The initial effects of the coronavirus pandemic have passed, and Oahu market activity has returned to last year’s levels or better, as strong demand for housing and lack of supply for sale continues. With just 590 single-family homes for sale, inventory is at the lowest point in the 40 years that Locations has been tracking the Oahu real estate market. Record-low single-family home inventory, coupled with near historically low interest rates, pushed median home prices and competition to new highs in September, with four in 10 homes selling for above the asking price.

Today, the developer of the new Ililani condominium tower in Kaka’ako released an additional 32 new affordable units to be offered for sale to the public. Located at 615 Keawe Street, Ililani is the newest addition to the Kaka’ako neighborhood! The lililani condominium project will feature a mix of market and affordable housing units, right in the heart of Honolulu!

Oahu single-family home and condo sales have rebounded after dipping in the spring, as mostly local homebuyers are taking advantage of low interest rates to move to larger or more comfortable homes. A rise in remote work has also allowed some workers to consider neighborhoods outside the urban core that they may have previously excluded due to commute times. Already extremely competitive West and Central Oahu markets, like Ewa, Mililani and Pearl City, are becoming even more competitive as homebuyers look for larger floorplans and outdoor space. Sellers in these markets are at an advantage. With interest rates at all-time lows again—less than three percent for a 30-year fixed mortgage—homebuyers have increased purchasing power heading into the fall.

July 2020 Oahu Real Estate Report: Where has the Single-Family Home Inventory Gone? The effects of the coronavirus pandemic are passing through the real estate market and most measures of market activity are returning to typical levels, a tribute to the continual strong demand for housing on Oahu. July home sales are down compared to July last year; however, both are up by double-digits in the past two months. Homes and condos that closed in July saw another jump in selling prices bid-up over asking prices, signs of continued demand and a competitive market. However, Single-family home ‘Inventory for Sale’ is an exception. Active listings for homes have been lowering for almost a year now; active listings for condos dropped below last year’s level in July and are trending down.