Oahu Real Estate 2012 Year End Recap

by Locations LLC 1/3/2013 3:44:10 PM

2012 has been an exciting year with the market’s momentum building. As we approach the New Year, below is a  2012 Oahu Real Estate Year End Recap.  Based on its over 40 years of experience and market research capabilities, Locations LLC is in a unique position to provide such analysis and insights to empower buyers and sellers. 

Entering 2012, Locations LLC predicted the overall pace of sales to increase 4%, and overall median prices to rise 3%. By year end, the combination of an improving economy, low interest rates, and high demand for available inventory proved the projections to be true based on the following results:

Key take-aways:

  • All indicators are at or near record levels. Properties are selling quickly and most sellers are getting close to -- or more than -- their asking price.
  • All current market conditions point to increased upward pressure on sales and prices.  The extremely low number of properties available for sale may be constraining the expected growth in number of sales.

A closer look: 

  • Sales: Oahu single-family home sales were 3,072, a 6.4 percent increase over 2011.  Condominium sales were 4,221, a 7.4 percent increase over 2011.
  • Median Price: The Oahu single-family 2012 median price is $625,000, an 8.1 percent increase over 2011.  The condominium median price is $315,000, a 5.0 percent increase over 2011.
  • Appreciation: The amount of home appreciation varied depending on region and neighborhood, with 68 percent of Oahu neighborhoods showing an increase in median price in 2012 pointing to a broad-based price shift.
  • Bid-Up: 21.4 percent of all homes sold in 2012 – or more than one in every five homes -- were bid-up above the asking price.  For condos, 12.7 percent -- or more than one in every eight condos -- were bid-up above the asking price. For homes under $500,000, about 44.3 percent were bid up over the asking price in 2012 – almost one out of every two homes.
  • Days on Market: The Median Sold Market Times, or the number of days for a property to enter into contract, dropped from 36 days in 2011 to 32 days in 2012 for single family homes, and from 42 days in 2011 to 32 days in 2012 for condos. This is a good indicator of strong buyer demand.
  • Available Inventory:  Current inventory of properties available for sale is 790 for single-family homes and 1,180 for condos. These are the lowest levels on record in 30 years. Given strong buyer demand, it appears that the extremely low number of properties available for sale is constraining growth in number of sales in 2012.
  • Distressed Property: The number of distressed sales dropped by almost half in 2012.  About 8.5 percent of all residential property sales were either short sales or lender sales, down from 15.5 percent in 2011. O‘ahu’s Leeward and Ewa regions are still the hardest hit with distressed property sales of 34 percent and 28 percent respectively.
  • Interest Rates:  Mortgage rates are at record lows. The current rate for a 30-year conventional mortgage is 3.32 percent, effectively putting Oahu homes “on sale,” as well as increasing the number of buyers who can afford to buy.

The market conditions above proved to be a positive combination for the Oahu market in 2012. While no two years are exactly alike, we look forward to releasing our 2013 forecast analyzing the current market vs historical performance, and leading macro-economic indicators in the near future. Until then, We hope you and your family have a happy and prosperous New Year!

  
Locations LLC invites you to comment on our articles and the issues they raise. (We love a good discussion!) Comments are moderated for offensive language, commercial messages and off topic posts, so your comments may not appear immediately.

Add your comment




biuquote
  • Comment

Verification Question.  (This is so we know you are a human and not a spam robot)
8 + 1 =   

Hawaii's Most Useful Real Estate Website

  • Most complete source of properties for sale in Hawaii
  • Exclusive Hawaii foreclosure and new construction search
  • Experienced agents available to help you instantly
  • Instant alerts when new properties come on the market
  • Fast, Easy, No Obligation!


Add To Favorites

Keep your eye on this property! Add to your Favorites and receive email updates if the status of the property changes.

 
Yes, I would like to receive email updates.

