Hawaii Big Island Style

Aloha, May

Graduation | Miami | Branded-Residences

With summer just around the corner in beautiful Kona, we're gearing up for a season filled with natural delights. From the luscious mangos, papayas, bananas, and lychees that satisfy our taste buds to the exquisite colors and enticing scent of plumeria flowers and Hibiscus, our senses are in for a treat.
Busy Hawaii winter season kept us on our toes, and as a result, the inventory has significantly tightened over the past four months. I have the most up-to-date data and analysis on the Kona and Big Island resort markets, along with insights into national trends.

In Hawaii, graduation calls for one thing: LEIS. We're talking about beautiful flower leis, candy leis, leis made from dollar bills, yarn leis, even rum bottle leis, and the list goes on. When it comes to leis, Hawaiians sure know how to get creative!
Moments like these remind us to pause and celebrate. Congratulations to all the graduates and their proud parents!

This month, I revisited Miami to attend the REALM GLOBAL COLLECTIVE event, where I had the pleasure of mingling with over 200 exceptional agents representing 28 states and four countries. One of key note speakers was Chris Voss, a former head FBI negotiator. His “no-oriented questions” approach to negotiations was eye opening.  Chris Voss.
If you're in need of a reliable agent outside of Hawaii, please don't hesitate to reach out to me for recommendations!

 The Islander Sake Brewery at Mauna Kea Resort is now officially open for sake tasting. Don't miss the opportunity to try the delightful Lilikoi(passion fruit) and Pineapple Sake, known for their refreshing flavors. Additionally, the brewery offers high-quality Ginjo and Daiginjo sakes for a truly elevated experience.  Stay tuned for the upcoming Lychee Sake, as the brewery continues to expand its offerings.

 I hope you enjoy the rest of the newsletter. This month's video features Miami, Graduation and Kona Sunset.    

-Kai

KAI's Market Update

May 2023

National Trend
In April, there were about 991,165 total listings in the US, up 6.2% from April 2022 and the first year-over-year increase for the month since 2019.....still well below the 2017 housing inventory levels: down 38.6% from 1,616,528 in April 6 years ago. 

Home prices fell in more parts of the U.S. than they have in over a decade during the first quarter, when nearly a third of metro areas posted annual price declines. But we have to look at this in a context. The price adjustment was inevitable after crazy appreciation in some parts of the country. The median prices for both homes and condos went up in Kona in May.

Now that COVID is behind us, the biggest cities are now more sought-after than ever before: Manhattan and even crime-challenged downtown Chicago have exceeded their pre-pandemic populations. London now probably has more than 9 million inhabitants, its highest number ever. Greater Paris has a record 12.4 million. 

The consumer price index rose 4.9% in April 2023, the smallest increase in two years (U.S. Bureau of Labor Statistics). Inflation readings have weakened for 10 consecutive months, from its peak in June 2022. 

In the event of a default without an agreement to raise the US debt ceiling, mortgage rates could rise as high as 8.4% triggered by a spike in the 10-year treasury. Hopefully our lawmakers do their job. 

Hawaii State Stats

          Homes | Condo

Oahu : $1,010,000 | $500,000
Maui:   $1,145,000 | $815.000
Kauai:  $1,037,000 | $670,000
Kona:   $1,137,500 |  $567,500

KONA MARKET

KONA Single Family Home Market

The Kona single-family market continues to see an upward trend, with the median price reaching a record high of $1,137,500, a 3.9% increase compared to the previous year. The number of closed sales has decreased by approximately 39% compared to last year.
 Kona experienced an active winter peak season, with pending sales up by almost 40%. Inventory has decreased by 30% since the beginning of 2023. 
The monthly supply which was close to 4 months at the beginning of 2023 is now down to 2.8 months. The neutral market is said to have 6 months worth of inventory.

Mid Month Trend

The supplies continues to decrease while the demand continues to rise. There has been a notable increase of 12% in pending sales over the past two weeks.

KONA Condo Market

Similar to the single-family market, the Kona condo market also saw an increase in median price. The number of properties on the market has decreased by 17% year-to-date, while the number of pending sales has increased by 13% year-to-date. 
The winter season was very active for the condo market.  The monthly supply has decreased to 1.3 months. 
We need to keep close eye on how well we do this summer.

Mid Month Trend

Just as Single Family Home market, the condo inventory got  tighter this month. 

Big Island Resorts

There has been a significant surge in the number of pending sales for Big Island resort condos, with a notable increase of 39%. Conversely, the supply of active listings has experienced a significant decrease this month, dropping by 41%. It is worth noting that the resort property market tends to be most active during the winter season. However, it is crucial to closely monitor the market during the upcoming summer period.

Real Estate in the News

Branded Residences - New Form of Luxury Life Style

Branded residences have become incredibly popular in the ultra-luxury real estate market. I recently had the opportunity to visit the Bentley Tower in Miami, alongside other prestigious developments like the Armani Tower and the Porsche Tower. Despite construction not yet starting, an impressive 40% of the Bentley Tower units have already been sold, with prices ranging from $5.5 million to $30 million. Branded residences offer exceptional value and are meticulously crafted to cater to a luxurious lifestyle.

