2004-december-Oahu Housing Market Finishes Record-Making Year

January 4, 2005

Today the Honolulu Board of Realtors® released resale figures for the month of December. According to the analysis conducted by the Board, using data collected from its computerized Multiple Listing Service (MLS) system, the statistics are:

Judith Kalbrener, President of the Honolulu Board of Realtors®, said, “We had a resounding finish to this record year in the Oahu housing market, with strong numbers for both property types. During December, resales of 417 single family homes and 701 condominiums were reported through the Board’s Multiple Listing Service computer, increases of 10.0% and 20.2% from December 2003, respectively. This brings the full year sales to 4,702 and 7,888, respectively, for increases of 6.4% and 14.2% over 2003. The median prices paid on Oahu in December were $495,000 and $217,000, respectively, a record price for single family homes, and these prices were 24.1% and 20.6% higher than a year ago. The median sales price for all of 2004 came in at $460,000 and $208,500, and the total dollar sales volume for the year reached $4,763 million, which exceeds last year by more than $1.22 billion, or 34.7%, from the $3,535 million generated in 2003.”

Harvey Shapiro, Research Economist at the Board of Realtors®, said, “The unanticipated strong December housing market fittingly capped a record year, both for median prices and sales volume. The median price paid for a single family home in 2004 advanced by 21.1%, while condominium prices rose 19.1%, both compared to 2003. While we expect residential property appreciation to continue into 2005, the rate of increase will most likely abate.”

Shapiro continued, “These record housing prices continue to be fueled by Hawaii’s expanding economy, the revival of job growth and, of course, continuing favorable financing costs.”

The public is encouraged to visit the Board’s Internet web site to see what’s happening in the housing market. The public has the ability to search through Oahu single-family home and condominium listings, available for sale and for rent, and to see a comprehensive guide of homes that will be open to visit this Sunday. All searches can be done by geographic location, price range or both. HiCentral.com provides useful information about buying and selling real estate in Hawaii.

The Honolulu Board of Realtors® is celebrating its 83rd year of service to Oahu and is one of the largest of 1,500 boards of Realtors® in the nation. It is also the largest trade organization on Oahu. Membership, which numbers approximately 5,000, is available to licensed real estate brokers and agents who agree to adhere to a strict Code of Ethics.

(This report reflects information about resales of existing properties only and does not include new home sales. All of the MLS information is compiled from sales reported during the cited months; this data is known only after closing of escrow. The time delay between the signing of a sales contract and the closing of escrow is usually between two and four months.)