April 2018 Mahana Update

Mahana Update

April 2018

LOCAL MAUI NEWS

Aloha Fellow Mahana Owners,

Maui No Ka 'Oi

(Maui is the Best)

Time for a little Maui pride ...

Hawaii Magazine "Annual Best of the Best List"

Restaurants 3/5 were on Maui including #1 Mama's Fishhouse, Roy's and Monkeypod

City/Town 2/5 on Maui including #1 Lahaina, and Paia

Best Beach 2/5 including #1 Makena Beach and Kaanapali Beach

Best Island MAUI #1 Again

Admit it, when you leave the Island you miss a lot of things ... but if one of them is a Maui Taco ... weep no more. Maui Taco is expanding nationwide with 6 new store openings this year, and 12 more slated for 2019. * The Tri Park Annual Pass, which allows unlimited entry for one year to three national parks in Hawaii, including Maui's Haleakala National Park, will increase from $30 to $50 beginning June 1st.

Recognize the picture of that home on the left from a big 1980's TV Series? That was "Robin's Nest" the home made famous by "Magnum, P.I." that starred Tom Selleck. Well, it's going to be demolished and not used in the CBS pilot reboot that they're currently shooting. Jay Hernandez will take on the role of Thomas Magnum. * I've always touted the benefits of living in Paradise, but now it's actually been confirmed by the Journal of the American Medical Association. Life Expectancy in the Islands tops all other states in the Country. Average life expectancy in Hawaii is 81.3 years. The national average is 79 years, and Mississippi had the lowest expectancy rate at 74.7 years - a 6.6 year difference when lined up with the Aloha State. The study also reviewed life span averages by gender, and both Hawaii men and women lived longer than their average U.S. counterparts at 81 and 76 respectively.

CURRENT MARKET ANALYSIS

Nationally, the median list price for homes last month topped a record high set in 2017. The median list price was $280,000, up 8% year over year in March, topping lst July's record of $275,000. Low inventory over the last two buying seasons is carrying over to this year. Buyers are out

in full force this spring, with more eyes on fewer homes available for sale.

Home prices in Hawaii rose by a smaller percentage than the national average over the past year and Oahu and Maui are among the markets that are considered overvalued, according to the newly released CoreLogic Home Price Index. So while it's expected that home prices will continue to rise, Oahu and Maui may experience slower price growth.

The median price of a single-family home on Maui fell by 10% last month. The actual number was $680,000 last month, a 10.1% drop from $756,000 in March 2017. The number of single-family homes sold last month declined by 4.8% to 100 homes sold, from 105 homes sold during the same month last year. Meanwhile, the median price of a condominium jumped 15% on Maui. The median price of a condo in March was $450,000, 15.4% higher than the median price in March 2017, of $390,000. Sales of condos declined 4.5% to 127 units sold, from 133 units sold in March of last year.

Now l et's take a look at Mahana :

STATUS	UNIT	BD	BA	LIST $	SOLD $	CLOSE
Active	1017	1	1	995,000
Active	715	1	2	899,500
Active	515	1	2	1,199,000

Escrow	802	0	1	625,000
Escrow	616	1	1	875,000

Sold	613	0	1	550,000	550,000	01/11/18
Sold	208	1	1	859,000	827,000	03/01/18
Sold	407	1	1	895,000	880,000	04/18/18
Sold	116	1	1	1,200,000	990,000	3/9/2018

Figures from Realtors Association of Maui

TOURISM

Investors spent top dollar in 2017 to buy Hawaii hotels, which averaged the highest price per room of any state. According to STR, a hotel research company, the average Hawaii hotel sold for $536,481 per room. That's more than double the average price paid for hotels nationwide: $240,000 per room. Nationwide, STR expects hotel values "to remain at an all-time high in 2018, despite a rise in interest rates." Hawaii is routinely the top-performing state when it comes to hotel occupancy and room rates, and that has certainly been the case so far in 2018.

