market in the top 10, with a $745,454 average price for the benchmark home. Such homes in Honolulu averaged $737,625 last year.

Even though it did not rank in this year's survey, Kihei remained the most expensive area within the state of Hawaii, with an average sales price of $935,000. Honolulu's average sales price was $858,750.

Data was compiled from Coldwell Banker offices throughout the United States, Puerto Rico, Canada and other countries based on sold home listings through July 2006.

Beverly Hills replaced La Jolla, Calif., as the most expensive market, with an average home sales price of $1.8 million.

The cumulative average sales price of homes surveyed in 317 U.S. markets came out to $423,950, a 6 percent increase over $401,767 from the same time a year ago.

The most affordable U.S. market was Minot, N.D., with an average sales price of $132,333, followed by Killeen, Texas; Arlington, Texas; Grayling, Mich.; and Topeka, Kan.

The price difference between Beverly Hills and Minot comes to $1.7 million for a similar 2,200-square-foot home.

This year, Coldwell Banker broadened the study to include international cities. Beverly Hills is on par with Milan, Italy, with an average home price of $1.8 million. Vancouver, Canada, with an average price of $887,762, is at the same level as Honolulu's average price of $858,750.