I'm only exaggerating a little. Even though inventory in Hawaii is about flat in the last year, a lot of the homes for sale in East Oahu are in need of serious renovation.
When I take buyers to Ewa beach or Kapolei or Makakilo, there are plenty of nice houses for sale and we get to be picky about what we look at. In fact I had over 20 homes to show a client a couple weeks ago in Ewa.
But when I look for homes in Hawaii Kai, Diamond Head, or Kailua, which are my specialities, I see a lot of run down, small, poorly decorated homes. If you decorate a house nicely and update it with modern flooring and windows, it sells quickly at a price almost over the market. Yes, over the market.
That's because there still isn't much for sale right now. Inventory in Hawaii hasn't risen like in other states. Bottom line - the market on the east side of Oahu has gone down only slightly, while the west side has gone down a lot. Can a small island like Oahu have small pocket markets like this? You bet it can! Even from one street to the next you can see huge price differences.
So if you are thinking that the Hawaii market is going down, you're wrong and you're right. It just depends on which side of the island we are talking about.