O‘ahu Housing Prices Continue to Tick Up, Setting New Records

Properties spend a near-record median of 10 days on the market

The single-family home market started to cool with closed sales dropping 15.1%, while the demand for condos remained steady with closed sales rising 15.1% compared to May 2021. Both markets saw median sales prices continuing to tick upwards, setting new records, with single-family homes reaching $1,153,500 and condos hitting $516,500.

Single-family homes in the $600,000 to $999,999 price range represented the most significant decline in sales activity, dropping 41.2% compared to one year ago. Most regions across O‘ahu experienced a dip in sales, except for the Central region of Mililani and Wahiawa, which ended the month on a high note with a 61.9% increase in sales.

Condos in the more affordable price range of $300,000 to $599,999 represented 48.0% of closed sales in May, with a volume increase of 13.4% from one year ago. Condo sales in the $700,000 to $899,999 range more than doubled compared to May 2021, representing 17.6% of May closings. The Metro region accounted for the most significant increase in condo sales, up 21.9%, while the Ewa Plain area saw sales decline by 20.3%.

“As interest rates and median sales prices rise, the question of what people can afford is clearly impacting market dynamics,” said Chad Takesue, president of the Honolulu Board of REALTORS®. “We see this reflected in the active inventory of single-family homes, which rose 39.8% from a year ago. Though we’re still lagging behind pre-pandemic levels, this increase in much-needed inventory gives prospective buyers more options to choose from across the various price points.”

Sales of single-family homes and condos are moving at a near-record pace, with properties spending a median of 10 days on the market in May. Sales closing above the original asking price continued in May, with 217 single-family homes and 313 condos selling for more than the original asking price. For single-family homes, this represents 63% of the month’s sales and 45.5% of May condo sales.

Oʻahu Home Sales Dip, Condominium Sales See Modest Increase

Single-family home and condo prices drop slightly from last month to $1,105,000 and $510,000

Year-over-year sales changed modestly from April 2021, with single-family home sales falling 2.7% and condo sales rising 4.2%. Single-family homes and condos marked a double-digit increase in the median sales price, with single-family homes recording a median of $1,105,000 in April, a 19.1% jump from the previous year, and the condo market reached $510,000, a 13.3% bump year-over-year.

Single-family homes in the $1,000,000 to $1,399,999 range saw the largest increase in sales volume, up 46%, while homes in the $700,000 to $999,999 price range made up approximately one-third of April’s sales, despite seeing a 26% drop year-over-year. The Ewa Plain accounted for the bulk of sales in both price ranges.

In the condo market, sales in the $700,000 to 999,999 range doubled from a year ago, up 101.6%. Condos sold in the $1,000,000 to $1,999,999 range saw the next highest gain, up 54.8%. The Metro region accounted for 60% of sales in April and the largest increase in volume, up 16.5% year-over-year. The Waipahu and Ewa Plain regions saw the most significant decline in sales, down 46.7% and 20.0%, respectively.

“As interest rates rise and financing becomes costlier, we saw pending sales begin to slow and a slight dip in month-to-month median prices in April,” said Chad Takesue, president of the Honolulu Board of REALTORS®. “Still, high demand and low inventory continue to drive competition and put upwards pressure on sales prices.”

Single-Family Homes, Condos on O‘ahu Mark Record Median Sales Prices

Luxury sales pull the single-family home price to $1,150,000, while condos rise to $515,500

The first quarter of 2022 closed with new record median sales prices for both single-family homes and condos at $1,150,000 and $515,500, respectively. The March median sales price for single-family homes reflects a 21.1% increase from last year and is 2.2% above the previous record of $1,125,000 set just a month ago. The condo market’s median sales price of $515,500 represents a 14.3% hike compared to this time last year and a 1.1% increase from the prior record of $510,000 set in January 2022.

In March, single-family home sales fell 11.1% year-over-year, while the condo market sales volume remained strong with a 7.3% rise compared to March last year. Combined sales saw a modest bump, up 0.6% compared to March 2021 sales.

Fewer single-family homes were sold in March and the first quarter, with the most significant decline occurring in the $899,999 and below range, down 56.3% with just 70 closings in March. On the other end, the luxury single-family home market is picking up with 27 single-family homes sold in the $3 million and above range, marking a 68.8% jump year-over-year. In the condo market, sales in the $700,000 to $799,999 range recorded the highest volume increase, up 125.8%, with most of these sales occurring in the Metro and Ewa Plain regions.

“More luxury sales coupled with declining affordable inventory and sales are pulling the median price upwards in the single-family home market,” said Chad Takesue, president of the Honolulu Board of REALTORS®. “It’s no surprise that rising prices are pushing more prospective buyers to consider condos, driving the steady and strong demand we’ve been seeing for these properties.”

Strong Demand Continues to Drive Oʻahu’s Housing Market in New Year

Condos set a new record median sales price of $510,000 

2022 began with a sharp jump in both single-family home and condo sales – combined, O‘ahu’s housing market saw a 28.6% sales increase compared to January 2021. While the single-family home median sales price held steady for the third consecutive month at $1,050,000, the condo market set a new monthly median sales price record of $510,000, surpassing the previous $500,000 set in August 2021.

Single-family home sales were up 12% year-over-year, while condo sales soared 40.8% compared to this time last year. Properties continued to move at a brisk pace, with single-family homes spending a median of 12 days on the market and 14 days for condos.

“Although sales are ahead of January 2021, we’re facing low inventory and rising interest rates that may temper the unprecedented market we saw throughout last year,” said Chad Takesue, president, Honolulu Board of REALTORS®. “However, as long as low inventory, near-record low interest rates and strong demand for housing remain, we’ll continue to see fierce competition and properties move off the market at a fast pace.”