First Quarter (Jan-March) 2009 Statistics

By Coreen S. Sarabia, R, ABR, CIPS, CRS, GRI, SRES

 So, what is moving?

There was a total of 43 sales in the first quarter of the year. Of these sales, 5 were under $300,000, 12 were under $400,000 , 7 were under $500,000 and 19 were over $500,000. The homes which sold for under $500,000 were scattered throughout the island, however, on the north shore all the houses that sold during this period were over $500,000.

Of the 29 condominiums that sold during the first 3 months of 2009, 31% sold for under $200,000. Additionally, there were 3 in this category that sold for under $100,000 at the Kauai Beach Resort. Condo sales between $200,000 to $300,000 and over $500,000 each captured approximately 24% of the market share.

Over eighty percent of the vacant land sales were in the $100,000 to $300,000 price range. Land sales are definitely the weakest segment of the market posting the largest decreases in dollar volume, number of parcels sold and median price. Financing is available but considerably difficult to obtain and construction loan which have always been a challenge are even more so now. My prediction is that the agricultural CPR lots that are subject to building time constraints will continue to be the weakest link in the vacant land marketplace and as the year progresses this type of property will be a scoop for buyers with cash.

As we enter the 2nd quarter, buyer activity seems to have increased, particularly during the spring break surge. As of April 6th, there were 50 homes under contract and 29 went into escrow in March and the first week of April. In the condo market, 73% of the units currently in escrow were opened in this same period. However, land contracts lag in this department as well as the majority are developer sales that are not ready to close and have been in escrow for quite awhile. The only exception is the south shore of the island where there were 75% properties that are under contract, did so in March and early April.

 

The first three months of the year saw the start of a new administration and the passing of stimulus plans which everyone is hoping will be successful. The first quarter real estate sales statistics on Kauai are all double digit decreases ranging from the low of - 36% in the median price for a house on Kauai to a high of -92% for dollar volume in the vacant land category.

The following chart provides the statistics on number of units sold, dollar volume and median price for homes, land and condominiums on Kauai during the first quarter of the year from January 1st to March 31st.

 

1st Quarter 2009

1st Quarter 2008

% change

Dollar Volume

 

 

 

Residential

$42,264,469 

$69,527,300 

-39%

Condominium

$11,002,155

$43,490,450

-75%

Land

$2,903,000

$37,084,650

-92%

 

 

 

 

Units Sold

 

 

 

Residential

43

78

-45%

Condominium

29

56

-48%

Land

12

30

-60%

 

 

 

 

Median Price

 

 

 

Residential

 $430,000

$668,750

-36%

Condominium

$254,000

$612,500

-59%

Land

 $217,500

$807,775

-74%