We are announcing a major price reduction on our listing Hale Maluhia at 6681 Makena Road. This nearly one acre estate boasts a new 4100 square foot home built with top of the line materials and exquisite care. The 700 square foot cottage offers either income possibilities, or a home for a caretaker or a refuge for visitors. All of this is only steps from Big Beach! Now listed for $5,999,000.
Many buyers ask us about the frequency of foreclosures etc on Maui and how it impacts Maui real estate in general and Wailea real estate specifically. Our answer has been that while they occur from time to time on Maui and in Wailea, it just isn't having a significant impact. In today's Honolulu Advertiser an article provides some quantifiable Hwaii-wide data supporting our views.
We are pleased to announce that 3387 Kuaua Place in Maui Meadows, listed for $3.295 million has gone into escrow. This extraordinary piece of Maui real estate boasts Wailea-style construction and breathtaking ocean views.
The Federal Reserve is posting maps showing where the subprime issues are located. As you look for the impact on Maui real estate the closest you can find find the Honolulu market. It is instructive. Compared to a national average of 3.86%, Honolulu ranks eleventh nationally with only 2.29%. The average price of a home compared to the market's peak is 99% compared to a national average of 92%. The areas facing the biggest problems are Stockton and Riverside California with 8% delinquencies and 20%+ sales price declines. Other areas relatively untouched include markets like Seattle, San FFrancisco, Spokane and San Jose.
David Berson, USA Today’s Economist of the Year, at PMI has released his latest research piece on the national housing market. Here are some key snippets and how they relate to Maui real estate.
Our models indicate that the decline in house prices is only about one-third to one-half over, due primarily to the magnitude of the supply/demand imbalance in the housing market. This assumes that the current neconomic downturn is both short and modest, and that the disarray in financial markets ends soon…The key reason for these national price declines is the worsening of the supply/demand imbalance in the housing market. The average price of a house, as with all goods and services, ultimately depends on demand and supply…
While none of this necessarily applies to Maui real estate specifically, it does impact the mindset of buyers who are considering buying. Let’s find some detailed data now.
Berson projects the percentage likelihood that following markets will see lower housing prices in two years.
In today's Pacific Buisness News, an article focuses on the importance of pictures in selling real estate today. While the article speaks mostly to Oahu agents and properties, we believe the same is true for Maui real estate and especially high end properties like Maui oceanfront real estate.
The Maui News has printed an article regarding Maui real estate and Wailea real estate that has so much information in it that it must be called hoohey. Unfortunately, much of it comes from our own Realtors Association. The following statements from the article are not true reflections of what is happening in the market:
MSN.com had an interesting article on the value of a view. We wondered how it compared to Maui real estate. According to work done on the mainland, and particularly in California. Here are some calculations by Earnest Siracusa regarding new subdivisions:
The Bluffs at Wailea is Maui real estate's newest vacant land offering. Situated just makai of the new Wailea Gateway, the Bluffs at Wailea consists of twelve luxury homesites. Most of the lots are very large by Wailea real estate standards at 1/2 acre, and one of the lots is over one acre. Prices begin at $1.35 million and range up to approximately $2.5 million for the half-acre parcels.
As our research has shown, the nature of a given property's ocean view has a significant impact on the price of Maui real estate. While of course a real oceanfront location can create an extraordinary view and a relationship with the ocean that involves sound and smell as well as sight, for most properties the higher the elevation, the more dramatic the view. Even in an oceanfront complex like Wailea Point, that promontory itself sits forty feet above the Pacific Ocean which creates a different kind of view that one finds at Wailea Elua which is much closer to sea level. To provide some sense of how elevations work in the Wailea/Makena areas, Wailea Alanui sits at approximately 100-120 feet above sea level around the Four Seasons Hotel. Here are some other Maui real estate locations and approximate elevations and corresponding views: