Saturday, November 28, 2009

Hawaii Kai Condo Market may face challenges

Proposed changes to a federal mortgage loan program that now accounts for a substantial number of all new home loans have Hawai'i lenders concerned that many condominiums in the state could become ineligible for such lending. The proposed changes stem from an effort by the U.S. Department of Housing and Urban Development to reduce fraud and risk in lending through the Federal Housing Administration.

The Mortgage Bankers Association of Hawaii fears that 545 Hawai'i condo projects will automatically lose their eligibility for FHA lending next year under revised rules proposed by the agency.

FHA loans are available for single-family home and condo purchases. For condos, the loans are limited to projects that meet certain requirements, such as those with no less than 50 percent of units occupied by owners, no more than 15 percent of units delinquent on association fees and no more than 10 percent of units owned by one investor. But in some cases these requirements haven't been reviewed after condos obtained initial FHA lending approval years or decades ago.

Under proposed rule changes, all condos automatically would be removed from FHA's approved lending list two years after a project was placed on the list. In Hawai'i, that would mean virtually every condo project on FHA's approved list, or 545 projects, would be removed.

The Mortgage Bankers Association of Hawaii had asked that previously approved condos in the state remain on the FHA's approved list for two years to allow time for more orderly reapprovals. Initially, the removal was slated to take effect Dec. 7 upon implementation of the new rules. However, recently the agency granted a grace period of one year before condos with old approvals will become ineligible for FHA loans unless they are reapproved.

Contact me for more information on how this proposed change may affect your purchase or sale of a Hawaii Kai condo.

Barbara Abe, Realtor
808-226-2537
barbara@barbarashawaii.com
www.movetohawaiikai.com
www.barbarashawaii.com

(resource: Honolulu Advertiser)

Friday, November 20, 2009

Hawaii Kai Real Estate Outlook for 2010

Home sales will increase 15 percent to about 5.7 million units and REALTOR® income will be up 20 percent in 2010, predicts NAR Chief Economist Lawrence Yun. He credited the home buyer tax credit with stimulating sales on the lower-end of the housing market this year, bringing up to 400,000 first-time buyers into the market who wouldn't have bought otherwise. That influx tightened inventories of starter homes, shored up prices, and helped reduce households' fear over continuing price drops.

This cycle will continue now that the federal government has extended the credit to mid-2010 and expanded it to make a smaller credit available to repeat buyers and to households with higher incomes. “The key is stabilizing prices and preserving household wealth,” he says.

More applicable to Hawaii home prices, Yun predicts the supply of homes to stabilize at the historic norm of six to seven months. Homes above $500,000 will remain elevated in the near-term, but that weakness will be offset by a hefty drop in starter-home inventories, which are running at about a five months supply. The tightening inventory at all price points will help improve market performance by bringing supply into better balance with demand, but the added sales, particularly on the higher end, will also increase the number and quality of the market comparables used by appraisers to assign valuations. Once appraisals improve, foreclosures will ease, blunting their drag on the market and making it less likely that Fannie Mae, Freddie Mac, and even FHA will need help from the taxpayer.

The good news is that the 1st Time Buyer Tax Credit has been extended, and a Homeowner Tax Credit is now available. Contact me for details.

Barbara Abe, Realtor
barbara@barbarashawaii.com
808-226-2537
www.movetohawaiikai.com
www.barbarashawaii.com


Thursday, November 5, 2009

Real Estate Sales for October, 2009 in Hawaii Kai and Oahu

Plenty of homeowners and economists are happy with the news about October, as sales reached a 19-month high island-wide, as reported by our Honolulu Board of Realtors (HBR). Still fewer in number than the recent hooming years, volume continues to build from the low levels of late 2008 and early 2009. Condo sales as well as single family home sales increased.

The current rate of sales for both single-family homes and condominiums were both slightly up in October, which is truly encouraging in light of the current economy," said Sandra "Sam" Bangerter, president of the Honolulu Board of Realtors. "The median prices for single-family homes were up a bit and down for condominiums, but still within relatively stable price ranges. The first-time homebuyers federal tax credit has been helpful in raising buyer awareness."

There were 281 sales of single-family homes during October, or almost 16 percent more than a year earlier. It was the highest volume since March 2008, or 19 months.

  • The median price of single-family homes was $605,000. Although that was down from last October's median of $625,000, it marked a high point for this year. The median is the point where half of the prices are below and half are above.
  • There were 381 sales of condominiums, the most since May 2008, or 17 months.
  • The median condominium price was $295,000. That compared with the year earlier median of $325,000.

Kapahulu/Diamond Head, Kahala and Hawaii Kai posted their highest single-family home sales of the year.

In October, months of remaining inventory for single-family homes fell to 4.6 from the prior year's 9.8, according to the HBR. Likewise, remaining condominium inventory fell to 4.8 months from the year-ago 8.7 months, HBR said.

The Board publishes very extensive statistics for every community on Oahu. Contact me for your free copy.

Barbara Abe, Realtor
808-226-2537
barbara@barbarashawaii.com

Thursday, October 29, 2009

Lunalilo Home in Hawaii Kai gets a MakeOver

Trustees, administrators, physicians and staff from The Queen's Medical Center spent last Saturday beautifying Lunalilo Home, the state's oldest elder-care facility. In keeping with the medical center's 150th anniversary, 150 volunteers painted interiors and exteriors, and did landscaping duties at the Hawaii Kai property.

