Hawaii is not only a popular destination spot, it is also a beautiful place to live. The Hawaiian Islands are the tops of a chain of volcanic mountains found in the Pacific Ocean. The landscape can be tropical rain forests or rocky and volcanic terrain. Hawaii has a total acreage of 4.1 million acres and only 1.3 million acres are used for the agricultural industry.
In 2005, the population was at 1.275 million citizens, of which 905 million lived in urban areas. In 2000, there were only 460 thousands single-family units on the islands, which is up 18% since 1990. Most of these properties are in urban areas, with only 45,000 homes being in rural communities.
Property on the islands is very expensive and highly sought after. Property values are very high in Hawaii and the median price of a home or condominium is $272,000. Many homes are priced in the tens of millions dollar range.
On the island of Kauai, we see that there are more sellers than buyers. Homes are staying on the market for 90-120 days on average. The average selling price is $700,000, which is up 5-10% from 2005 prices. Sellers are receiving 95-100% of their asking price at this time. Condos and town homes are the most popular sellers. The current trend is to buy a timeshare and own the property for two months out of the year. Many investors purchase properties here because they provide income with long term appreciation potential.
In the states most popular destination spot, Maui, homes run around the same price. However, the number of buyers versus sellers is equal and homes are selling faster (in about 30-60 days). Prices are up 25-30% and single-family homes are the top sellers in the area. There is a booming market because of population growth on the island.