November 2018 Kapalua Golf Villas Update

Kapalua Golf Villas Thanksgiving 2018

Hau'oli La Ho'omaika'i

Long before the Puritans went sailing to Plymouth Rock, "Makahiki" was a Hawaiian harvest celebration that ran from November thru February. Fast forward to 1849. In an effort to strengthen relations between Hawaii and America, King Kamehameha III declared December 31st a national holiday of Thanksgiving. Why not November? Well, Hawaii already had a holiday called La Kuokoa at the end of the month. So even with a different date, Thanksgiving became official in Hawaii 14 years before President Abraham Lincoln declared it the national holiday it is now.

LOCAL MAUI NEWS

Aloha Kapalua Golf Villa Owners,

It's official - The Hawaii Tourism Authority signed a contract to bring the Los Angeles Rams to Aloha Stadium next year. The Rams will be the 1st NFL team to play a preseason game in Hawaii in more than 40 years. * On the day of his final concert in the islands, singer Bruno Mars (who's from Hawaii) announced that he will provide 24,000 Thanksgiving meals to Hawaii families in need. If you're interested in donating meals to Hawaii's needy click here. * Black Friday is the day after Thanksgiving, and it was a boon for Hawaii retailers last year who saw a 179% increase in sales compared to their average day. In fact Hawaii beat the national average when it came to revenue generated on Black Friday, and they're gearing up for it again this year. Nationally, holiday spending is expected to top $1 trillion for the first time ever this year.

Honolulu has become the 18th U.S. city to be selected for the American cities Climate Challenge, a $70 million program intended to tackle climate change and promote sustainability in 20 cities across the nation. * And local company Hawaii Biotech has received a 5 year $38.5 million contract with the federal government to develop an anti-toxin drug for anthrax in humans.

CURRENT MARKET ANALYSIS

The median price of a single-family home on Maui last month was $774,223 a 16% jump compared to $668,675 in October last year. That was based on sales of 88 homes a 21.4% decline compared to 112 homes sold in October 2017.

The number of condos sold in October were relatively flat with 132 units sold, a 2.2% decrease from 135 units sold in October 2017. The median price of a Maui condominium in October was $499,000, which was a 3.6% decline from $517,500 during the same month last year.

Total year-to-date resort home sales in Hawaii are on track to increase nearly 17% this year compared to 2017 levels. Maui resort home sales increased all around, with single-family home sales increasing by 30% compared to last year, as condo sales jumped 47%. Prices did not follow, however, with average single-family resort home price on Maui declining by 10% and the average condo price declining by 5%. Maui has the 2nd and 3rd highest priced sales so far this year, a $22 million sale in the 1st quarter and a $20 million sale in the third quarter.

Now l et's take a look at the Kapalua Golf Villas:

Status	Unit	Bd	Ba	List $	Sold $	Close
Active	19V2	1	1.5	694,000
Active	15V1	1	1.5	715,000
Active	16T1	1	1.5	765,000
Active	26T5-6	1	2	625,000
Active	23T1-2	1	2	735,000
Active	26T12	1	2	759,000
Active	12T1	1	2	775,000
Active	17T7	1	2	785,000
Active	22V1	1	2	949,000
Active	18V1-2	2	2	825,000
Active	15P3-4	2	2	933,900
Active	14P7-8	2	2	935,000
Active	12P5-6	2	2	939,900
Active	17P1-2	2	2	965,000
Active	25P5-6	2	2	975,000

Escrow	26T8	1	1.5	750,000
Escrow	14V3-4	2	2	934,000

Sold	25V-1	1	1.5	620,000	575,000	07/27/18
Sold	15T5-6	1	2	598,000	580,000	11/09/18
Sold	16T3-4	1	2	685,000	650,000	06/06/18
Sold	17T3-4	1	2	712,500	712,500	04/24/18
Sold	26P1-2	2	2	749,900	760,000	07/31/18
Sold	27P7-8	2	2	849,900	849,900	07/09/18
Sold	23P1-2	2	2	895,000	868,000	01/24/18
Sold	22P1-2	2	2	914,000	900,000	04/03/18
Sold	16P5-6	2	2	930,000	900,000	03/23/18
Sold	21P1-2	2	2	975,000	955,000	10/10/18
Sold	24P5-6	2	2	995,000	960,000	04/27/18
Sold	23T3	2	2	1,200,000	1,200,000	11/08/18

Figures from Realtors Association of Maui

TOURISM

The holidays are upon us and island accommodations will get full shortly. According to the Hawaii Tourism Authority, the use of vacation rental homes and condos are rising while hotel use is declining. From the West Coast, Hawaii's largest tourism market, visitor stays in vacation rentals grew 25.1% last month, while hotel use decreased. Hotel use from East Coast visitors rose last month by 5.7%, but that was outpaced by a 37.7% jump in rental home use. The same dynamic applies to visitors from Japan and Canada.

