Kailua Kona Shows Improvement in July Market Sales

An improved number of residential units selling in North Kona is a welcoming side to a market that has shown months of decreased numbers over the prior year month after month for nearly three years. The bottom of the pit was in January with a 65% decrease in unit sales over January of 2008. In July the number of sales increased by slightly over 92% from 2008. This 7 month small but steady improvement in numbers should be a wake up call to buyers who have been debating about whether the market is shifting or not. The short answer is....YES it is beginning to shift, but like turning an 18 wheeler which has been on a no brake price slide down the mountain, it is going to take a while to turn the rig around to show improvement in prices. There is still a very large inventory of properties on the market with foreclosures and short sales still popping up on a regular basis. Until these properties quit coming on the market in big bulk numbers it will continue to be a choice market for the discerning buyer. However, the up to $8,000 home credit for some home buyers, good mortgage rates and the best prices for tropical Hawai'i purchases overall since 2004 combines to make it an appealing buyer's market for many local and 2nd home buyers. As of today on the North Kona MLS listings there are 409 Active Residential properties.