O‘ahu Real Estate Sales Drift Downward
Properties are spending longer on the market
Buyer activity continues to slow with closed sales of single-family homes dropping 41.7% and condos falling 28.8%. Median sales price growth has also decelerated, though prices remained up year-over-year, with single-family homes increasing 5.0% to $1,050,000 and condos rising 4.0% to $520,000.
Properties that closed in October were on the market for a median of 19 days in both markets, up approximately eight to nine days year-over-year. Bidding over the asking price is shifting downward in both markets. For single-family homes, sales this October were split, with 50% of single-family home sellers receiving their full asking price or more, while the other 50% of sales closed below the original asking price. That’s a notable difference considering 75% of single-family homes sold at full asking price or more in October 2021. The condo market also saw 48% of sales close at the full asking price or more, compared to 59% last year.
“Higher financing costs are dampening buyer activity, meaning sellers’ properties are spending more than a week longer on the market compared to last year,” said Chad Takesue, president of the Honolulu Board of REALTORS®. “As buyers and sellers seek a new balance under the current market conditions, we’re also seeing the prevalence of bidding over the asking start to wane compared to what we saw in 2021.”