On this #stpatricksday here is your bi monthly #Kona #Market #Update for March 2016!
—Kona Residential stats show the Median Price dropped back from last reports $560,000 to $552,000. This still keeps it on an upward trend for the year. It is likely the lack of affordable inventory under $500.000 will continue to move the price higher. Escrow activity is down from the same time last year but sales numbers are up. In fact the Sales Volume is up a strong +18%. The Mortgage Banker Association is forecasting a strong second quarter. Let’s hope to see that in coming months.
—The Page 2 Pie Chart clearly illustrates the shrinkage in sales numbers in the under $500,000 price range. This is being replaced by an increase in sales in the higher price ranges, most notably in the $500,000 to $700,000 price range.
—The Percentage of MLS listings that are either REO or Short Sales island wide continues its gradual declining trend. The Island wide average now stands at 10% compared to nearly 40% in 2011.
—The Island wide REO count for the four lenders tracked has leveled off in the past 6 months has also is on a downward trend over the past 12 months. Puna market area shows the greatest decline.
—The Condo year over year data is follow a trend similar to what we currently see in Residential data. Inventory is quite high, up 45% from a year ago. Great shopping conditions for Buyers. We also see a modest seasonal increase in Pending Ratio since the first of the year. The Pending sales numbers are not dramatic but should continue to improve as the busy winter market moves forward.
—The Land market year over year stats have moderated a bit and has fallen in step with what we see in the Res and Condo stats, increased inventory and stable prices.
—The Page 7 Kona Residential Price chart since 1972 has been updated with the new 2015 data. A trend line has been added. The Average Residential Price change for 2015 was +4.0%. This price increase is representative of homes in Kona priced below $700,000. If we included all price ranges the we would see less price increase since the higher price range properties have shown flat to moderate declines.
—Pages 8 of the “Kona vs West Coast Inventory and Sale Price Trends,” are the most useful future trend indicators. These Charts maybe very useful tools in forecasting the future Price trends in Kona. The San Diego sale price data and appreciation rate data seem to be a very reliable leading indicator for our Kona price trend. It appears that the Kona price trend lags San Diego by about a year.
Mahalo to Michael Griggs Realtor with Clark Realty Corporation Kailua-Kona office for allowing real estate professionals to share this important information with the public and my clients. Full pdf versions available via email by texting 88-345-2108 or emailing me at firstname.lastname@example.org. Until next time A Hui Hou!