Hawaii Real Estate News

I was reading blogs from around the real estate industry recently to find out where the market might be doing relatively better.
 
I found this Denver real estate blog that said that prices there have gone up every month since March. That was enough for me to call the author, Denver Realtor Larry Hotz, and ask him what was going on there.

"Spring and summer were really strong here in the better neighborhoods", Larry Hotz. " Of course, we have our foreclosure neighborhoods too where prices have gone down. But, my firm The Kentwood Company sells mainly luxury homes and our sales volume is up as well as average prices year-to-date."

Larry said showings and sales of his listings have slowed down since Labor Day. But, there are no reliable statistics to show exactly how much yet.He believes sales will be softer but prices will be about flat though the rest of 2007. The Denver economy and employment continue to be strong supporting home prices. Over the summer Boeing and several other companies moved employees into Denver. Boeing moved over 600 employees from Huntington Beach, California to Littleton, a Denver suburb. If the Denver real estate trend continues, Larry believes the city might escape the lower prices of homes in other markets.

So, California looses 600 jobs to Denver. California prices are lower. Denver, at least so far, is about stable.

The Hawaii real estate market is a mixed bag these days. The inventory continues to grow which is great for buyers. Two years ago buyers were hard pressed to get an offer accepted on a property. It seemed there were always multiple offers and the price of the home values were bid up above the asking price. Well over the last year or so the real estate market has slowed down and is making an adjustment. Most prices on all islands have been adjusting down making the homes here in Hawaii more affordable. last month Pacifc Business News reported that Hawaii's resort real estate market seen prices soar by almost 24 percent in the last year. That was driven by the fact the number of single family resort homes selling over 2 million.

National Relocation is just re-launching some of their services and channels. They have re-done the site structure so they can have all their services more custom and taylored for each service they offer. The mortgages channel is not geo located any more. It has more information on the different types of financing and will soon have the abilty to offer mortgage quotes and mortgage rates as well.

The foreclosure channel is geo located and has lists of foreclosures in the different counties of a particular state. They are also revamping their rentals section and soon property managers and home owners will be able to list houses for rent for free with pictures and video.

The home inspectors channel now lists them by state along with the services they provide. They even have an insurance channel that has all the different types of insurance you would need when you relocate to a new area such as car, health, homeowners and even term life insurance quotes.

They are also working on getting a new design as well, plus many other services for buyers and sellers relocating. There new real estate section will have a home values tool, plus you will be able to view mortgage rates, links to schools and city neighborhood information plus much more!!

Danielle Contreras is ADR's featured San Jose real estate agent that specialises in relocation. She is also our featured and Cupertino Real Estate Realtor. Danielle is a buyers agent that knowledgable about her mnarket place and has experience to fulfill her clients needs. She is always continuing her education to keep up on all the real estate laws and changes.

She enjoys spending her free time with her husband and three children biking, fishing and many other family activities.

ADR relocation directory is proud to have Katrina Harman as a referral partner.  Katrina is a pro that has been selling Fresno real estate for many years.  She has great area and market knowledge. Her Fresno county real estate search features homes in clovis, Kingsburg, Selma, Sanger and many more small communities in Fresno County.

She has an interactive website that provides buyers and sellers with real estate tips, articles and community iformation. You definately get a competitive edge when you are working with Katrina.

American Dream Realty just rolled out their new relocation real estate agent site. It has area information that is helpful for buyers relocating to a new community plus it also has area MLS searches from the area.  If it does not directly go to a search in the area you desire. You can fill out a custom form that will be forwarded to an agent in your new area and they will set you up on their MLS to receive new homes as they become available.

We have relocation specialists in all states and most communities that we can refer to buyers to. Darla Vanderlip is our Santa Clarita real estate specialist and she serves the following areas: Castaic, Valencia, San Fernando Valley, Antelope Valley and Stevenson Ranch in California.

Bob Wilson is our San Diego real estate relocation partner and serves the following areas: 4s Ranch, Scripps Ranch, Del Mar, Rancho Santa Fe and La Jolla in California.

Debbie Ferrari is our San Clemente real estate referral agent that also handles Dana Point and San Juan Capistrano plus other Orange County real estate areas.

Bryan Pearl is an Alabama real estate agent that handles Huntsville real estate clients and has a great mls search on our site.

This new site was created so we can refer clients relocating to and from Hawaii to agents that work at a higher standard than most.

Found a very interesting site that services the Hawaii real estate market.  RE Hawaii appears to offer a way for Hawaii FSBO's ( For Sale By Owners) to list their properties for sale.  It looks like they list Oahu real estate, Maui real estate, Kauai real estate and the big island of Hawaii.

