Monique Ting, RA e-pro

Released: Tuesday, November 3, 2009 HONOLULU - Sales of single-family homes were up in October according to resale figures released today by the Honolulu Board of REALTORS®. According to the analysis conducted by the Board, using data collected from its computerized Multiple Listing Service (MLS) system, the statistics are: October 2009 Residential Resales Statistics for Oahu During October, sales of 281 single-family homes and 381 condominiums were reported through the Board's MLS, increases of 15.6 and 20.5 percent, respectively, compared to the same month last year. This brings total single-family home sales on Oahu to $1.447 billion for the first ten months of 2009, a decrease of 23.9 percent over the same time period one year ago. Total condominium sales through September were $940.43 million, a 30.4 percent decrease from last year. The median prices paid for island properties in the first ten months of 2009 were $575,000 for single-family homes and $300,000 for condominiums, decreases respectively of 8.0 percent and 7.7 percent from the same time period in 2008. The year-to-date total dollar sales volume generated in the housing market through October was $2.388 billion, a decrease of 26.6 percent, or $867 million, compared to the $3.255 billion produced one year ago. "The current rate of sales for both single-family homes and condominiums were both slightly up in October, which is truly encouraging in light of the overall economy," said Sandra "Sam" Bangerter, president of the Honolulu Board of REALTORS®. "The median prices for single-family homes were up a bit and down for condominiums, but still within relatively stable price ranges. The first-time homebuyer federal tax credit has been helpful in raising buyer awareness." Statistics are courtesy of the Honolulu Board of REALTORS®. Below is a graph showing the Zillow market trend since 2005!

In Hawaii, things are always a little different than the rest of the country! However, like everywhere else no one can ever predicts correctly when the market will change and by how much. The only certainty is that it will change. Over the last few years there were many unexpected factors which created massive change in our real estate market. In 2007, the mortgage crisis jumped up and bit us with the elimination of loan products and tightening of guidelines because of the fall of the sub-prime market. In 2008, Lehman Brothers folded and the stock market plummeted. In 2009, the economic stimulus package caused buyers to get off the fence and purchase property. What will happen in 2010? Here are a few events which may occur and will have an enormous effect on our market.

1). Extension of the Buyer Tax Credit - There is current legislation in Washington which would extend the Buyer's tax credit past the December 1, 2009 deadline. If it passes, we will continue to see first-time buyers take advantage of an $8,000 credit which they can put in their pockets spurring on the home sale market.

2). Interest Rates May Rise - The Federal Reserve has hinted that they are going to ease pressure on rates allowing them to increase as early as December of this year. Higher interest rates will reduce the number of qualified buyers and reduce their buying power. They may not be able to purchase the home they are looking for.

3). The Affluent Return to the Market - The fall of the stock market late last year obliterated the Luxury Home Sale Market because buyers were unwilling to take their losses in securities and move them into real estate. As the stock market recovers, losses will be minimized and the wealthy may be willing to purchase second homes or move money out of securities to invest in real estate and ride the appreciation wave of the next growth cycle.

4). International Markets and the Strength of their Currency - This new "World Economy" experienced a "World Recession." However, Asian countries like Japan have bounced back and their consumer confidence is rising. They may be ready to jump back into the Hawaii Real Estate Market. Especially, since the yen continues to strengthen and the dollar continues to weaken. Canadian and Australian buyers are also pleased with the strength of their dollar and are beginning to reap the rewards. If this continues and the dollar weakens further, they could begin buying and affect the demand in the Hawaii Real Estate Market.

5). ARM Adjustments, Foreclosures and Short Sales - Even though the Mortgage Crisis began more than 2 years ago, it still plays a big part in the real estate industry. Foreclosures in the State of Hawaii continue to rise to record levels with up to 990 notices of foreclosure every month. As these foreclosures or pre-foreclosures hit the resale market they drive prices down in a neighborhood. However, low prices will also spur on demand for buyers looking for a deal. Many prognosticators believe that the next round of ARM (Adjustable Rate Mortgage) resets coming up in the next few years will push even more owners into foreclosure. If rates rise and their mortgage adjusts, they could be paying hundreds or even thousands of dollars more each month just to keep their home.

No one knows which will come to fruition and have the largest affect on our real estate market. However, we know something will happen and change will occur.

More & more people are embracing living green. It's a responsible, forward-thinking outlook that declares, "There's no place like home - so save it." The key to living green is sustainability: living comfortably while minimizing your home's carbon footprint, lowering energy, and minimizing consumption and fuel needs. By giving consideration to green practices, everybody can play a part as a responsible citizen of the planet, aligning oneself with this ever-growing eco-friendly demographic. If you haven't already, get ready to go green.

MINIMIZE your paper usage. Through the use of email and the Internet the work has almost been done for you but you can take it a step further. Ensure that you use electronic transaction management systems for payments. Think twice before printing off every email and or invoice, request. If you have a copy electronically don't waste paper by duplicating. No one needs a paper trail following them (literally).

RECYCLING is essential to any home. Don't throw in the trash what can be recycled such as glass, plastic bottles & cans, newspapers etc....

COMPOST bins should be part of every homeowner's landscape, except for those who live in appartments. If your area doesn't pick up composting then visit your local hardware store for a compost bin, it'll cut your waste down significantly.

BEEF UP INSULATION, which can help cut your heating and cooling energy costs and consumption.

CHANGE your incandescent light bulbs to compact fluorescent light bulbs will cut your energy costs drastically.

REDUCE water consumption may not be as hard as you thought; gray water systems reuse rainwater by circulating it into the sewage system.

UPDATE YOUR APPLIANCES. The newer ones are now going green as well: dishwasher, ovens, stoves, refrigerators, freezers are now becoming energy efficient. By replacing your appliances with energy efficient ones you are making a great investment for the environment.

LOW FLUSH toilets are the new rage, wasting less water in volume per flush.

USE NATURAL LIGHTING. Thinking about renovating? Nature's answer to interior lighting is the skylight: they help to illuminate rooms so you can keep those lights off.

CHOOSE sustainably produced materials: bamboo & cork floorings, non-toxic paint, non-bleached fabrics... surround yourself with products that leave a small carbon footprint.

Most importantly, going green is the way of the future. And it's here to stay. Green homes are not only less expensive to maintain, they also guarantee that there will be resources for generations to come.

Welcome to my Blog about Hawaii & particularly Waikiki!

I am fairly new to Blogging & hope to get some help and advice from the seasonned bloggers out there...

On Friday, as some of my felow agents & I were at a Sunset Brokers's open, we were sundently left in the dark when a major blackout engulfed most of the Island of Oahu.

It was bad enough having to drive home in darkened streets & having to climb to my 23th floor appartment in high heels & carrying a heavy bag & laptop (my building doesn't have the elevators hooked up to a back up generator) to find out we don't have water as well as no electricity, the main aggravation came from being cut off from the world: no TV, no Internet, cell phone working only until the battery run out of power... With nothing to do by candlelight, we went to bed early!

This incident reminded me how dependent we have become to electricity... and of the importance to find reliable alternative sources of energy to power up all the equipments that we need for our day to day activities...

The power came back to my building after 16 or so hours, but don't feel too bad for me, I live right accross from the Hilton Hawaiian Village, so my husband & I spend saturday morning at the beach while we were waiting for the power to come back!