Quick Answer: July 2023 saw a cooling trend in the Big Island’s luxury real estate market, particularly on the Kona-Kohala Coast. While a notable single-family home in Kona Hills Estate sold for $3.6 million, overall sales volume for both homes and condominiums decreased significantly compared to last year. The median price for single-family homes remained stable, but luxury condominiums experienced a 13.9% price adjustment.
Key Takeaways: July 2023 Kona-Kohala Coast Luxury Market
- Slower Summer Pace: July followed the typical pattern of a lighter summer season for West Hawaiʻi luxury properties.
- Kona Hills Highlight: A single-family home in Kona Hills Estate closed for $3.6 million, demonstrating continued high-end demand for specific properties.
- Condo Market Adjustment: Luxury condominium sales volume dropped by 37.3% year-over-year, with median prices decreasing by 13.9% to $510,000, signaling a buyer opportunity in some resort areas.
- Stable Single-Family Prices: Despite a 23.7% drop in sales volume, the median price for single-family homes across the Big Island held steady, increasing slightly by 0.6%.
- Longer Market Times: Both homes and condos spent more time on the market, indicating a shift from the rapid pace of previous years.
Over nearly two decades selling luxury homes on the Kona-Kohala Coast, I have worked with hundreds of affluent buyers and sellers. One of the most common questions I hear is: “What do these market statistics really mean for my situation?”
The answer is not magic; it is a system. What I call the Polimino Market Insight System is the result of years of testing, refinement, and proven results in translating raw data into actionable strategies for luxury real estate. Rather than simply describing the system, let me answer the three most common questions luxury buyers and sellers ask about the July 2023 Big Island market.
Should I Buy a Luxury Condo in Mauna Lani or Waikoloa Beach Resort Given July’s Market Trends?
Quick Answer: July’s data suggests a potential opportunity for discerning buyers in luxury resort condominiums, particularly if you are seeking value and have patience.
A market with decreasing sales volume and a notable median price adjustment, such as the 13.9% drop seen in Big Island condominiums, often indicates that buyers have a stronger negotiating position. Mauna Lani Resort led the way with seven condominium sales in July, and Waikoloa Beach Resort saw three. This activity, even with reduced volume, shows continued interest. However, the increased days on market, up 85.7% for condominiums island-wide, means buyers have more time to evaluate options and negotiate terms. Understanding the reasons behind the numbers helps identify strategic entry points.
Real Example: While the island-wide median condominium price dropped to $510,000, luxury units in resorts such as Mauna Lani and Waikoloa Beach command significantly higher prices. A detailed analysis of specific unit types and locations within these resorts can reveal where the best opportunities lie for buyers seeking a second home or vacation rental.
What Do July’s Big Island Market Statistics Mean for My Luxury Home in Kona Hills?
Quick Answer: For luxury single-family homes in exclusive communities like Kona Hills, July’s stable median prices suggest resilience, but increased days on market mean a refined selling strategy is essential.
The median sales price for single-family homes across the island increased slightly by 0.6% to $603,500, indicating that while transactions have slowed, prices have not seen widespread depreciation. However, sales volume declined by 23.7% compared to July 2022, and days on market increased by 11.1%. This is not a market where a simple listing will generate quick results. Precision marketing, targeted exposure to qualified buyers, and clear positioning of your property’s unique value are critical.
Real Example: A single-family home in Kona Hills Estate sold for $3,600,000 in July. This sale demonstrates that demand for prime luxury properties on the Kona-Kohala Coast remains strong when pricing and marketing are aligned correctly.
Is Now a Good Time to Sell My Vacation Rental on the Kona-Kohala Coast?
Quick Answer: The current market requires a nuanced approach. While overall sales volume is down, strategic positioning can still yield strong results for well-presented properties.
Island-wide condominium sales declined by 37.3% and single-family home sales declined by 23.7% in July. Days on market increased for both property types, meaning sellers should be prepared for a longer sales cycle compared to the fast-paced market of 2021 and 2022. Buyers are more deliberate, especially in the vacation rental segment, where rental income potential plays a major role in purchasing decisions. Showcasing both investment performance and lifestyle benefits is essential.
Real Example: Although July recorded only one condominium sale in Hualalai, the prestige and amenities of premier resorts often buffer properties from broader market swings. Pricing based on recent comparable sales within the specific resort, rather than relying solely on island-wide medians, is critical to achieving optimal results.
The Bottom Line: Navigating the Kona-Kohala Coast Luxury Market
July’s statistics reflect a more balanced and slower luxury market on the Big Island and the Kona-Kohala Coast. Buyers may find greater opportunity and negotiation leverage. Sellers must rely on data-driven pricing, targeted marketing, and strategic positioning to achieve top-dollar results.
The luxury segment on the Kona-Kohala Coast continues to demonstrate resilience for well-priced, high-quality properties. Professional guidance and a tailored market analysis are key to navigating current conditions successfully.
Frequently Asked Questions
Q: Is now a good time to buy a luxury condo on the Big Island?
A: With a 13.9% decrease in median condominium prices and longer market times, buyers may have more room to negotiate and more inventory to choose from, making this a potentially strategic entry point.
Q: How long does it take to sell a luxury home in West Hawaiʻi?
A: In July 2023, the average days on market for single-family homes across the Big Island was 40 days, up 11.1% year over year. Luxury properties on the Kona-Kohala Coast can vary depending on location, price, and marketing strategy.
Q: What are the current trends for vacation rentals on the Kona-Kohala Coast?
A: Sales volume has decreased, but demand for high-end vacation rentals remains steady. Buyers are more selective and focused on rental income potential and overall value.
Q: How do July’s statistics compare to the overall Big Island real estate market?
A: The broader market also experienced fewer sales and longer market times. Single-family home prices remained stable, while condominium prices saw a noticeable adjustment.
Q: Where can I find more detailed information about specific resorts?
A: Detailed, resort-specific market analysis is essential for understanding current value and trends within communities such as Mauna Lani, Waikoloa Beach, and Hualalai. A personalized consultation and comparative market analysis can provide the most accurate and actionable insights.