They also list Hawaii houses for rent. I believe they also link to other Hawaii real estate brokers MLS searches as well. This site might gain popularity as the Hawai real estate market continues to tighten up.  Sellers that have bought a home in the last two years do not have very much equity  if any at all.

Time will tell whether or not this is going to be a substitute from a traditional broker.

Goin2travel.com is a vacation rentals website site that has just released its real estate section.  It will have real estate listings around the world just like its rental section. They are offering real estate lings in such areas as Hawaii, Florida, Newport Beach, Costa Rica, Cabo San Lucas, Colorado, Myrtle Beach, Tampa, Kauai, San Diego and mmany more areas!! The really cool thing is that they are offering this to real estate agents and home owners. The best thing is that it is totally free to list your real estate listings.

The real estate agents get a profile page and all their listings interlink.

I would check this out if you are interested in getting free exposure for your real estate investments and resort style homes.

During June, sales of 338 single-family homes and 547 condominiums were reported through the Board's MLS, decreases of 8.2 percent for single-family homes and 14.7 percent for condominiums, compared to the same month last year. This brings total single-family home sales on Oahu to 1,902 for the first six months of 2007, a decrease of 5.7 percent over the same time period one year ago. Total condominium sales were 2,978, a 15.3 percent decrease from last year. The year-to-date median prices paid for Oahu properties in the first six months this year were $645,000 and $325,000, respectively, increases of 2.4 percent and 5.7 percent over the 2006 prices of $630,000 and $307,500. The total dollar sales volume generated in the housing market for the first six months of the year was $2.642 billion, a decrease of 5.9 percent, or $167 million, compared to the $2.809 billion produced one year ago.

There is a 8.2 decrease in Single Family Homes Sales Volume from last year; and, a 14.7% decrease in Condominium Sales Volume in June 2007 compared to the same month last year.

"The Oahu housing market achieved new records in June with the median price paid for a single-family home at $685,000, exceeding the previous record of $668,300 in May 2006, and condominium prices at $334,000, surpassing the prior peak of $329,000 set last July," said Berton Hamamoto, President of the Honolulu Board of REALTORS®. "Although the number of sales has diminished from their peak in 2005, the market is still very active and maintaining a healthy equilibrium with adequate supply and strong demand."
"Oahu, Hawaii residential markets have been pushing the price envelope in recent years, including this June," added Harvey Shapiro, Research Economist at the Board of REALTORS®. "Of the seventeen single-family home neighborhoods tracked for research purposes by the Board, home values and sales of over $1 million occurred in ten or more of them every month since last year. Last month, there were even three neighborhoods registering sales of more than $3.8 million. These high-end sales confirm the opinion held by many REALTORS® that there continues to be substantial demand for our properties and that prices most likely will not be adjusting downward anytime soon, if at all."

*Source: The Honolulu Board of REALTORS®

CCIM: The Certified Commercial Investment Member (CCIM) designation conferred by the Commercial Investment Real Estate Institute (CIREI), is awarded to experts in the disciplines of commercial real estate brokerage, asset management, valuation and investment analysis. The designation is earned by completing the intensive CCIM education program, passing a comprehensive examination and demonstrating a record of accomplishment in the commercial investment of real estate.

Fee Simple Ownership: Fee simple ownership is probably the most familiar form of property ownership to buyers of residential property, especially on the US Mainland. Fee simple is sometimes called fee simple absolute because it is the most complete form of ownership. A fee simple buyer acquires ownership of the entire property, including both the land and buildings. The fee simple owner does not pay ground rent, but does pay maintenance fees and real property taxes. The fee simple owner has the right to possess, use the land and dispose of the land as he wishes - sell it, give it away, trade it for other things, lease it to others, or pass it to others upon death.

Finance Charge: The total cost a borrower must pay, direct or indirectly, to obtain credit according to Regulation Z.

Graduated Payment Mortgage: A residential mortgage with monthly payments that start at a low level and increase at a predetermined rate.

Home Inspection Report: A qualified inspector report on a property overall condition. The report usually includes an evaluation of both the structure and mechanical systems.

Home Warranty Plan: Protection against failure of mechanical systems within the property. Usually includes plumbing, electrical, heating systems and installed appliances.

Index: A measure of interest rate changes used to determine changes in an ARM interest rate over the term of the loan.

Joint Tenancy: An equal undivided ownership of property by two or more persons. Upon the death of any owner, the survivors take the decedent interest in the property.

