Changing Maui Real Estate Market
It has been a bit of a challenge in the Maui real estate market with high interest rates, inflation, low inventory, and climbing prices. Homes on Maui have been selling at a quick pace. There are buyers on the side lines that have been waiting for new homes to show up on the market. But the Maui real estate market is showing signs of slowing down. I would at this point call it a cooling off with interest rates, inflation, not to mention gas prices.
Surprisingly we are seeing an increase in new listings on the market. We are also seeing a word that I haven’t seen used in a while “Price Reduction”, properties that are overpriced at time of listing making adjustments. It is a good time to be a seller, in fact I would take advantage of listing in this Maui real estate market, but caution sellers about being realistic about pricing. I was checking out some condos for sale in Wailea Maui, pricing and days on the market. Wailea Beach Villas a beautiful oceanfront property in Wailea Maui. Villas located back from the oceanfront, Villas priced at $12,750,000, with 40 days on the market pushing the envelope. Wailea Ekolu which is on the mountain side of the main road Wailea Alanui listed at $2,695,000, 112 days on the market, way overpriced.
Oceanfront condos like Wailea Ekahi have been in high demand. I have sold a number of these lovely oceanfront condos. The last two years there was hardly any Wailea Ekahi units for sale. Today there are 7- Wailea Ekahi units on the market.
To get the attention of buyers, sellers are going to have to get more realistic on listing prices. If you are getting a loan, appraisals are a going to be major factor. So we are looking at a transition in the Maui market like most of the rest of the country
While home and condo sales are down over last year, the Maui real estate market is still strong. With the stock market taking a serious hit, real estate on Maui is still a solid investment. Rentals on Maui are strong in residential and vacation rental market. The nightly rate of luxury hotels is running between $1,500 to $2,000 night. So the world has its eye on Maui as a destination vacation spot, and those looking for a lifestyle change on Maui is very attractive.
So you’re looking at buying a home or condo on Maui? First of all, when you research the market, the big question is: Where do you want to live on Maui? Are you looking for a ranch home with acreage, or a condo on the beach? Places like Kula, Maui come in to mind. with country style homes to contemporary estates to choose from. Or do you want to live on oceanfront property on Maui? Places like Makena and Wailea for stunning oceanfront settings. Wailea Ekahi Village and Wailea Elua are popular island visitors’ destinations.
The West Side of Maui has a large selection of exceptional luxury residential and condo properties in places like Launiupoko, Kaanapali, Napili and Kapalua Maui to choose from. So questions to ask yourself are: How big of a house and size of lot would you like? What price range? Does this property give you the lifestyle you want? How important is it to you to be near shopping, restaurants, or grocery stores you prefer? There’s the question about maintenance of your property, two-acres requires a lot of work (I know! I live on 2-aces, love it, but you either have to love yard work, or hire a gardener!).
Buying a home on Maui is a big investment. It is a huge step, life changing adventure, and you should go into to it with eyes wide open. That’s why it’s important to hire an experienced Maui real estate agent that knows the island well. Buying a luxury home is more than offering the right price. Things to consider are
1.home inspections
2. appraisals
3.contingencies
4. Are you a cash buyers or looking at financing
5. knowing the community
Timing is everything when working on a purchase of a home. An experienced Maui realtor can be a great resource. A knowledgeable agent knows the local terrain, the plus and minuses of communities, and properties. Experienced Realtor will listen to your buyer’s, needs, and providing them with the tools to point them in the right direction are essential.
When purchasing a home, you want to have your finances together. If you will be making a cash offer, you will need to have proof of funds or provide a pre-approval letter from your lender. I find it’s better to use local lenders, they have a better lay of the land, understanding zoning and land classifications may send a red flag to mainland lenders, but with local lenders it’s not an issue. Most escrows are 30 to 60 days, so timing is important for loan approvals or to have available funds at the time of your closing. Working closely with an escrow officer and your realtor will keep you up to date on timelines. When you’re submitting offers in a busy real estate market you want to have all your ducks lined up, keeping it clean it will make a difference.
So there you go, buying a luxury home on Maui involves some planning. Knowing the local inventory, Maui real estate prices, and knowing property values is important prior to making any offers
What I offer as a Maui luxury real estate agent on Maui is 28 years of experience selling real estate on Maui island-wide. I have worked on sales teams with Wailea Beach Villas, Hoolei Wailea Villa units, and Papali Wailea Maui luxury homes. Also prior to real estate on Maui, I was a Maui contractor for 18 years, and owned Nickens Interiors on Maui. You can visit my website at Nickensmaui.com, which is a great resource for luxury homes and condos on all of Maui.
If you have any questions about buying or selling homes or condos on Maui, feel free to give me a call. I work island wide on Maui. I work with Hawaii Life Real Estate Brokers, with offices in Wailea, Kihei, Paia, and Lahaina. Hawaii Life has over 3-million visitors to their website a year. #1 in luxury home sales in Hawaii.
Maui Luxury Home Specialis
Steven Nickens RS-54097 GRI ABR
Hawaii Life Real Estate Brokers
Cell: 808-280-2208
Email: nickensmaui@gmail.com
Website: nickensmaui.com
Instagram: @stevenickensmaui
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