The buyer demand remains strong and with limited inventory, prices are increasing and we are seeing a decrease in the average days on the market for properties on Big Island. The number of sales held steady and did not show signs of slowing down last month. In what typically is a slower month for sales, this December was different. There was a 36% increase in the number of single family homes sold when compared with December 2019. For condos, the increase is 33% and for land sales the increase is 69%.
Days on the the market dropped slightly last month when compared to November, dropping from 75 to just 56 days for single family homes. Homes in Kau stayed on the market for the shortest amount of time on average at 47 days, with North Kona homes staying on the market for just 48 days. This is 60% shorter than the average days on market for North Kona homes in December 2019. Islandwide for condos, the number of days spent on the market dropped drastically from December 2019 as well dropping from 89 days to 64 days in December 2020.
The median sales price for Hawai’i Island last month was $485,000 for single family homes, $364,000 for condos, and $33,000 for land sales. Prices have increased since this time last year, increasing by 34.7% for single family homes, 14% for land sales, and by 18% for condos.
LUVA Realtor Lance Owens commented that “West Hawaii is a hotspot, with the lack of little or no new construction planned for 2021 I expect the values to see a steady annual increase of about 12% (moderate compared to the 2020 increase of 20%).”