Leasehold Conversion: Conversion of leasehold property to fee simple ownership involves purchasing the landowner's remaining interest, called the leased fee interest. The lessors of many, if not most, leasehold properties are currently offering to sell their leased fee interests to their lessees or prospective buyers of a leasehold property. There is a State of Hawaii law and a City & County of Honolulu (Oahu) ordinance affecting the mandatory conversion of residential leasehold properties.

Leasehold Ownership: A leasehold interest is created when a fee simple landowner enters into an agreement or contract called a ground lease with a lessee. A lessee buys leasehold rights much as one buys fee simple rights; however, the leasehold interest differs from the fee simple interest in several important respects. First, the buyer of residential leasehold property does not own the land and must pay ground rent. Second, his use of the land is limited to the remaining years covered by the lease. Thereafter, the land returns to the lessor, and is called reversion. Depending on the provisions of any surrender clause in the lease, the buildings and other improvements on the land may also revert to the lessor. Finally, the use, maintenance, and alteration of the leased premises are subject to any restrictions contained in the lease.

Lien: A legal hold or claim on property as security for a debt or charge.

Loan Commitment: A written promise to make a loan for a specified amount on specified terms.

Loan-To-Value Ratio: The relationship between the amount of the mortgage and the appraised value of the property, expressed as a percentage of the appraised value.

Margin: The number of percentage points the lender adds to the index rate to calculate the ARM interest rate at each adjustment.

Mortgage Life Insurance: A type of term life insurance often bought by home buyers. The coverage decreases as the mortgage balance declines. If the borrower dies while the policy is in force, the mortgage debt is automatically covered by insurance proceeds.

Negative Amortization: Negative amortization occurs when monthly payments fail to cover the interest cost. The interest that isn covered is added to the unpaid principal balance, which means that even after several payments you could own more than you did at the beginning of the loan. Negative amortization can occur when an ARM has a payment cap that results in monthly payments that aren high enough to cover the interest.

Origination Fee: A fee or charge for work involved in evaluation, preparing, and submitting a proposed mortgage loan. The fee is limited to 1 percent for FHA and VA loans.

PITI: Principal, Interest, Taxes and Insurance.

Planned Unit Development (PUD): A zoning designation for property developed at the same or slightly greater overall density than conventional development, sometimes with improvements clustered between open, common areas. Uses may be residential, commercial or industrial.

Point: An amount equal to 1 percent of the principal amount of the investment or note. The lender assesses loan discount points at closing to increase the yield on the mortgage to a position competitive with other types of investments.

Prepayment Penalty: A fee charged to a borrower who pays a loan before it is due. Not allowed for FHA or VA loans.

Private Mortgage Insurance (PMI): Insurance written by a private company protecting the lender against loss if the borrower defaults on the mortgage.Purchase Agreement: A written document in which the purchaser agrees to buy certain real estate and the seller agrees to sell under stated terms and conditions. Also called a sales contract, earnest money contract, or agreement for sale.

R: A REALTOR® is an individual licensed as a BROKER to list and sell real estate, one who is also a member of a local Board of REALTORS®, the State Association of REALTORS® and the National Association of REALTORS®. As a member of these three professional trade associations, a REALTOR® is bound by a strict Code of Ethics, the canons of professional behavior that guide daily activities in the real estate business.

To obtain a BROKER's license, an individual must have a current (active or inactive) Hawaii salesperson's license, a minimum of 2 years full-time real estate experience in Hawaii and have participated in at least 10 qualifying real estate transactions with a Hawaii broker prior to taking and passing the State-required 46-hour broker's prelicensing course.

RA: A REALTOR ASSOCIATE® is an individual licensed as a SALESPERSON to list and sell real estate, one who is also a member of a local Board of REALTORS®, the State Association of REALTORS® and the National Association of REALTORS®. As a member of these three professional trade associations, a REALTOR ASSOCIATE® is bound by a strict Code of Ethics, the canons of professional behavior that guide daily activities in the real estate business.

To become a licensed real estate professional in Hawaii, an individual must be 18 years old and either a U.S. citizen or a registered alien by the State exam date, have a reputation for honesty, truthfulness, financial integrity and fair dealing, complete the State-required 40-hour prelicensing course and pass the State exam.

Regulation Z: The set of rules governing consumer lending issued by the Federal Reserve Board of Governors in accordance with the Consumer Protection Act.

Tenancy in Common: A type of joint ownership of property by two or more persons with no right of survivor ship.

Title Insurance Company Policy: A policy that protects the purchaser, mortgagee or other party against losses.

VA Loans: A loan, made by a private lender, that is partially guaranteed by the Veterans Administration.