Oahu Real Estate Market: 2025 Trends and Forecast
Current Market Overview
Single-Family Homes
- Record High Median Price: $1,185,000 (Feb 2025), up 10.2% YoY
- Sales Volume: Decreased compared to previous year
- Days on Market: 23 days (down from 30 YoY)
- Inventory: Up 21.5% YoY
- Pricing Trends: Homes receiving 98% of original asking price
Condominiums
- Median Price: $494,000, down 3.6% YoY
- Days on Market: 48 days (up from 39 YoY)
- Inventory: Up 55.6% YoY
Honolulu Specific Data
- Median Sale Price: $610,000 (Dec 2024), down 1.1% YoY
- Price Per Square Foot: $716, down 5.2% YoY
- Average Days on Market: 85 days
Market Factors Influencing 2025 Trends
Interest Rates
- Current Rate: ~7% (Feb 2025)
- Forecast: Expected to decrease slightly
Housing Supply and Inventory
- Overall Trend: Rising inventory, especially for condos
- New Construction: Limited due to land constraints
Demographic Trends
- Migration: 46% of Honolulu buyers looking to move out
- Popular Destinations: Hilo, San Francisco, Kahului
2025 Market Forecast
Price Projections
- Single-Family Homes: Expected growth of 3-5%
- Condominiums: Stabilizing with 1-3% growth
Investment Outlook
Opportunities
- Rental Market: Strong demand for long-term rentals
- Emerging Neighborhoods: Potential growth in developing areas
Challenges
- Affordability: High entry cost
- Operating Costs: Rising HOA fees
Recommendations
For Buyers
- Get pre-approved for financing
- Be patient and negotiate
For Sellers
- Price competitively
- Invest in marketing
For Investors
- Focus on long-term appreciation
- Stay informed on regulations
Conclusion
The Oahu real estate market is stabilizing after years of growth, with increased inventory and shifting dynamics. While some segments cool, long-term prospects remain positive.
Data Sources
- Redfin market data (Dec 2024)
- Zillow forecasts
- Honolulu Board of Realtors (Feb 2025)
