Economic update from the Realtors Association of Maui
On July 17, 2015, Paul Brewbaker, PhD, well-known Hawaii economist with TZ Economics, spoke to members of the Realtors Association of Maui. He noted that Maui is in the seventh year of a gradual economic expansion. Currently, he does not see a halt to the upward “glide path” the Maui economy is on. However, external forces could slow the current expansion.
He mentioned possible outside forces that could possibly affect the Maui economy: Greece, and China’s stock market has fallen 30 percent in the last month. According to Dr. Brewbaker, one thing to keep an eye on is the gradual increase in long-term interest rates.
Quoted directly from the Realtors Association of Maui statistics for the month of June 2015: “Monthly Residential and Condo Unit Sales numbers bounced up and down the last few months, with Residential and Condo Inventory decreasing this month after the Winter Vacation (High Sales) season. Canadian investors have been big participants in Maui’s real estate market, however the current Canadian Dollar exchange rate (.79 U.S. $) may motivate Canadian investors to sell, not buy.
“2014 Year-to-Date Median and Average prices were rising across the Residential, Condo and Vacant Land markets despite lower number of unit sales (YTD). First Quarter 2015 took a break from that trend.
“‘CASH is King!’ when making an offer. For several months, approximately 40 percent of all sales were CASH. Well-priced properties are attracting multiple offers, making for a quick sale. Inventories in Residential and Condo classes grow somewhat as Sale Prices increase. REO (Foreclosures) and Short Sales are dwindling, with any ‘hidden inventory’ slowly trickling onto the market. Mortgage Interest Rates are inching up slightly, which may help motivate would-be Buyers to go ahead and buy IF they can qualify. Savvy Investors are buying with Cash, giving them a strong negotiating position, no financing/appraisal hassles and a quick closing. While general U.S. economic news looks cautiously hopeful, current World and U.S. events will have ripple effects on cost of living, consumer confidence, Financial and Real Estate Markets.”
Kapalua Golf Villas underwent a major remediation project, which is now complete. The buildings have new roofs, new paint, new drainage, new irrigation, new landscape. There is no special assessment. There are four pools with BBQs at Kapalua Golf Villas, a resort shuttle and a resort security guard. Kapalua Resort includes two championship golf courses, fine dining, the Honolua Store, ten tennis courts, Montage Spa and several options for vacationing guests from The Montage to individual condominiums.
Kapalua Golf Villa 27V3 is listed for sale by Joline Dorner, R(S), Jo@JoDorner.com. Completely remodeled and sold fully furnished, this turnkey, one-bedroom, two-bath condominium has not been rented since the upgrades were installed. For further information, please call Jo at (808) 276-9015. Visit www.Lowson.com to search all Maui listings.