March 28, 2021
Text & Images: CENTURY 21 Hawaiian Style / Statistics & Data Courtesy of: Honolulu Board of Realtors (HBR)
We are likely to see an increase in condominium sales in the next quarter of 2021 as the economy continues to recover.
While the focus for the first few quarters of 2021 has been on residents and second-time homebuyers of single-family homes, the next quarter looks promising for foreign investors in condominium properties. With travel restrictions now loosened amidst the lowest number of recorded cases since March of 2020, tourism is slowly trickling back to the islands.
The Hawaii real estate market saw an increase in condominium sales in February of 2021, with an average of 446 sales going at a median price of $457,500. Put into perspective, that's a 6.4% increase in sale price and a whopping 41.1% increase in volume of sales in February 2021 as compared to the same time last year. As with single-family homes, the inventory for the first quarters of 2021 was slim, dwindling from approximately 2,290 available units in 2020 to just 1,979. All signs point to a continuation in this pattern in the next few months, with demand increasing from international buyers. Condominium listings stayed on the market for substantially fewer days in February of 2021 as compared to 2020 as well, dipping to just 18 days on market. This shortage in inventory was apparent in the fact that 98.8% of condominiums listed sold for their listing prices!
Condominiums in the Metro Honolulu area have always been in demand for buyers internationally from Japan, Canada, Korea, New Zealand, and Germany, to name just a few countries. With tourism ramping up again after a hiatus due to the Coronavirus pandemic that sent ripples across the global real estate market, demand for condominium properties in Hawaii is sure to see a steady increase in the coming months as the economy continues to recover.
This may translate to a historic opportunity for homeowners who are looking to sell, as well as international buyers looking to purchase. As demand ramps up, the shortage in inventory will likely continue to increase the competition amongst foreign buyers. In addition, homeowners looking to sell are likely to sell at a good price with foreign buyers now coming back into the picture, increasing the total number of potential buyers. If the numbers from February 2021 are any indication, we can expect to see the median sale price for condominiums in Hawaii continue to climb, and the number of active listings staying on the market decrease.
Now is the time!
Patrick (R) (GRI) & Takako McMillen (R)
Owners & Principal Brokers
CENTURY 21 Hawaiian Style
Here at CENTURY 21 Hawaiian Style, we have over 31+ years of experience, professionalism, and knowledge to handle the sale of your property with the utmost care from start to finish. Get the most out of your sale by contacting us today!
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