Stats
Pending Home Sales Have Their Largest Drop Ever.
Even larger than during the COVID lockdown. Much larger than during the 2008 housing crash.
Price Increases Since COVID
It is amazing the price increase since COVID vs. a more normal price increase in the period before COVID. Even if prices drop 20%, the price appreciation is still way over normal.
Single Family Sales Are Down 41.7% Compared to October Last Year.
More Information
Is a Real Estate crash coming?
Investors seem to think so based on the 1-year stock declines for the biggest Real Estate public companies.
Will Oahu Home Values Go Down?
Many feel Oahu is so desirable that the median price of homes will not decrease. While I agree it is a great place to live, we have periods of falling prices. As shown in this chart, we have had some drops, one over a 10-year period. The question is whether the current mortgage rate increases … Read more
September Sales Dropped 34.4% From Last Year
Sales are definitely cooling. 34.4% less than last September, and the average days on market has doubled for Single Family. Surprisingly, the median price is still up, but if the sales continue this slow down at some point, I expect the median price to drop too.
Moody’s Expects up to a 20% Decline in Home Prices if We Have a Recession.
For comparison, in the 2008 crash, prices declined 27%. According to Moody’s, Oahu is up to 25% overvalued as mortgage rates go above 7%. Every day sellers ask me if now is the time to sell or should they wait. I say sell now because the market could be a lot lower going forward.