Hawaii real estate by Bonnebaker

The number of Hawaii foreclosures fell last month. There were a total of 706 properties that had foreclosure filings against them, which was down from 816 in May according to California based RealtyTrac. The number of foreclosures is still elevated from the previous year and still puts Hawaii in the top 20 states with the highest foreclosure rates. Hawaii’s foreclosure rate is one filing per 718 homes is far and away much better than Nevada’s one in 59 homes. Nevada current has the nation’s worst foreclosure rate.

Honolulu county, which includes all of Oahu had the lowest foreclosure rate in the state with one foreclosure per 1,131 properties.

“In spite of the industry-wide moratorium earlier this year, along with local, state and national legislative action and increased levels of loan modification activity, foreclosure activity continues to increase to record levels,” James Saccacio, RealtyTrac chief executive officer, said in a press statement.  “Unemployment-related foreclosures account for much of this increased activity, and the high number of borrowers who find themselves owing more on their mortgages than their homes … represent a potentially significant future risk.”

This drop in foreclosure numbers may possibly be signally a bottoming in the number of foreclosures for Hawaii.

The Honolulu Board of REALTORS® released Hawaii real estate resale figures today for the month of April. According to the analysis conducted by the Board, using data collected from its computerized Multiple Listing Service (MLS) system, the statistics are:

During April, sales of 189 single-family homes and 257 condominiums were reported through the Hawaii’s Board’s MLS, decreases of 26.2 percent for single-family homes and 33.1 percent for condominiums, compared to the same month last year. This brings total single-family home sales on Oahu to 628 for the first four months of 2009, a decrease of 32.4 percent over the same time period one year ago. Total condominium sales through April were 824, a 42 percent decrease from last year. The median prices paid for Hawaiian island properties in the first four months of 2009 were $575,000 and $305,000, respectively, decreases of 8.0 percent for single-family homes and 7.3 percent for condominiums from the same time period in 2008. The total dollar sales volume generated in the housing market for the first four months of this year was $708.3 million, a decrease of 46 percent, or $602.5 million, compared to the $1.31 billion produced one year ago.

“The slow sales in the Oahu residential housing market are indicative of the weak economic conditions in Hawaii and worldwide,” said Sandra “Sam” Bangerter, President of the Honolulu Board of REALTORS®. “However, for those potential homeowners who can secure the right financing they’ll find properties with good value.”

“The relatively low inventory of available properties for sale on Oahu is what’s keeping our prices more stable than in other parts of the country,” added Harvey Shapiro, Research Economist at the Honolulu Board of REALTORS®. “Financing remains a problem for would-be buyers, but we’re hopeful that the government intervention will begin working and the tight credit markets will start easing soon.”

The public is encouraged to visit the Board’s Internet web site at www.HiCentral.com 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.

Established in 1922, the Honolulu Board of REALTORS® is one of the largest of 1,600 boards of REALTORS® in the nation and, with over 5,500 members, the largest trade organization on Oahu. Membership is available to licensed real estate brokers, agents, property managers, appraisers, counselors and others engaged in all aspects of the real estate industry pledged to adhere to a strict Code of Ethics and Standards of Practice. For more information, call (808) 732-3000 or visit www.HiCentral.com.

(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 one and three months.)

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