Lee Potts

The best buys announced at caravan today included price reduction and a short sale that is falling out of escrow.

I've mentioned this lot before. It is in a very nice neighborhood of Kahana, just north of Lahaina. It has ocean views and the price has just been reduce to $375,000. And I must say that is dirt cheap.

Also, it was in escrow, now it's out of escrow. Kahana Manor unit 312 is a 1/1 across the street from the ocean. It is a short sale and the bank accepted an offer of $230,000, but the buyer flew the coop. Now the seller is facing foreclosure if a new buyer doesn't come along.

Other hot topics included my haircut and the Maui Wishing Well Program. The Wishing Well Program is sponsored by the Realtors Association or Maui and it raises funds, sponsors projects and coordinates donations of supplies and equipment for our local public schools. If you would like to know more about Wishing Well http://www.mauiboard.com/download_files/NewWishlist.pdf. If you want to know more about my haircut, give me a couple of weeks.

For more information email lee@alohapotts.com or visit www.alohapotts.com .

Mahalo

This week's west Maui caravan took from luxury in Kapalua to short sales in Kahana.

The short sale is at Kahana Manor. It is a 1/1, 3^rd floor unit with ocean views. Surprisingly the unit is in very good condition and has some nice upgrades like newer solid wood cabinets and new appliances. The asking price is $291,000.

In Lahaina, there is another "distress" sale at the Spinnaker. This is a 700 square foot 2/1 downtown. They are asking $349K. The last unit to sell here was a highly, in fact overly upgraded, unit that went for $470K. The distress sale is owned by Marriott due to a corporate relocation and the word is they just want to get rid of it.

Maui Real Estate Advisor

Presented by Aloha Potts

Issue 26, April 2008

Market Overview March

Maui Real Estate

The picture of stability in paradise

If you look at the numbers above, your first thought might be that there is a lot of downward movement in the market. But outside of land, there are a lot of single digit changes which really means little change.

The housing numbers are deceiving, because of sales in a new development in central Maui that has mixed affordable and market priced homes.

Wailea continues its strong year on sales of new high end properties in the $1.8 to $2.8 million range.

Sales of vacant land were dirt slow and fractionals are still finding their footing.

Condo sales seem very stable month in, month out

Can the trend hold after Maui's ‘busy season'?

Condo sales remained stable in March with 92 units sold. March sales reflect condos that went under contract in January and February, and then closed in March. If the trend holds we should see stable or slightly higher sales in April. In past years, we've seen a bit of an uptick in April followed by a slight decline in May and June.

At $538,500 the median price was off 12% from January. Before you leap to the conclusion that prices are headed south, note that the median price is up 15% over March of 2007.

March was the low point in terms of median price for 2007 at $469,500. After that, prices rode a continuous upward trend, finishing the year at $626,000, a 33% increase in the final 9 months of the year.

Area Sales

Wailea and Kihei continue to be the story on Maui. These neighboring communities accounted for well over half the sales on the island.

Nineteen of Wailea's 25 sales came from the new developments of Kai Malu and Hoolei. At Kai Malu the median price was $1,881,830. At Hoolei it was $2,895,000.

In Kihei, the number of sales and the median price were off compared to the prior month. Sales were off compared to last year, but the prices are up considerably.

In West Maui there were 26 sales. Ten of the sales were in Kapalua and Kaanapali, where the median price was $1,275,000.

Lahaina had 6 sales, three of which were leasehold properties.

High and Lows

In February, the lowest priced unit to sell was a Harbor Lights that went for $130,000. This month a 2 bedroom, 1½ bath Harbor Lights sold for $100,000. Another similar unit sold there for $130,000.

The highest priced unit to sell last month was a 3 bedroom, 3½ bath Hoolei in Wailea $3,525,000.

Potts' Picks - Best Buys

This months' best residential condo buy is one of the best we've seen in a while. It is a bank owned property at the Villas at Kenolio. This 3 bedroom, 2 bath listed at $380,000 was built in 2003. The grounds are very nice, there is a large lap pool on the property, a workout room and it is just a short walk to the beach. See this on our website at MLS #329107.

Our favorite buy for a condo that allows vacation rental is a studio at Royal Kahana. RK is a high rise on the beach. The views are what you would expect from an oceanfront unit. The price has just been lowered to $379,000. Does anyone smell some motivation? Get details on MLS #328755 at www.AlohaPotts.com.

Our luxury pick this month is a brand new, yet to be completed 3 bedroom, 3 bath oceanfront, ocean view unit at Honua Kai. If this property lives up to its promise, $3,675,000 will have been a bargain for this property. You can see the full listing on our website, MLS #330389.

Investor's special - a 6 unit boutique hotel. The seller claims it is completely turn key. It is located in N. Kihei, across the street from the ocean. At $3.9M for this property, it could be interesting. It is # 330823 in our MLS.

For more information on these or any other listings send an email with your request to lee@alohapotts.com or, see all of the listings on Maui at http://www.alohapotts.com/.