A measure passed on Maui ballots this month increases the fine for a person operating short-term rentals without a permit from $1,000 to $20,000. Then adds a daily $10,000 fine for each day the illegal rental persists.

So where are your friends and family staying when they come to visit you? Likewise, if you don't plan on being here, instead of letting your unit sit empty, why not score some income? I keep my short term vacation rentals with M aui Beachfront Rentals . I keep my guests happy by having them avoid all those inflated fees by travel agencies, and having a local staff that's available to them 24/7. They get so much more than they would in a hotel room ... fully equipped kitchens, laundry, free parking, and amenities. AND MBR takes all the hassle out of it for me. They cover all the bases plus extra advertising on sites like VRBO, HomeAway, Flip Key and others ... all at no additional cost to me. AND they handle all the collection of taxes from the rentals.

MORTGAGES

Dean Rathbun of Avis Mortgage shares that mortgage rates were on the rise this week, and as a result home buyers faced higher borrowing costs. The 30-year fixed rate rose to its highest average in 7 years, averaging 4.94%. The economy continued to show resilience as strong business activity and the growth in employment drove mortgage rates higher.

Dean says mortgage rates are expected to keep rising too. Some researchers predict a nearly 10% increase in buyers' mortgage payment by next July, twice the rate expected for home prices. Rates are expected to increase by about 0.43% between July 2018 and July 2019. Housing forecasters predict median home sale prices to continue to rise by 1.8% in real terms over that same period.

The Fed, which has already increased rates by one-quarter point 3 times this year, indicated that their next rate hike will likely be next month.

MAUI HAPPENINGS


	Banyan Tree Lighting

11/19-21: Maui Jim's Maui Invitational Chaminade

11/22: Turkey Trot schedule

11/25: "Paint The Town Together" tickets

12/1: Lahaina Banyan Tree Lighting

12/1: Make Living Wreaths details

12/1: Lei of Aloha event

12/8: Project Gift Maui specifics

12/8: Annual Blessing of the Animals Keawala'i Congregational Church Kihei 9am

12/8: 66th Annual Chrysanthemum Festival 4:30 Wailuku Community Center

12/14-15: Maui Jim's Women's NCAA Classic schedule

12/15: Pukalani Christmas Fair & Electric Golf Cart Parade

12/16: Street Bikers United Toys 4 Tots Parade Kihei to Lahaina

Holiday Craft Fairs

"Maui Gift & Craft Fair" Sundays 9am-2pm Lahaina Gateway Center

"Maui's Finest Craft Fair" 9am-3pm

Tuesdays/Fridays Westin Kaanapali Ocean Resort Villas

Wednesdays Marriott's Maui ocean Club

Saturdays Westin Nanea Ocean Villas

Thursdays Hyatt Residence Club Maui

Maui OnStage Iao Theater tickets

11/23 - 12/9: Elf The Musical

Maui Arts & Cultural Center
tickets

11/18: Ke'ala'iliahi: A Fashion Love Affair 2018

11/25: Maui Choral Arts Holiday Concert

11/28: Lee Brice country music

11/30 - 12/2: Hawaii International Film Festival

12/1: Miranda Lambert & Friends

12/2: Holiday Pops featuring Henry Kapono

12/6: Lewis Hyde & Matthew Zapruder in the Green Room

12/8-9: Nutcracker Sweets

12/13: Alsarah & The Nubatones East African Retro-Pop

12/14: Island Breeze Trio Hawaiian music

12/15: Amy & Willie K Holiday Concert

12/16: Pepper & Stick Figure reggae

12/21: Pat Simmons Sr. & Jr. (of the Doobie Brothers)

12/27: Steven Tyler

12/29: Steve Earle rock/country/folk

12/29: Hannibal Buress comedy

12/30: Bill Maher

Mulligans On The Blue Tuesdays

6:30 pm Free Magic Show

9:00 pm Open Mic Comedy Night (except 1st Tues of the month)

As you read above, mortgage interest rates have risen to a 7 year high, and the Fed is expected to raise their rate again next month. I don't have to tell you that mortgage rates affect the housing market. What I can tell you is the Island will be filled to capacity this holiday season with folks who will wish that they could own their own piece of paradise. And all those folks are also aware of the rising mortgage rates. Listen, if you're considering selling your property or adding another to your portfolio, you should call me for a confidential, no obligation discussion. As owner of Berkshire Hathaway Maui Properties I have over 30 years experience in the Maui market with sales approaching $2 billion! We a re the only Berkshire Hathaway Real Estate Brokerages on Maui. Our offices are located in Lahaina-Kapalua and Wailea-Makena. I'm available to you 7 days a week.

Have a wonderful Thanksgiving.

Hau'oli La Ho'omaika'i,

John

Broker/Owner