According to RealtyTrac, Hawaii foreclosures plunged by 50 percent in July, compared to the same month last year. Why such a dramatic change? Yes, the economy has been improving, but there are a few factors in particular that analysts credit. First, unemployment has fallen significantly since July of last year. Second, property values are rising fast. Third, there's a new Hawaii law that requires attorneys to check all documents required before filing foreclosure complaints in the courts, which is something you might have expected them to do in the first place, but evidently many did not.
Only 129 homes in Hawaii were in some stage of the foreclosure process this past July, which is only one home in every 4,030 housing units. That definitely puts foreclosures back in the rare category. Thanks to new federal regulations, homeowners have more options when facing a potential foreclosure situation, but falling unemployment is probably the best sign overall as to the health of the state, and the nation.
The rising property value trend is more crucial than you might first assume. Now, many home owners dealing with financial hardship can sell their properties at a profit rather than dropping into a short sale. Knowing that your Maui property value is high should be reassuring whether you have financial troubles or not.
The law requiring attorneys to check all documents before filing requires them to also file an "attorney affirmation" with their judicial foreclosure complaint. The affirmation simply states that all the information in the foreclosure complaint is accurate, meaning the attorney has to be certain that all the information is in order and correct before submitting the complaint.
As for the rest of the nation, foreclosures fell 16 percent in July, year-over-year. That's a big step for the rest of the country, but Hawaii real estate is clearly much more secure than the national average. It's great to watch as the future unfolds with change for the better. Mahalo for reading this week!
RealEstateMauiHawaii.com - By Mark Harbison
Fun, productive community events are a major point of interest for us. When we're not assisting those in search of their South Maui dream home or condo, we like to be involved in events that bring the community together. That's why we'd like to share our… Continue Reading
According to RealtyTrac, Hawaii foreclosures plunged by 50 percent in July, compared to the same month last year. Why such a dramatic change? Yes, the economy has been improving, but there are a few factors in particular that analysts credit. First, unemployment has fallen significantly since… Continue Reading
Keeping an eye on South Maui real estate developments? Alexander & Baldwin Inc. recently won their final zoning approval for the 600-unit housing project they've been planning for 95 acres in the South Maui area. Low housing inventory and high demand are major driving forces behind… Continue Reading
In a time of such economic transition, it can be hard to get a clear assessment of where we stand, not just on a state level, but on a national level as well. The construction market can tell us a whole lot about conditions in various… Continue Reading
The visitor industry influences many aspects of life on Maui, and especially South Maui, our favorite part of the island. A recent report from Hospitality Advisors LLC and STR Inc. revealed that Hawaii's average daily room rates rose almost 4 percent in May,… Continue Reading