Home sales on the rise
It's still a buyer's market, say local agents
by Jason Armstrong
Stephens Media
Wednesday, July 1, 2009 9:49 AM HST
HILO -- Hilo home prices have recently risen faster than all but two Hawaii communities, according to a nationwide real estate tracking company.Stephens Media
Wednesday, July 1, 2009 9:49 AM HST
Hilo homes sold between April and June had an average price of $325,981, 18.4 percent more than those sold during the first quarter of the year, according to RealtyTrac, a leading online database of foreclosure, auction and bank-owned homes.
Kaneohe, Oahu, posted the highest increase -- 24.7 percent -- during the same period, while Aiea, Oahu, finished second with a 20.3 percent jump in average home sales prices, according to RealtyTrac.
|
advertisement
|
The Hilo prices likely were boosted by the sale of a few higher-end homes, suggested Nancy Cabral, a real estate agent and owner of Day-Lum Inc., Coldwell Banker Day-Lum Properties and Day-Lum Rentals and Management Inc.
She has a few Hilo residential properties in escrow for $500,000 to $600,000 apiece.
Cabral said she's recently sold homes for double what she sold the exact property for a decade ago.
Activity has increased, but it's still a good time to buy because there are many Hilo homes under $300,000 and the federal government is now offering a tax credit to first-time home buyers, Cabral said.
"Now, you can get a really good house in Hilo at a really affordable price," she said.
That is likely to change because investors are returning to the real estate market and retirees are moving here from Oahu, she said.
"It will drive prices up with time," Cabral added.
Many real estate agents use the Multiple Listing Service, or MLS, to gauge market trends.
Contrary to RealtyTrac, MLS shows that Hilo residential prices dropped during the second quarter, said Arabel Camblor, president of the Hawaii Island Board of Realtors.
According to MLS data Camblor provided, the median sales price for South Hilo homes went from $306,000 in the first quarter of 2009 to $238,500 during the past three months. (The median is the number in the middle of a series arranged by size, which can be much different than the average.)
"I think they're going down a little bit," Camblor said of Hilo-area home prices.
The number of South Hilo homes sold increased from 26 in the first quarter of the year to 42 for the second, according to the MLS data.
"It kind of reinforces my belief that the market conditions are better in terms of buying," Camblor said.
She noted first-time home buyers can receive an $8,000 federal tax credit that was only recently made available, while interest rates for fixed, 30-year mortgages are about 5.25 percent.
"That's still very good," Camblor said of the interest rates, noting it's now harder to get financing for vacant land.
Both Camblor and Cabral are confident East Hawaii's real estate market will rebound after several years of declining prices.
"I'm real optimistic about the market right now," Camblor said.
E-mail Jason Armstrong at jarmstrong@hawaiitribune-herald.com.
|
|