Homes sales surge

March sales aided by new development

Homes sales have shown gains every month this year. March's sales were buoyed by sales at a new development, Waikapu Gardens.

Since some percentage of those homes were "affordable" with selling prices as low as $225,000, the median price was artificially lowered. The median was $620,000. However, if we remove the sales from Waikapu Gardens the median is a higher $665,000.

However, even at $620,000, the median price is within 1% of last month and March of 2007. It is typical of other Maui real estate; prices are stable and sales are flat.

Area Sales

We've already commented that Waikapu Gardens, in the central area accounted for a large percentage of this month's sales. All in all the central area had 40 sales.

The only other area in double digits was Kihei, which had only 14 sales. That is off from 22 this time last year. The median price was also down significantly. This month it was $545,000, last month $646,350 and last March $749,000.

Highs and Lows

Outside of the previously mentioned Waikapu development, the lowest selling price on Maui was in Haiku. This 3 bedroom, 1 bath, 960 square foot home sold for $409,000.

Kapalua had the month's highest priced home to sell. On Plantation Club Drive, a 4 bedroom, 5 bath home sold for $5,250,000.

Potts' Picks

We have a motivated seller in Pukalani. This 2,476 square foot, 3 bedroom, 2 bath home with a studio ohana was remodeled in 2006. It is on the 9^th tee of the Pukalani Golf course. It has only been on the market for 40 days and already the price has been lowered from $850,000 to $680,000. Get details at MLS #330230.

We think we've found a bargain on an oceanfront home this month. Technically, it's not a home, it's a residential condo, you decide. It is a 4 bedroom, 4 bath, 2,135 square foot luxury abode on the north shore. The listing info says you can surf out the front door. The original price was $2,995,000, but after 700 days on the market, the asking price is down to $1,699,000. It's MLS #318415.

For more information on these or any other listings send an email with your request to lee@alohapotts.com, or see all of the listings on Maui at http://www.alohapotts.com/.

Land sales come back to earth

Without support from Ukumehame, land sales fall flat

There is not much to say about land sales this month except, there weren't many. There were only 9 sales this month compared to last month's 24 and last year's 17.

Highs and Lows

The lowest selling price for a lot was a residential lot on Molokai that went for $120,000. There still seem to be some deals on Molokai lots with nice ocean views.

The most expensive lot to sell this month was a residential lot in the new Lanikeha development on the Kaanapali Hillside. It is 6 tenths of an acre and sold for $915,000, cash.

For more information on vacant land, see all of the listings on Maui at http://www.alohapotts.com/ or send an email with your request to lee@alohapotts.com.

Fractionals finding footing?

Fractionals still looking for their niche in paradise

Fractionals are still getting their footing in Hawaii in general and on Maui in particular.

Last month only 1 fractional sold, but it shows what fractional ownership can be. This fractional is a 4 bedroom, 4 ½ bath home in Kapalua. All four bedrooms of this 4,012 square foot home are master suites. It has ocean views and the 1/6^th ownership sold for $795,000.

Featured Fractional

Our featured unit this month is at the Kaanapali Alii on Kaanapali Beach. This is a 50% interest in one of the most exclusive buildings on Maui. It does not have an ocean view, but at $995,000 on Kaanapali Beach for 6 months, it's hard to beat.

To learn more about fractionals and see our featured fractional visit http://www.mauifractional.tv/. For more informa-tion, email us atlee@alohapotts.com.

Get more information and details

To get more information on property and trends, you can search the entire MLS at http://www.alohapotts.com/. If you can't find what you're looking for there, send us an email at lee@alohapotts.com, and we'll do our best to get an answer for you. As we get more requests for information, we'll add new sections to the website, newsletter or both.

This will be your Wednesday Caravan best buy review. Wednesday is caravan day for west Maui including Lahaina, Kaanpali, Kapalua, Napili, Honokowai and Kahana.

Today's best buys included:

Paki Maui, unit 222. This is direct ocean front, over 1,000 square feet and just finished a complete remodel. Paki Maui is in Honokowai. It is managed by resort Quest and generates good rental income. At $1,175,000 this is one of the better buys for a 2/2 ocean front.

Royal Kahana is also a nicely remodeled oceanfront 1/1 in Kahana. The sunsets from this unit will be spectacular. The complex is managed by Outrigger and generates good rental income. The asking price is $675,000, but the comps indicate some flexibility in the pricing is needed to make this a best buy.

For a best buy in the upper end, I liked 334 Cook Pine Drive in Kapalua. This 3 bedroom, 5 bath home was just finished. In the afternoon, as you look over the Infinity pool, the ocean views from this one are truly breathtaking. You have access to the golf courses, the restaurants and the beaches. The home is fully funised with $200,000 worth of new furniture according to the listing agent. The house can sleep 12. The listing agent is a massage therapist and promises to through in a massage for the buyer. It is Listed for $4,199,000.

To get more information about these listings and other Maui real estate information, visit http://www.alohapotts.com/