As pending home sales have dropped lower than the 2008 housing crash, it is an excellent time to revisit what happened in 2008, as it seems we are going there again.
In June 2007, the median Single Family Home price on Oahu was $685,000. It went down and did not recover to $685,000 until December 2013, so it took about 6.5 years to fully recover.
Some Realtors say it is Hawaii, and home prices will always increase. That is true if you wait long enough. If you bought at the median price in August 1990, you had to wait until August 2003 for the price to go up, so 13 years.
So what do I recommend?
If you live in your home and don’t have to sell, you don’t need to do anything. Just keep enjoying your home.
If you have to sell now, please don’t worry. You are selling for less but can also buy for less in your new location.
If you are currently renting, you might want to start following the Real Estate market as the prices are dropping and decide when the right time for you is to buy.
If possible, I do not recommend renting long-term. Prices will go up again, and having a home during the up times is a great way to accumulate equity.