Yes, opportunity is still knocking at the door of the Oahu real estate market! Even as we head into the “slow winter months”, continued low inventory levels, historically low interest rates, and strong buyer demand still make it an opportune time for sellers to put their home on the market.
Is The Market Slowing?
Recently I’ve had some interesting conversations with people from Hawaii and other areas of the country. I’ve learned that Covid and politics are not the only areas ripe with some pretty amazing theories. Whether it’s a flood of foreclosures caused by the end of the eviction moratorium or a bankrupt US economy caused by political theater in Washington, some folks are pretty convinced the crash of the housing market is near….or at the very least, the market is slowing.
As I’ve mentioned before, my crystal ball is broken. I can’t tell what’s going to happen with the future of the Oahu real estate market, especially in these interesting times we’re going through. I can only go with what I’m seeing while working every day with sellers and buyers in the Oahu market.
Properly prepared and well-priced homes with thorough marketing plans focused on product, price, and placement are still selling quickly at prices significantly over the list price. While this competitive market is much more forgiving when it comes to the condition of a home, there are still homes that will sit on the market because of unique qualities or because the optimistic/unrealistic list price doesn’t reflect the condition.
There does seem to be fewer buyers, but most sellers I’m working with aren’t concerned about getting only 10 offers instead of 20 – especially when they’re setting new record prices for their neighborhood or building! Buyers I’m working with don’t find any comfort in competing with only 9 other buyers rather than the same 19 people they were seeing at open houses over the summer.
Economists I follow aren’t seeing any significant increase in housing supply that will cause downward pressure on values. Commercial lenders I’ve spoken to are expecting current low interest rates to remain for at least 2 to 3 more years. As Covid numbers decrease, we’ll start to see the return of international buyers with pent up demand for Oahu real estate.
Over the last 15 years I’ve learned anything can happen and the market can change quickly. Given the current market and the fundamentals that impact that market, I believe the Oahu real estate market will remain strong and prices will continue to rise, but at a lower rate. It’s a great time to sell!
For more information, whether selling or buying, contact me today.