Maui real estate markets

December 23, 2010 // 76 Comments »

Experts generally agree that the national and Maui real estate markets are finally showing a period of recovery and growth, although there is also a consensus that those recoveries are both precarious and uncertain. A report from the Lahaina News seems to indicate that a housing recovery is currently underway, but that the duration and strength of that recovery is both variable and far from predetermined.  The National Association of Realtors’ chief economist, Lawrence Yum, believes that home sales will steadily rise over the next few months, due to low mortgage rates and relatively low prices on homes and apartments. This cautiously positive outlook seems to also apply to the island of Maui in particular.  Year-over-year, the first three quarters of 2010 have outperformed the first three quarters of 2009 by wide margins. Maui condominium sales have risen by nearly fifty percent, while single family home sales increased by about thirty-three percent, the number of vacant lots purchased increased by about thirty-two percent. This increase in sales volume has been accompanied by a decrease in the median sales price, with condominiums dropping in price by twenty-one percent, residential properties by eight percent, and vacant land by just under twenty percent.  West Maui saw perhaps the most drastic increase compared to 2009, with condominiums, residential properties, and vacant land showing jumps of eighty-two, fifty-five, and forty-eight percent, respectively. These same three categories of West Maui real estate did a drop in average price as well, though, with each segment dropping  by fourteen (condominiums), sixteen (homes), and thirty-one (land) percent.  The overall trend appears to support a continuing buyers’ market, although the steady decline in median price seems to be slowly leveling off. Hopefully, this nascent strength will continue and lead to real stability in Maui’s real estate market.

This same generally positive news for Maui homes and condos for sale was noted in a November 11, 2010 article from the Maui Weekly, which stated that “This is concurrent with the recent rise of real estate purchases on Maui. When comparing the first, second and third quarters of 2010 with the same time periods in 2009, condominium sales volume displayed an increase of 49 percent, with residential property sales improving by 33 percent and vacant land sales growing by 32 percent. Median sales prices for condominiums declined by 21 percent, residential by 8 percent and vacant land dropped by 19 percent.” This is an unsurprising correlation, since generally speaking the number of sales is inversely related to the quantity of units sold. In times of particularly robust economic strength and growth, some markets exhibit both higher prices and higher rates of sale.

There are, unfortunately, signs of weakness both for the local and national economies. The real estate market tends to follow the overall momentum of the economy, meaning that if Hawaii or Maui’s overall economy starts to falter, there is a larger chance that real estate will also falter. 2009 was the first time since  the Great Depression that the global economy as a whole contracted. According to the University of Hawaii Economic Research Organization (UHERO), the current tentative recovery that supplanted that recession is starting to falter. The Maui Visitor’s Bureau is concerned that an additional shock to the already fragile economy could push the nascent rally back into recession. In particular, a major concern is that a double-dip recession could damage the largest sector of Maui’s economy, the tourism industry. The UHERO update warned that the global recovery is proceeding “in an uneven fashion.” Less developed nations, especially those in East Asia, started to rally most quickly, but more industrialized countries lagged well behind the expected curve of recovery. Unemployment remains relatively high, and the American recovery in particular seems ready to fail as the last of the federal stimulus money is spent. Economists are projecting that it could take years for the global economy to return to pre-recession levels. While the United States has seen encouraging increases in consumer spending, the commercial sector has not shown comparable strength, and banks remain hesitant to loan out money. In Japan, which has been in financial trouble for years, the relative strength of the yen has started to be a concern, counteracting the positive effects of higher exports. The bottom line is that the Hawaiian economy may suffer as the global economy’s recovery begins to stumble.

Posted in Maui

Best of Maui, Hawaii

November 26, 2009 // 141 Comments »

Are you dreaming of that perfect Hawaiian vacation? Well, then you just have to go to Maui. Of all the Hawaiian Islands, Maui is the most magical, alluring and exciting. The island has a lot to offer; it has the best beaches, best golf courses, best windsurfing, best weather and the sweetest pineapples you’ll ever taste, Maui Gold! Now, that’s the best of everything!

