Market at A Glance

HIGH DEMAND NEIGHBORHOODS

In high demand neighborhoods where the months of remaining inventory is under 5 months, Seller's have a decided advantage over Buyers in getting their price. Months Remaining Inventory defines how long it would take to sell all of the homes in the market given the current rate of sales and number of properties for sale.

The strategy for purchasing a home in these types of neighborhoods is more focused on the financial strength of the Buyer and being able to act QUICKLY when a property that fits their price range and needs comes on the market. Their Realtor needs to keep them abreast of current inventory and have them ready to make their strongest offer QUICKLY, to compete with other Buyers!

Strong offers are those that are all CASH or with LARGE DOWN PAYMENTS and quick closing times. Between 30 days for cash and 45 days for conventional financing are good time parameters.

Having a PREAPPROVAL letter or VERIFICATION of FUNDS statement ready and included with your offer is also important to set your offer apart from others.

Cover letters introducing you to the Seller and offering a personal perspective about your family and of why you like the home and neighborhood, etc, can also have a positive effect in setting your offer apart from other Buyers.

Finally, your Realtor should find out as much information about the Seller and their motivation for selling as well as any other info that can be useful in negotiating a Satisfactory offer and WIN WIN situation for both parties.

If you plan to compete for a home in these High Demand Neighborhoods, it's important to keep your FICO score up and not make any late payments or take on any major purchases during this time period. Any previous delinquencies or issues should be resolved expeditiously to insure the strongest possible credit rating..

Some High Demand Neighborhoods in August were as follows:

Single Family Homes:*

North Shore 3.2 months
Windward Coast 3.4
Makaha-Nanakuli 3.4
Aina Haina-Kuliouou 4.3
Moanalua-Kalihi 4.7
Pearl City-Aiea 4.9

Condos:

Windward Coast 2.5 months*
North Shore 2.8
Waipahu 3.1
Kaneohe 3.7
Makiki-Moiliili 3.7
Ewa Plain 4.2
Moanalua-Salt Lake 4.3
Kapahulu-Kuliouou 4.7

Identifying these Best Buys in High Demand Neighborhoods and negotiating a strong offer for acceptance from a Seller requires the assistance of a knowledgable and diligent Realtor.

You can contact me,

Dwight Ellis, "Your Hawaiian Real Estate Connection"

at 808 351-1507.

*Stats provided by Kalama Kim, AOM Waikiki Office, Coldwell Banker Pacific Properties.