Hawaii Island Market Update: June 2020
Where we normally see crowded beaches, summer pau hanas, and cruise ships docking in the Bay - we all know, there is nothing "normal" about this summer. We are all adjusting to the new normal of face masks, social distances, travel quarantines - For me, aside from connecting with my clients over the phone and zoom meetings, I spent the last few months planting a garden, baking & fermenting new recipes, tuning into virtual Realtor courses, going on socially distant surfs, swims & hikes. I always feel incredibly lucky to call Hawaii home, however in these times - I find myself even more grateful for having so many outdoor activities to do while maintaining my distance from others.
As of June 1 the state has opened up medium risk businesses and activities. For me, this means seeing some of my dear friends getting to return to work and reopen their businesses. Fitness studios, salons, barbers, and restaurants are considered medium risk and are now open under socially distant regulations. While the inter-island quarantine will be over on June 16, the travel quarantine will still be in place for those flying into Hawaii.
Real Estate offices were allowed to reopen in mid-May and I have thoroughly enjoyed getting back to the office! Speaking of Real Estate, we are starting to see how the past few months of lockdown has affected the Real Estate market. For example, according to a recent study by NAR, the percentage of first time homebuyers making purchases has increased, while investor purchases has decreased. This supports another trend that there are less cash purchases and more financed purchased.
Across the Big Island, the number of sales dropped 25% in May when compared to April. However, important to note that this decrease in sales is closely related to the limited inventory and limited new inventory that has come on the market in the past month. The median sales price on island last month for single family homes was $370,000 with 131 sales, and $319,900 with 29 sales. Be sure to check out the full market report below!