Maui remains a Sellers’ market! Many properties continue to sell over the asking price with very short “days on the market.” The ability to work remotely, generated mainly by the Covid19 pandemic, remains strong even more than a year after its tumultuous arrival.
Office buildings and commercial properties may need to think about repositioning as the workplace continues to adapt to a “new norm.” For the most part, the majority of Maui island has the technological capabilities to allow those who can work from home to do so. Why not work from paradise? Combine that thought with the overall shift of the acceptance of technology. You realize the new mindset has shifted the behaviors in our day-to-day life in everything from grocery delivery to purchasing a home without ever seeing it in person.
In all its beauty and awe, Maui has historically been able to stay above some of the historical challenges felt by many other states. Even now, the desire to purchase on Maui remains higher than the inventory available. A combination that likely will be around for much of the foreseeable future.
According to the Maui Realtors Board, the White House recently announced additional measures to help struggling homeowners avoid foreclosure as they exit forbearance, including loan modifications and payment reductions. Borrowers with federally backed mortgages can lock in lower interest rates and extend the length of their mortgages. For borrowers who can’t resume their monthly mortgage, HUD will offer lenders the ability to provide all eligible borrowers with a 25% principle and interest reduction.
In August 2021, Maui County saw an increase of 40.2% in Closed Sales. Increased demand for housing, along with an improved economy are partly to blame for a 9.9% increase in the Median Sales Price. And to really paint the reality scene, there was a -65% change in the number of homes for sale! The “slow down” being felt by Realtors and affiliated businesses on Maui is certainly not connected to a decrease in demand – but more so, a drastic reduction in available inventory.