 
 
 
Search For Posts:
Newsletter
Get notified when a new post is published.
Enter your e-mail
Feed Subscribe Via RSS
Month List
2011
July (4)
August (3)
September (4)
October (4)
November (3)
December (2)
2012
January (4)
February (7)
March (5)
April (10)
May (9)
June (4)
July (4)
August (2)
September (5)
October (3)
November (1)
2013
January (6)
February (7)
March (7)
April (7)
May (8)
June (11)
July (4)
August (10)
September (9)
October (21)
November (33)
December (23)
2014
January (27)
February (21)
March (17)
April (13)
May (19)
June (19)
July (22)
August (20)
September (17)
October (23)
November (12)
December (15)
2015
January (11)
February (13)
March (6)
April (4)
May (4)
June (12)
July (1)
Tag cloud
1031 Exchange  25 most influential business leaders  401K  Ae'o  Affordable  affordable luxury  Agent  Agent Blogging  Ala Moana  April  April Luga  August  Beach  Bid Ups  Big Island  Big Island Real Estate Market Report  Bill Chee  Bruce Yanagihara  Buyer  Buying a Home in Hawaii  Carmen Gonzalez  Chad Takesue  Charity  Charmaine Quilit Poki  Cheap  Child and Family Services of Hawaii  Chinese  Chris Yozamp  Christmas  Clothing Drive  Community Spirit Award  Comparison Report  Competitive Market  Condo  condos  Corinda Wong  CPR  Decluttering  demographics  Dennis Muth  Diamond Head  Dolores Bediones  Dream Home  Duke Kahanamoku  Eddie Would Go  Elaine Chow  Elena Roud  Elizabeth Steward  Elvis Presley  Events  Exchange  Expensive  February  FebruaryHawaii  Fee Simple  first time home buyers  First Time Homebuyer  Fixer-Upper  Foreclosures  Foreign Buyer  Foreign Investment  Gil Negrin  Halloween 2014  Hawaii  Hawaii Foodbank  Hawaii Kai  Hawaii kai demographics  hawaii kai real estate  hawaii real estate  hawaii real estate investment  HCDA  Heather Arias  History  Holiday  Home Improvement and Repairs  Honolulu  Honolulu Light Rail  Honolulu rail  House Hunting  How to Buy Your First Home  Howard Dicus  HUGS  Hula  Ilikai 2014  Improvement Exchange  In Memory of Eddie Aikau big Wave International  insider tips  Inspection  Insurance  Interest Rates  Investing and Investments  IRA  James Chan  January  Japanese  Jodee Farm  Jon Yamasato  July 4th  June  Kailua  Kailua Bluffs  Kakaako  Kaneohe  Kapiolani Park  Kapolei  Karen Robertshaw  Kathy Cole  Kauai  Kauai Real Estate  Kauai Real Estate Market Reports  keauhou place  Kendra Okihiro  Kengo Ueno  KITV  Ko Olina  Kokua  Lanai  Lanikai Beach  Larry Thomas  Leasehold  Leeward Coast  Lifestyle  Lisa Onishi  Liza Nordin  locations  Locations Agents  Locations Foundation  Locations Hawaii  Locations LLC  Locations LLC Foundation  Luxury Homes  Makakilo  March  Mariner's Cove  Mariner's Valley  Market Report  Marshall Mower  Maui  Maui Real Estate  Maui Real Estate Market Report  Maunawili  May  Michael Marks  Mililani  Mililani Mauka  Mililani Town  Military  Mixed-Use  Mobile  Molokai  Mortgage  Mortgage and Finance  Moving  MREO October 2014  Neighborhood  Neighborhood Vibe  New development  Nicole Choi  Norm Banta  North Shore  north shore history  north shore real estate  Oahu  Oahu Charity  oahu real estate  Oahu Real Estate Market Report  Obamacare  Oceanfront  October 2014 OREO  Out and About on Oahu  Pacific Business News  Party  Permitting  Pet Friendly  Pets  Portlock  Quarantine  Real Estate  Real Estate Market Report  Rent  Robin Markle  Safety  Saving the Deal  Schools  Scott Higashi  Sean Yano  Seller  Senior  September  Sherrie Kuroda  Shops at Wailea  Short Sale  Simona Winstone  Single-Family Home  Staging  Statewide Real Estate Market Report  Stephanie Chan  Surfing  Tax  Technology  The Bay Calls the Day  Throwback Thursday  Toan Doran  Tom Presler  Top 10  Top 100 Realtors  Top 25 Leaders  top real estate hawaii  VA Loan  Wade Uehara  Waikiki  Wailea  Waimea Bay  Weather  welcome home  WhereAreWeWednesday  wherearewewednesdays  Windward  Zona Jones 

Sales & Price Trends by Area

Stay abreast of real estate activity and values for areas you are interested in.

more

Today's Mortgage Rates

View current mortgage rates, updated daily.

more

Today’s Market Opportunity

Listen to our CEO, Bill Chee, talk about
how to take advantage of today’s market.

more
Locations LLC
5 out of 5 based on 5 ratings.

See Google Reviews