"We do a lot of community service projects, but this was by far the most rewarding," said Queen's volunteer manager Beverly Parker. "I can't wait to see (the residents') faces when they see what we've done. Today was such a joy."

Medical director Dr. Gerard Akaka, who spent his morning stacking mulch and transporting it by wheelbarrow to landscapers, said he appreciated the chance to get his hands dirty.
"It was hard labor but it was very gratifying," he said. "Personally, I really enjoyed being able to give back to our kupuna and to support what this home stands for."

Organizers noted that it was King Lunalilo's bequeathal of lands (including the property on which the International Market Place now stands) to Queen Emma that enabled the queen to found and maintain The Queen's Medical Center.

Located at 501 Kekauluohi Street, King Lunalilo Home was established in 1883 as an adult residential care home facility by the will of King William Charles Lunalilo for native Hawaiian elderly. It was renovated in 2001 to house 42 residents. In 2004, Lunalilo Home expanded its services to include adult day care, temporary respite care and dietary services to senior citizens of all ethnic backgrounds. The King Lunalilo Adult Day Care Center is licensed for 44 participants.

In the spirit of Hawaii Kai Aloha, Lunalilo Home belongs to all residents. We are lucky to have an elder care facility so close.

If you have questions about other elder services available in Hawaii Kai or on Oahu, contact me for information on our lifestyle and resources.

Barbara Abe, Realtor
808-226-2537
barbara@barbarashawaii.com
http://www.movetohawaiikai.com/
http://www.barbarashawaii.com/






(resource: Honolulu Advertiser)

Hawaii Kai Falling Rocks not a Threat to Homes

There was quite a bit of concern among residents whose homes border the bottom slopes of Koko Crater after a large boulder sheared off a ridge on Feb. 6 of this year.

However, a consultant's geotechnical engineering report sent to the city Department of Design and Construction concluded that that boulder and associated smaller boulders that may have sheared off at the same time "do not present a hazard to downslope residences."

The consultant also looked at a boulder that tumbled down in 2003, and concluded that a ravine and roadway cut would prevent boulders from moving down to the homes. Many of you may remember the damage to homes in Lalea at that time, and the months spent building remediation measures. The real estate values in Lalea were not affected, however.

"The report does much to dispel the community fears about the rockslide," said Greg Knudsen, chairman of the Hawaii Kai Neighborhood Board.

We live on a volcano, basically, on lava rock, so Pele and the forces shaping the island chain make themselves felt now and then. If you are concerned, contact me for a thorough analysis of real estate historical values in Hawaii Kai.

Barbara Abe, Realtor
808-226-2537
barbara@barbarashawaii.com
www.barbarashawaii.com
www.movetohawaiikai.com

Hawaii Kai Foundation Offers Scholarships

The Maunalua Bay Foundation is offering college scholarships to East Honolulu high school students planning to attend a Hawaii college.

Students must be a senior from Kaiser or Kalani high schools, Honolulu Waldorf or a homeschool student to apply. The student must attend a Hawai university, community college or trade school. Applicants must submit a 500-word essay on "What Does It Mean To Care For Your Community." Winners will be announced at a Hawaii Kai Fourth of July fundraising event at Blue Water Grill on Nov. 20.

Independence Day at Maunalua Bay Foundation puts on its annual fireworks show and celebration at Maunalua Bay, which spans from Koko Head to Diamond Head. The annual event in Hawaii Kai is presented with the help of the community, for the community. It brings East Oahu’s restaurants, businesses and families out for a get-together with music for the soul in live entertainment, activities for keiki, good grindz and a booming, 20-minute pyrotechnic show that can be seen from Hawaii Kai to Black Point and beyond.

Independence Day at Maunalua Bay Foundation uses the event as a vehicle to raise money to assist students with the financial costs of college. The more money raised, the more scholarships the Foundation can give. So, come and celebrate with us and help a local student achieve his/her college dreams.

For more information write to idmbscholarship@gmail.com, melanie@pacintlre.com , get an application at one of the East Honolulu schools, or visit their website.

This is one more example of our Hawaii Kai Ohana. Contact me about enjoying our lifestyle as a resident or investor.


Thursday, October 22, 2009

New Survey Confirms how Healthy it is to Live in Hawaii Kai

Self magazine has ranked the "Top 100 Healthiest Cities For Women" in its most recent issue. The survey looks at 50 things like crime rate, air quality and access to health care, among other things that affect a woman's ability to live healthy.

Honolulu (and of course Hawaii Kai) ranked 3 out of 100 in 2008, and 6 out of 100 this year. Honolulu women have the list's lowest chance of dying of breast cancer and the second lowest for skin cancer—despite living in a place with 271 sunny days a year. Lung, colon and ovarian cancer deaths are also relatively rare.

The magazine quotes Tiffany Coke, 32, a high school math and physics teacher in Honolulu. "We eat tons of seafood and very little red meat, and instead of chips and salsa, our standard party snack is poke, a Hawaiian raw tuna dish."

Also, women in Hawaii get plenty of disease-preventing exercise, and walk and bike to work twice as often as the national average.

What's healthy in Honolulu is even better in Hawaii Kai - less traffic, less noise, easier access to bike riding, running, and water sports. Come visit our healthy island - you will want to stay and invest in one of the real bargains available now for buyers. Contact me for a free Relocation Package for Hawaii Kai.

Barbara Abe, Realtor
808-226-2537
barbara@barbarashawaii.com
www.movetohawaiikai.com
www.barbarashawaii.com