Record Prices, Slowing Sales — The Prothero Group

May 2022 was another record setting month. The median single-family home price hit record high of $1,153,500 while condos hit a record high of $516,500. However, while prices continue to soar, the single-family home market is beginning to cool, with closed sales dropping 15% compared to one year ago. This dip in sales was felt in most regions across the island, with the exception of Mililani and Wahiawa, which saw a 61% increase in sales compared to last year.

It’s still a competitive market out there for buyers with 63% of single-family homes and 46% of condo sales closing above the original asking price. However, increasing interest rates are beginning to have a dampening effect on sales activity which we expect will continue in the coming months. As noted, closed sales for single-family homes are down year over year. Months of supply for single-family homes has also increased by 30% versus last year. Buyers will be relieved to see more inventory on the market but affordability is challenged as the cost of borrowing goes up.

Have questions about buying or selling in a shifting market? Set up some time with us.

Originally published at https://www.theprotherogroup.com on March 11, 2022.