Inventory at All-Time Lows, Prices Rise to Meet Demand

If you are interested in the Oahu real estate market, here’s a snapshot of Oahu’s third quarter performance. The numbers tell the story and the story portrays a robust Seller’s market. Will the fourth quarter continue to see an increase in prices? You’ll have to stay tuned for our fourth quarter report, but for now, we’re still experiencing good activity and strong buyer interest. With pent up demand and low interest rates, the fourth quarter might be more of the same. Time will tell, but if you are considering selling, there is no time like the present. If you are a buyer, perseverance is the name of the game. You may have to sharpen your pencil and compromise on some of your search parameters, but buying a home is still possible, especially at today’s historically low rates. One thing is for certain — what we are experiencing is unprecedented.

Oahu Market Statistics Overview

Inventory

There are currently 490 active residential listings on Oahu, a decrease of -23.3% comparing Q3 2021 to Q3 2020. Number of homes available for sale have dramatically decreased when comparing Q3 2021 to Q3 2020. 

There were 1,275 sales on Oahu in Q3 2021, an increase of +9.1% over 1,169 sales in Q3 2020.

Homes under contract are currently 1,291, an increase of +11.5% over the same period last year, in which 1,158  homes were under contract.

On Oahu, the rate of inventory decline is increasing.

Average Sales Price

For the third quarter of 2021, the average sales price of single family homes on Oahu was $1.267M, an increase of +23.4% over the average sales price of $1.07M during Q3 2020.

Prices are rising quickly as inventory continues its dramatic downward trend. 

Average Price Per Square Foot

Since Median Sold Price and Average Sold Price can be impacted by the mix of high or low end properties in the market, the Average Sold Price per Square Footage is a more normalized indicator on the direction of property values.

For Oahu, the average price per square foot has shown a steady increase over the last 12 months, with the year over year increase growing to $665.31/foot at the end of September 2021, an increase of +18.7% comparing Q3 2021 to Q3 2020.