The Honolulu Star Bulletin recently reported that prominent local economist Paul Brewbaker has predicted a $1 million median home price for Oahu by the year 2020. This forecast comes amidst a second successive month of a rise in median home prices throughout the island.
I think things are off and running again,” Brewbaker said yesterday after studying the most recent housing data from the Honolulu Board of Realtors.
Last month, single-family home sales rose 21.7 percent to 157 from the year prior’s 129, according to HBR statistics. More than half of those homes sold for $570,000 or more, representing a 3.6 percent climb in the median home price on Oahu. Condominium sales soared 44.4 percent to 231 from the 160 that changed hands in February 2009. The median price paid for a condominium rose 0.3 percent to $298,000 from the last year’s $297,000.
Though the million dollar benchmark may pose as a dramatic increase to many, much of the Hawaii community see this as simply inevitable change which rises with inflation. Despite, this prediction comes as yet another indication that the housing market has begun its road towards recovery since its decline in 2008. With interest rates remaining exceedingly low, and the discontinuation of the homebuyer tax credit at the end of April; many in the industry believe now is the time to buy.
The entire article may be accessed here: $1 million median forecast
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