Honolulu condo sales, PRICES VARY BY NEIGHBORHOOD
By Lisa Scontras
Since 2012, the annual median sale price of condominiums on Oahu has been on the way up. Thus far in 2020, the trend continues with condo prices on the rise — up 7.5 percent, year-overyear in January, and again 3.6 percent in February. In January, there was also a 7.7 percent rise in condo sales volume, while February sales ticked down 1.6 percent.
But the islandwide figures don’t tell the whole story. And from neighborhood to neighborhood, prices vary. Different neighborhoods have unique demographics and are influenced by their own set of distinct market conditions and characteristics.
For example, January was a very good month for condos in the Ala Moana-Kakaako area, where condo sales spiked with a 30 percent increase in sales volume and a 13 percent increase in prices. Similarly, the number of Waikiki condos sales jumped 21 percent, with prices gaining 18 percent for the month as well.
Sales volume in Downtown- Nuuanu bounced upward 17 percent, yet prices there fell 17 percent. Median condo prices and sales volume were both down in Kailua- Waimanalo — 16 percent and 21 percent, respectively, for January.
It was a super busy January in the Ewa Plain, where sales volume was up a whopping 65 percent, yet condo prices there dropped 4 percent. Notably, condo inventory in Ewa was down 26 percent from the previous January.
Kapahulu-Diamond Head saw the greatest boom in prices — up 48 percent from January 2019, from $387,500 to $574,500. Sales volume, however, was down 33 percent there that same month, yet listings there sold faster than in any other Oahu neighborhood — with a median six days on the market.
Overall, Oahu condos posted the third consecutive month of price increases in February, and the fifth consecutive month of increased pending sales.
Islandwide, the median sale price of a condo rose 3.6 percent in January. Condo neighborhoods with median sale price increases of 10 percent or more include: Ala Moana-Kakaako (13 percent increase in median sale price), Kapahulu– Diamond Head (48 percent), Pearl City–Aiea (14 percent), and Waikiki (18 percent).
The median number of days on the market for a condo islandwide was 34 days. However, in some neighborhoods, condos sold in less than 25 days, including Kapahulu-Diamond Head (six days), Waialae-Kahala (12 days), Kaneohe (14 days), Ewa Plain (18 days), Pearl City-Aiea (24 days), and Moanalua-Salt Lake (25 days).
In other neighborhoods, sales were more sluggish, with condominiums taking more than 50 days to sell, including Waikiki (51 days), Ala Moana-Kakaako (52 days), Kailua-Waimanalo (53 days), Wahiawa (60 days), Makaha-Nanakuli (62 days), and North Shore (80 days).
Condo inventory was way up on the North Shore (up 53 percent), while in Waialae-Kahala availability has grown thin (down 40 percent).
“There are many considerations that consumers will encounter during a property sale or purchase,” said Tricia Nekota, president of Honolulu Board of Realtors®.
“Working with a Realtor ® brings the added industry knowledge that goes far beyond the statistics,” she added.