Leading global residence brands are, from top,  Ritz Carlton Residences, Four Seasons Residences, YOO Residences, Trump, St. Regis, W, Fairmont, YOO Studios, Mandarin Oriental, Rosewood, Westin, Six Senses, Waldorf Astoria, Address, Aman, Banyan Tree, Peninsula, and Hilton.

When it comes to cities with the highest number of branded residences worldwide, from top,  Dubai, Miami, New York, London, Bangkok, Istanbul, Boston, Phuket, Sao Paolo, Bodrum, Los Cabos, Fort Lauderdale, Manila, Toronto, Mumbai, Kuala Lumpur, and Jakarta top the list.

What's interesting is that we are now witnessing the success of non-residential luxury lifestyle brands like Armani and Bentley in this market.

Excitingly, Miami is also seeing the emergence of the Aston Martin Tower and the Baccarat Tower, further showcasing the growing trend of non-residential, lifestyle-brand residences on a global scale.
Even renowned establishments like Nobu, the famous Japanese restaurant, have successfully ventured into the ultra-luxury residence market, garnering significant popularity. The construction of Bvlgari Residence in Dubai is currently underway, which undoubtedly presents a distinct image compared to an "Amazon Residence."

The world of branded residences continues to expand, offering exceptional and opulent living experiences in highly desirable locations. I also had pleasure of learning first hand about Waldorf Astoria Towers, New York and Tropicalia, Four Seasons, each catering to a distinct lifestyle with meticulous attention to detail. You will know what I mean when you visit the websites. 

The Four Seasons Hualalai stands as the only brand-residences on the Big Island of Hawaii, offering a unique real estate opportunity. With a median price of $9.8 million, the single-family homes within this luxurious community embody unparalleled elegance and sophistication along with trust and lifestyle that Four Season's brand bring.  Link to Hualalai Resort Collection.

For further reading on this topic, I recommend checking out the article in Robb Report.

Please be sure to contact me  if you are interested in one of these residences!!

Kona Local Happenings

June 3, 2023

Big Island Jazz and Blues Festival

Welcome to the 10th Annual Big Island Jazz and Blues Festival
at Mauna Kea Beach Hotel. OCEAN FRONT Saturday JUNE 3, 2023
from 5-9PM with Grammy Award Winners, Grammy Nominated Artists,
Music Hall of Fame Members and Jazz and Blues Legends.
GATES OPEN AT 4:30PM

Learn More! 

june 10

KING KAMEHAMEHA DAY CELEBRATION PARADE - KAILUA-KONA

Featuring more than 100 riders on horseback, the annual parade and ho‘olaule‘a (music and art festival) fittingly return this year on Kamehameha Day in Historic Kailua Village.

Learn More!

I am delighted to share that this year, I am privileged to serve as a co-chair for the esteemed Daifukuji Temple's Bon Dance Festival. The Bon Dance Festival is a cherished traditional Japanese folk entertainment that welcomes everyone. Join us for an unforgettable experience where you can relish in various delights such as authentic Japanese-style shave ice, delectable Yakisoba noodles, and much more. There will Taiko drum performances by local groups. 

Lifestyle Tips and Tricks

Ready to Remodel? Here Are The Home Projects That Will Get You The Best Return On Your Investment

Even when they don’t buy a fixer-upper, most people will end up doing some amount of repairs on a new home. About 95% of homeowners said they plan to take on a major home improvement project in the next five years, according to a recent report by Real Estate Witch. However, only 50% said they can afford it at the moment.

Courtesy of CNBC

25 Top Interior Design Trends for 2023

If you've been searching for the right opportunity to add more style, vigor and comfort to your space, you'll appreciate this list. 

Courtesy of Good Housekeeping

Featured Listings

Keauhou Estates

78-6875 Kuhinanui Street

4 BD   4 BA   2826 SF   $3,500,000

Mauna Lani Resort

68-1304 Akea Place

5 BD   6 BA   4606 SF   $5,249,000

This modern tropical house, set to begin construction in early 2024, will be located in the heart of Mauna Lani as part of the premier development, Nohea at Mauna Lani. Situated in the westernmost area of the renowned Mauna Lani Resort, this new-construction estate offers a stunning design with a tropical-inspired flair and breathtaking views of the Kohala Mountains and beyond.

Thanks for reading and subscribing! Ready to achieve your next real estate goal?

Reach out to chat!

Daisuke 'Kai' Ioh

RB-19352
Realtor Broker
M: 808.936.6148
kai.ioh@compass.com

Compass is a licensed real estate broker and abides by Equal Housing Opportunity laws. All material presented herein is intended for informational purposes only. Information is compiled from sources deemed reliable but is subject to errors, omissions, changes in price, condition, sale, or withdrawal without notice. No statement is made as to the accuracy of any description. All measurements and square footages are approximate. This is not intended to solicit property already listed. Nothing herein shall be construed as legal, accounting or other professional advice outside the realm of real estate brokerage. Photos may be virtually staged or digitally enhanced and may not reflect actual property conditions.

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