The real estate sales trend on Oahu is definitely back into positive territory.
During December, 306 single-family homes and 341 condos sold island-wide on Oahu, an increase of 12.9% for single-family and decrease of 2.6% for condos, compared to December, 2009.
The median prices paid for island properties in December were $587,000 for single-family homes, and $303,000 for condos. These represented an increase of 0.2% for single-family and an increase of 5.8% for condos, over December, 2009.
November 2010 numbers were 248 single-family sales and 309 condo sales.
Looking at the year, 2010 saw a 3.1% rise in the median sale price of single-family homes to $592,750. The Honolulu Board of Realtors now concludes that the downturn in the Oahu real estate market lasted two years. In 2007, the peak, the median price was $640,000, in 2008, $620,500, in 2009, $575,000.
In Oahu's condominium market the number of sales rose 10.3% to 3,934 last year compared with 3,566 the year before. This gain reversed four consecutive years of declines. The median condo sale price was unchanged last year at $305,000. This is still a positive trend, because the median price fell 6.2% in 2009 from a peak of $325,000 set in 2007 and repeated in 2008.
Full-year data for many markets are not complete, but a look at data through the third quarter of last year from the National Association of Realtors suggests that at least half of the largest 150 major metropolitan areas were on pace for median-price gains.
The University of Hawaii Economic Research Organization (UHERO) forecast in December that Oahu's median single-family home price will rise 4.3% this year to $629,000, rise 5.7% next year to $665,000, and 8% to $718,000 in 2013.
For condos, UHERO projects the median price will rise 3.6% this year to $320,000, rise 3.7% to $331,000 next year, and 5.9% to $351,000 in 2013. Median prices are based on quality, size, location, age, and condition so is not an entirely accurate gauge of the market trends.
Our Honolulu Board of Realtors also noted the pressure from lower inventory levels positively affected home prices. There were 1,308 single-family homes for sale at the end of 2010, compared with 1,445 at the end of 2009, and about 2,000 in each of the prior three years. Read more at StarAdvertiser.com.
The Board publishes excellent statistics monthly. Call or email me for a complete copy of island-wide sales and trends.