Oahu Median Home Prices Continue to Hold Steady

Sales Slow

Prudential Locations’ November Oahu Real Estate report takes a closer look at trends in the Hawaii Kai area

 

HONOLULU, HAWAII (December 11, 2007) – New data from the Prudential Locations’ November Oahu Real Estate Report shows that median single family home and condominium prices remain healthy, continuing to rise at a moderate rate.  

From September to November 2007 – compared to the same three-month period last year – median single family home prices are up 3.2 percent to $640,000 and median condominium prices enjoyed an increase of 4.4 percent to $325,000.

“While Oahu’s market is currently experiencing a drop in sales, consumers should not misinterpret this as an indication of a weak market,” said Scott Higashi, Prudential Locations’ Executive Vice President of Sales.  “With prices continuing to hold steady, consumers can expect that any real estate purchase will be a solid long-term investment.”

Also during this three-month period, the number of sales in the single-family home market experienced the largest decline in 2007—falling 22 percent from the same period in 2006.  The number of condominiums transactions dipped 12.3 percent, but two Oahu condominium areas saw significant sales growth.  Sales in the Ala Moana-Kakaako area jumped an impressive 60 percent and Diamond Head-Kahala area rose 35.3 percent.  For prospective condominium buyers the report notes that over the last six months, sales in the Ala Moana-Kakaako area have steadily increased.
 
This month’s report examines market conditions for 23 neighborhoods in the Hawaii Kai area.  The report analyzes two real estate measurements, Median Price and Price Per Square Foot, for these neighborhoods.

In 2007, over half of the neighborhoods in the Hawaii Kai area experienced an increase in median price when compared to last year.  In comparison, during this same time period, the overall Hawaii Kai area saw a 2 percent decrease in median prices.  When buying or selling a home, closely looking at the median price by neighborhood can provide a more accurate picture of current pricing trends.

Another key indicator is Price Per Square Foot, which is the price of the property divided by the total interior square footage. Price Per Square Foot is a reliable measurement of home prices independent of home style and size.   When determining home value or comparing properties, examining the Price Per Square Foot can be very helpful to consumers.  Fine Home neighborhoods such as Portlock in the Hawaii Kai area will consistently report higher Price Per Square Foot numbers.  In order for consumers to make well-informed real estate decisions, it is important to understand neighborhood trends.

 

Prudential Locations has the largest real estate research database on the Oahu market, and is the only source for detailed and concise information on not only the 15 areas identified in the report, but for more than 200 specific neighborhoods. The research is available to consumers through Prudential Locations agents or the website, www.prudentiallocations.com.

 

In each month’s Prudential Locations report, consumers will find key statistics for 15 Oahu areas such as sales volume and median price over a three-month comparison along with key insider observations. Prudential Locations’ Oahu Real Estate Report is issued during the second week of each month.

 

NOTE TO MEDIA: Prudential Locations executives are available to comment on the report and on real estate market trends in general. Please call Char Chang, 531-6087, ext. 104, to set up an interview.