Besides the soaking under the sun, and sipping mai tai while the sun sets, what else is there to see in Maui? Well, we’ve compiled a Top 10 Do-Not-Miss List in Maui

1. Haleakala – The place has been described as pilgrimage-like. On the center of the island is a 10,023 feet high volcano; its summit is the highest point on Maui. For more interesting and historic details about this island, you can visit the very informative Haleakala National Park Visitor center. Aside from this, you can go hiking, or horseback riding down into the 3,000 feet deep Haleakala Crater. You can also explore ancient lava flows and silverswords, which are rare, silvery flower stalks native to the area. If you are going for a spiritual retreat, you should try to go there early in the morning to catch the sunrise. Park entrance is around $10 per vehicle or $5 each for hikers and bikers.
2. Road To Hana – This place is said to be the most scenic drive in the Hawaiian Islands. The road begins at the south of Kahului and winds down the southeast coast of Maui. The distance from these two points is around 55 miles and the road twists and turns at no fewer than 617 bends and crossing over 56 tiny and mostly one-lade bridges. While on the road, you will experience the stunning view of the flourishing vegetation, sweeping views of the ocean at every turn, and scores of swimming holes beneath waterfalls, ideal for a picnic and a splash for two. The main attraction along this road are the following: the Kaenae Peninsula, which is a serene patch of green with an overlook of panoramic views; the Kaenae Arboretum, which incorporates authentic representation of Hawaiian rain forest, the 126-acre, tropical Kahanu Botanical Gardens, and of course the charming town of Hana, which is where you’ll find the Hotel Hana-Maui.
3. Lahaina – Situated on the West Maui coast, Lahaina is one historic town. It used to be the capital of Hawaii. Currently, the town is one of the liveliest and most colorful places in Hawaii. The town is filled of restaurants, smoothie bars, souvenir shops, art galleries and even high-end boutiques. There are definitely a lot to see and do here. The main attractions are Whaling Museum, Brig Carthignian, Jodo Mission, the 19^th century waterfront Pioneer Inn and the awesome Banyan Tree, which was planted in the area at around 1873 and now occupies an acre of a land, with a branch spread of 50 years, supported by myriad aerial roots and 12 major trunks!
4. Ka’anapali – Known as Maui’s best beach resort, Ka’anapali offers a white-sand beach and one of the best swimming and snorkeling conditions on the island. And because of this, the island became of the most visited and crowded beach in Maui. The resort also is home to the touristy train, “The Sugarcane”, which runs between Lahaina and Ka’apanali. The place also features one the lovely beaches and sunsets.
5. Iao Needle – Located in the Iao Valley State Park, an abundant greet valley in the West Maui Mountains, Iao Needle is probably the most photographed landmark on the island. The moss-covered stone spire rises 1,200 feet vertically from the valley floor. There are a lot of trails and planks for tourists to work around. Photographers will definitely enjoy this place because of the rich tropical flora and fauna, which are both great subjects of photos. The state park is accessible from the twin principal Maui towns of Kahului and Wailuku
6. Paia – Paia is described as the most colorful coastal town in the East Maui. Former hippie habitat, the town is home to a surprising jumble of eateries and boutiques and the defacto northern terminus of the Road to Hana. The main focus of this island is the Ho’kipa Beach. The Ho’kipa Beach is the premier windsurfing spot in the island. Here you can watch world-class windsurfers as they hone their skills and perform with definitely quality.
7. Makawao – Located 16 miles southeast of Kahului, Makawao is the principal town in Maui’s Upcountry – the Mount Haleakala’s slopes, where in an Old West setting of false-front wood frame-buildings, yoga centers and herbalists are juxtaposed with the ‘paniolo’ or Hawaiian cowboy culture. This offers a unique contrast between two distinctly different worlds. The town is also the home of the biggest rodeo in the Hawaiian Islands. This down
8. Wailea Beach Resort – Located on the southwest coast of Maui, just south of Kihei, Wailea Beach Resort enjoys its manicured white-sand beaches, where they rake the sand and arrange beach chairs in neat little rows. Visitors will be surprise to find that the beach is a public beach. It is one of the best on the island. The place is lined with Maui’s premier resort hotels – Marriott, Renaissance, Four Seasons, Fairmont and Grand and Grand Wailea – which offer the best luaus and hula shows on Maui. The sunsets off the coast of Wailea beach are fantastic.
9. Makena Beach – Located on the southwest coast of Maui, just south of Wailea, lays the sharp contrast of the undeveloped, pristine and less visited. This is a highly enjoyable beach that all visitors should not miss!

10. Molokini – Just off the southwest coast of Maui, you will find a partially submerged, cresent-shaped crater, rising 150 feet from the ocean. This is definitely a must see! Now after having a protected marine preserve and seabird sanctuary, one can conclude that place is the best snorkeling and diving locations in Maui area. There are also that offer charter plane, and snorkeling excursions. The most recent excursion left Molokini recently and went to Ma’alaea and Lahaina. These places harbor this maddening feeling that they have the right to ask people for money; which they don’t.

Posted in Maui