Hansen Ohana September Newsletter

Aloha All,

We are set to deal with Hurricane Olivia which is projected to be a tropical storm.  You might want to observe some of the effects on our beach webcam at https://www.mauirealestate.net/video.php

We are approaching the high season for tourists and the busy real estate season and thought it was also a good time to update you.  While inventory continues to shrink you will also notice that prices have steadily and solidly increased at a very modest rate over the last year.  Island wide all properties had a median price of $613,750 which is a 6.7% yearly increase.  Single family had a medium price of $675,000 which is a moderate 1.7% yearly increase.  Condos had a medium price at $480,000 which is a 11.06% yearly increase.  The reason for this disparity may be found in people more willing to purchase in the lower price ranges.  Keep in mind that this is an average and that different areas may be more or less than this average.  Additionally where sellers were overzealous with their asking price, many have lowered them to market rates.

There is a statistic that clearly points out what is happening on Maui which is the months’ supply of inventory.  As of the end of August there was 5.3 months’ supply of real estate inventory.  While this may not seem low for San Francisco, historically this is a very low number for Maui representing a 20.9% drop in supply.

Luana Garden Villas at Honua Kai pre-sales continue to be strong – over 50% are now under contract.  Kalama Kai in Kihei has broken ground and vertical building is under way.  We have some wonderful land listings ranging in price from $389,000 to $1,725,000 with a variety of potential building options both residential and commercial.  If you or someone you know is interested in land banking, building a dream home or estate or real estate development with apartment zoning, please call us to discuss.

We are in the process of planning our annual Christmas Children’s Annual Event on Saturday December 1, 2018. We will be supporting the Friends of the Children’s Justice Center again this year.

Please give us a call for updates for your specific area.  We are here to help.  Following are our numbers.

Clint Hansen 808-280-2764

Donna Hansen 808-280-1650

Bob Hansen 808-283-9456

The Hansen Ohana

Maui Luxury Real Estate LLC

dad@mauirealestate.net

Visitors Increase For Lanai And Molokai

Lanai had a 19.1% increase in visitors for the month of July as compared to the same time last year. Spending on Lanai increased over the year a whopping 67.9% to $8.6 million.

Molokai also saw increases in visitors and expenditures. Visitors increased by 32.2% and spending increased 109.5%.

The increase in Lanai is due largely to new visitors coming and staying at the recently redone Four Seasons Resort Lanai. The resort, formally the Manele Hotel, reopened in February 2016.

Overall vistors have increased 5.3 percent statewide. Visitor spending also grew to 4.8% in July, and 9.8% for the year to July totals.

Uber And Lyft Approved For Kahului Airport

Any transportation network companies that have been licensed by the Hawaii Public Utilities Commission or a county agency, will soon be able to do drop-off and pickups at Kahului Airport.

This is the first the rules for commercial services for airport services have been amended since 2002. Uber and Lyft have been testing a pilot program since December last year. The pilot program found there was a need and interest in services at the airport.

The hope is for Maui to test a similar type of pilot program in the middle of September or early October. Honolulu has a designated area for ride share companies to do pick ups. Maui Airport officials have met with Uber and Lyft to hear how other cities do pickups and to make a plan to implement at the Kahului Airport.

Large Scale Solar Project

This past Saturday started Maui’s first large solar project partnership between Maui Electric Company and Kenyon Energy. Maui Electric is buying power from Kenyon’s South Maui Renewable Resources.  The project can possibly generate up to 2.87 megawatt of solar power that is then delivered to Maui Electric’s grid for roughly 11 cents per kilowatt-hour.

Maui is ahead of the 30% target they set for themselves getting 34% of its energy from renewable resources. Those resources include wind, hydroelectric, biofuels , and solar. Maui Electric will begin purchasing more power from an additional Kenyon project later this month.

Maui Best Property Tax Rates Prevail!

The budget chairman, Riki Hokama, said Friday that he had nixed the mayor’s proposed tiered scheme for property taxes designed to increase income from second homes and investment properties.

His proposed property tax rate structure follows with proposed and current rates per $1,000 of assessed value:• Homeowner, $2.85, $2.86.• Commercialized residential, $4.55, $4.56.• Residential, $5.52, $5.54.• Agricultural, $6, $6.01.• Apartment, $6.31, $6.32.• Conservation, $6.35, $6.37.• Commercial, $7.25, $7.28.• Industrial, $7.45, $7.49.• Short-term rental, $9.28, $9.28.• Hotel and resort, $9.37, $9.37.• Time share, $15.41, $15.43.

Maui continues to have reasonably low real estate tax rates. Contact The Hansen Ohana today for all your real estate needs!