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Luxury Real Estate Market Trends a Seller’s Market

Along Kona-Kohala Coast on the Big Island of Hawaii 

As winter begins to settle into some of the cooler regions of the country, many have their sights set on ditching the frigid snow and instead spending their season basking in the sunlight with their toes nestled in Hawaii’s famed beaches. However, for those among the estimated 175,000 visitors that will flock to the Big Island in December who want to establish roots, whether living full time or as an investment, it also marks the perfect time to start looking into the luxury real estate market in Hawaii as it’s poised to be red hot for another consecutive quarter.

The State of the Luxury Market – Strong Sellers’ Market

With inventory on the Big Island at an all-time low, homes peppering the Kona-Kohala Coast have been making waves this past year as sellers love the above-market pricing while buyers can tolerate the current highs with the help of record-low interest rates. It’s a win-win for both sides.

This is due to the fact that as more and more companies in major market across the U.S. continue to offer the option for employees to work remote, many are trading the city life for their own slice of paradise. Who can blame them?

So far this year, the Big Island has seen the most growth in the luxury sector than the other islands in the state as more private clubs and resort communities filled to the brim with amenities continue to be built, attracting those that appreciate a more turn-key lifestyle. With luxury condominium and detached townhomes being the primary drivers in this area, transactions in the $3 million to $10 million range rose nearly 200% year-over-year.

In total, the Big Island produced more than $1.028 billion in sales volume within the first three quarters of the year.

What Does These Mean For Sellers & Buyers?

While inventory may be scarce, there are a few things to consider when purchasing a home on the Big Island including the type of property you are looking to buy. From resorts and condos to land and single-family residential, the biggest thing to keep in mind is what will best fit your lifestyle.

See the links below to some of the current inventory on the island, broken down by development type:

Resort

Single-Family Residential Communities within the South Kohala Moku and North Kohala Moku

  • Puako (Oceanfront community on the Northwestern Shores of Hawaii Island in the District of South Kohala)
  • Kohala Ranch (3,500 acres in three distinctive neighborhoods)
  • Kohala by the Sea (Private Gated Community in North Kohala with One Acre Lots)
  • Iolani (Upscale Kailua-Kona Luxury Custom Homes with Breathtaking Views.)
  • Keauhou Estates (Luxury Gated Residential Community Perced at 500 ft from Sea Level with Stunning Coastline Ocean Views)
  • Waimea (Also known as Kamuela and Paniolo Country. Cool Temperatures and Small Town Feel)

The Takeaway

With the state of COVID-19 and how it will further impact the luxury market being more volatile than ever, now’s the time to list your existing home or purchase a new one. As homes are staying on the market for about 18-days currently, you need a real pro that knows the ins and outs to get you exactly what you’re looking for.

Thinking of listing your property for sale or dipping your toe into the Big Island real estate market, contact Renee Kraft today: 808-345-2108-direct.

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