Maui Real Estate Market Update August 2018
August 16, 2018 | Scott Innes
HOW'S THE MARKET 
Housing price bubble chatter has increased this summer, as market observers attempt to predict the next residential real estate shift. It is too early to predict a change from higher prices and lower inventory, but the common markers that caused the last housing cooldown are present. Wages are up but not at the same pace as home prices, leading to the kind of affordability concerns that can cause fewer sales at lower prices. At the same time, demand is still outpacing what is available for sale in many markets.

New Listings increased 12.8 percent for Single Family homes but decreased 2.7 percent for Condominium homes. Pending Sales increased 15.9 percent for Single Family homes and 7.9 percent for Condominium homes. Inventory decreased 14.4 percent for Single Family homes and 22.8 percent for Condominium homes.

Consumer spending on home goods and renovations are up, and more people are entering the workforce. Employed people spending money is good for the housing market. Meanwhile, GDP growth was 4.1% in the second quarter, the strongest showing since 2014. Housing stats are down, but that is more reflective of low supply than anything else. With a growing economy, solid lending practices and the potential for improved inventory from new listing and building activity, market balance is more likely than a bubble.

Click Here for the full report:  Maui Real Estate Market Update 2018

REALTORS® Association of Maui
Share

check_circle

You message has been sent!

Send us a Message: