I present to you the latest edition of Elite Pacific Properties’ Oahu Upscale Real Estate Report. The local real estate market continues to show signs of improvement, and real recovery from January 2009, with inventory at low levels and prices stabilized. The upscale property market is still slow, but well priced homes in great neighborhoods attract the most attention, and even multiple offers. Overpricing in this market, even a little, means a long wait.
On the side of caution, foreclosures continue to rise, and many analysts expect a new wave of foreclosures as many owners with pay option ARMs get a bump in their mortgage payments. With unemployment so high, the timing couldn’t be worse for them. Also, there is speculation that banks may start to unload some of the inventory of repossessed properties they’ve been keeping on the books, which would lead to increased market inventory and downward pressure on prices. However, this may apply more to depressed markets on the mainland than on Oahu, where prices haven’t been hit as hard, and where there was less of the “anything goes” lending during the boom.
In short, there are good properties to be had at attractive prices, and by sitting it out waiting for another drop, you may miss out. For sellers, price right and keep your property in the best showing condition. Lower inventory means less competition for attention, so do everything you can to make the best first impression.
