Investing in a Maui real estate property requires a lot of research, especially during these uncertain times. If you are not familiar with the industry, it is difficult to predict the best time to buy a property or when the prices will go up or down. This is why savvy investors would look into the real estate market trends before making any investment decision.
South Maui is one of the best areas to live in Maui, so it does not come as a surprise why property investors would consider looking into this area for potential properties to buy. This laid-back seaside town is home to several luxury condominium properties, just minutes away from Central and West Maui.
If you are thinking of buying a real estate property in South Maui, here’s the latest South Maui real estate market trends.
Kihei is one of the best areas to invest in a real estate property in Maui. The area is home to villages with quaint vacation homes, and some of these are at a prime beachfront area. It’s also home to beautiful oceanside parks and fantastic beaches, making it a great place to live for small families and retirees.
In July, the number of single-family homes sold in Kihei is 17 having a median sales price of $1,076,000. Meanwhile, only 12 properties have been sold in June at a median sales price of $1,000,000. This data shows an increasing trend in the number of home properties getting sold in Kihei.
Kihei is also home to several vacation rental condos. Some of these units are occupied by tourists who would come to Maui for a long-term stay. A short drive through the entrance to Kihei from South Kihei Road reveals a line-up of quaint condo complexes lined side by side with pristine beachfront real estate properties.
In July, the number of sold condominium units in Kihei is 61, with a median sales price of $545,000. This is a slight decrease compared to June, where there are 74 units sold at a median sales price of $555,000.
The luxurious community of Wailea caters to the more affluent property investors. This area offers a more upscale living experience surrounded by luxurious private residences. With world-class golf courses and high-end shopping places, Wailea is the perfect community to retire to while enjoying the fine things in life.
A total of eight single-family homes have been sold in the Wailea and Makena areas in July, while only five in the previous month. The median sales price of the properties sold in July is $4,150,000 and $5,499,000 in June. So even though there is an increase in the number of properties sold, the cost of properties sold in June is slightly higher.
If you’re looking to invest in a condominium property in South Maui but in a more affluent area, consider buying a condo in Wailea. This area has a thriving condo community in South Maui, and some of the most popular ones are Grand Champions, Palms at Wailea, and Wailea Beach Villas. Buying a condo unit in Wailea is a good investment since you can turn it into a vacation rental. As you know, Maui is a popular holiday destination, and a lot of tourists would prefer to stay in vacation rental condos, especially if they plan on staying longer.
Indeed, the demand for condo units in Wailea is increasing, as evident in the latest South Maui real estate market trend. Last July, there were 37 condo units sold, while only 27 in June. But compared to July of last year where only seven have been sold, this is a huge increase. The median sales price of all condo units sold in July is $1,500,000, an increase of $152,000 compared to the previous month.
General Maui Real Estate Market Overview
Recently, the White House has announced that it will help homeowners struggling to keep their properties from being foreclosed. Borrowers who have federally-backed mortgages will be able to lock in lower interest rates and extend their mortgages. For those who cannot continue buying their monthly mortgage, the Department of Housing and Urban Development will give lenders the option to provide eligible borrowers with a 25% reduction on the principal.
In July, new property listings for single-family homes in Maui have decreased to 14.5% and 46.3% for condo units. Pending sales for family homes have increased to 20.4% while condominiums increased to 50.5%. The inventory of single-family homes has gone down to 49.3% and there’s also a 78.1% decrease for condominiums.
The median sales price for single-family homes has increased as well as that of condominium homes. The days on the market have gone down to 25% for single-family homes and 16.6% for condominium properties. This could indicate that the demand for real estate properties in Maui has gone back up. If you own a property in Maui and you plan on selling it, this may be the best time to list it. Still, there are many factors to consider before selling or buying a property. If you need expert advice on this, we are here to help.