Kailua-Kona Real Estate Market Update for September 2024
The Kailua-Kona real estate market in September 2024 shows promising trends for both home buyers and investors. With a rise in luxury home sales and increased inventory, the market remains competitive. If you’re planning to buy or sell property in Kona, knowing the latest trends is essential. This update covers Kona condo prices, market conditions, and tips for sellers to help you navigate the current market
Single-Family Home Market Overview
As you may have heard, inventory levels increased by 20.4% in September, reflecting a significant change in the market. There were 295 homes listed for sale across Kailua-Kona.
- Average Sales Price (96740 Zip Code): $2.2 million
- This price reflects a 10.55% increase compared to last year. However, it seems unusually high due to more luxury homes being sold in September.
- Median Home Price: $1.485 million
- This is closer to the typical price range, up from the previous median of $1.299 million.
- Average Days on Market: 55 days
- Number of Homes Sold: 26 homes, marking a 6% increase from the previous month.
Takeaway for Single-Family Homes
The data shows continued interest in luxury homes, with properties sitting on the market a bit longer, but demand remains strong. Buyers are still actively looking to purchase properties in Kona.
Condo Market Overview: A Bit More Complex
The condo market is showing some mixed signals right now. Inventory actually decreased by 1.69%, leaving 232 condos for sale in September.
- Average Sales Price for Condos: $613,500
- Up 21.72% from last year.
- Median Condo Price: $544,000
- Average Days on Market: 53 days
- Condos Sold: 24, reflecting a 17.24% decrease from the previous month.
Takeaway for Condos
It seems that people are a bit hesitant to sell their condos, possibly due to uncertainty in the market and controversies involving vacation rental regulations. The small gap between the median and average prices also suggests a steady demand for affordable, mid-tier condos.
Months of Inventory: Still a Seller’s Market
The average months of inventory in Kailua-Kona is currently 4.41 months. Remember, a 6-month supply is typically the marker between a seller’s and buyer’s market.
- List-to-Sold Price Ratio: 97.3%
- Sellers are still closing their deals close to their asking prices, indicating a strong market despite some properties sitting longer on the market.
This data tells us we’re still in a seller’s market, even though the rising inventory is giving buyers more room for negotiation.
Real Estate Trends by Price Per Square Foot
Here’s a breakdown of what you can expect to pay per square foot in Kailua-Kona, depending on the price range:
- $600,000 – $1 million: $437 per sq. ft.
- $1 million – $1.5 million: $683 per sq. ft.
- $1.5 million – $2 million: $752 per sq. ft.
- $2 million – $5 million: $1,009 per sq. ft.
- $5 million – $10 million: $2,414 per sq. ft.
Interest Rates and Buyer Demand
Although I’m not a lender, here are some general observations. Experts predict interest rates could drop to the low 5% range by the end of the year or early next year. This would likely spark an increase in buyer demand, making it even more competitive for buyers.
5 Tips for Sellers in Today’s Market
If you’re a seller worried about your property sitting on the market, here are my top 5 tips to help you:
- Get the Price Right:
- Setting the right price from the start is essential. Buyers might lose interest quickly if the property feels overpriced.
- Offer Buyer Agent Commissions:
- Even with current discussions about commissions, offering a buyer agent commission is still a smart strategy to attract offers.
- Don’t Dismiss Offers:
- If you get an offer, negotiate. It’s better to negotiate terms than to lose a potential buyer.
- Keep the Home Available:
- Make it easy for buyers to schedule showings, especially in the first few weeks when interest is highest.
- Service Your Home:
- Ensure the HVAC, roof, plumbing, and appliances are in good shape to avoid delays or cancellations in escrow.
Final Thoughts: September 2024 Market in Kailua-Kona
The Kailua-Kona market remains strong, but with increased inventory, sellers need to strategize carefully to close deals. For buyers, the slight increase in inventory offers a better chance to negotiate and find the right property.
If you need a free home evaluation with no strings attached, just give me a call. I’ll provide a detailed market analysis within 24 hours. Whether you’re buying or selling, I’m here to help you every step of the way.
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Thinking of buying or selling in Kailua-Kona? Contact me for a free home evaluation or personalized property tour today!