Last year I wrote about the many listings available at Makaha Beach Cabanas. Prior to 2015, the building tolerated short term vacation rentals - less than 30 days at a time is illegal in most condos. Makaha Beach Cabanas' board of directors decided they wouldn't allow it starting on January 1, 2015. The building was so popular as a vacation rental that some mortgage companies wouldn't lend on it, they believed it was a hotel-condo rather than a residential condo.
The result: a huge selloff of units in 2015, primarily by vacation rental operators. This year, things have calmed down and the sales frenzy has subsided. Why? That's a tough question. For one thing, the short term vacation rental buyers are gone. Some buyers have purchased and are using their units as 30+ day vacation rentals, which is legal for a residentially zoned property on Oahu.
Here's what's happened so far this year at Makaha Beach Cabanas:
Note: the Pending sale priced at $165,000 is one of the few leasehold condos remaining in the building. The fee conversion price is an additional $60,000.
You can see that the Cabanas haven't been moving in 2016 - at least not so far. I believe the market will pickup again. Prices in Honolulu and Windward Oahu are setting record highs and West Oahu is still lagging. When it comes to affordability, West Oahu is the place to look.
If you are looking for a deal on sandy beachfront, checkout the Makaha Beach Cabanas!
Mike Bates (Realtor Associate)
1585 Kapiolani Blvd #1533
Honolulu, HI 96814