The success of Hawaii's hotel industry over the past year has had statewide benefits, but higher average daily rates have had a negative impact on the Island's MCI (meetings, conventions and incentives) market. Hotels are so full they don't need to discount for group business. If you've tried booking a hotel room, you know how expensive they are. Then add on eating every meal out! If you or your family and friends need a place to stay on Maui that has all the amenities and then some (fully equipped kitchens, laundry, free parking etc) then you owe it to yourself to check out Maui Beachfront Rentals. That's where I keep my vacation rentals, and my guests save money by avoiding all those inflated fees by travel agencies. Their service doesn't stop with the booking - locally based staff is available 24/7. Likewise, if you're looking for a way to offset the cost of owning your home or condo, consider renting it thru MBR . I do,and for me it means no hassles. No more trying to cover all my bases with a local rental agency here plus extra advertising on sites like VRBO, HomeAway, Flip Key and others to try and get a decent return. MBR covers it all and at no additional cost.

TRAVEL

Hawaiian Airlines has introduced their first Hawaiian language flight to the Mainland. In an effort to expand its Hawaii culture offerings, the eight flight attendants will engage with customers in Hawaiian and English.

Southwest Airlines has filed an application for a revocable permit at Lihue Airport on Kauai, indicating the carrier's intention of servicing Neighbor islands. Last month, the airline was issued a revocable permit for airline operations at Honolulu International Airport. Southwest is expected to launch ticket sales in Hawaii sometime this year.

United Airlines is gearing up for summer with new free entertainment options. Live-streaming Direct TV was the only option on over 200 of their aircraft. Now in addition, passengers will be able to use their personal laptops and cell phones to access a full library of free movies and television shows.

MORTGAGES

Dean Rathbun of Avis Mortgage has some behind the scenes information about the Fed's last meeting. As you may already be aware, last month, the Fed lifted the federal funds rate to a range of 1.5% to 1.75%. That was an increase of a quarter of a percentage point. The Fed's target rate helps determine rates for mortgages, credit cards and other borrowing. It was the 6th increase since December 2015. Yet rates are still extremely low by historical standards.

What could be more revealing are the actual minutes of that meeting. Buoyed by a strengthening economy and increased confidence that the Federal Reserve will reach its inflation target in the near future, central bank policymakers suggest the path of future rate hikes could be "slightly steeper" over the next few years than previously thought.

According to Dean , the minutes reflected that "Members agreed that the strengthening in the economic outlook in recent months increased the likelihood that a gradual upward trajectory of the federal funds rate would be appropriate."

MAUI HAPPENINGS


	Hau'oli La Makuahine Sunday May 13th

4/27 & 5/3-5: 18th Annual Maui Matsuri Festival details

5/2-3: Hawaii Small Business Conference info

5/05: 39th Annual Women's 5K Run & 1 mile walk schedule

6/7-10: Kapalua Wine & Food Festival tix on sale now

Maui OnStage Iao Theater tickets

4/27-5/13: Of Mice and Men

5/25-27: Maui Chamber Orchestra - Musicals

7/13-8/5: Singin' In The Rain

Maui Theater Monday, Tuesday, Thursday Friday tickets

"Ulalena" Hawaiian Show 5pm

"Burn'n Love" Relive Elvis in Hawaii Concert 7:30pm

Maui Arts & Cultural Center
tickets

4/28: Cazimero Lei Day Concert

5/2-3:Hawaii Small Business Conference

5/05: The Green, Iration, Anuhea, Jordan T reggae

5/11: Starry Night Cinema: Wall-E

5/16: Josh Smith and His Power Trio blues

5/17: Josh Tatofi Ku'u Leo Aloha "The Voice of Love"

5/19: 10th Annual Maui Brewfest

5/25: artist to Artist: Henry Kapono & Malani Bilyeu

Mulligans On The Blue Tuesdays

6:30 pm Free Magic Show

9:00 pm Open Mic Comedy

37th Annual Season Maui Classical Music Festival info

5/04: Basically Beethoven

5/07: Tangos and Romance

5/09: Hana Community Concert

5/11: Festival Finale

Things couldn't be better on Maui right now. Spring is in the air, and while that means tornadoes, snow, and flooding in many parts of the nation ... it's all paradise here. There are plenty of visitors here now that are tempted to get their own piece of paradise, and inventory is limited. If you're even thinking about selling your property, give me a call and I'll give you a confidential no obligation estimate of your property's value. Likewise, if you're considering adding to your real estate portfolio, you might want to lock in those low interest rates now before the Fed raises their rates again. As a fellow Mahana owner with over 30 years experience in the Maui market, you can't put yourself in better hands. Remember, we are 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.

John

Broker/Owner