Neighbor Island Report: Sales plunge

From the Star Bulletin comes this report that sales have declined dramatically on the neighbor islands:

» On the Big Island: Only 169 homes were sold in August, compared to 256 at the same time last year.

» On Kauai: Sales dropped to 35 in August compared to 56 at the same time last year.

» On Maui: Sales fell to 95 compared to 129 in August 2005.

Prices were up on Maui and Kauai, but Big Island prices have fallen 14% over last year.

Home sales were notably lower in the high-end resort areas of North and South Kohala. Only 11 homes were sold in South Kohala, compared to 29 in August 2005.

"Whether the market turns, whether up or down, resort areas are always the ones to feel it first," said Dana Kenny, broker in charge of Hawaiian Island Homes in Hilo. "The market has slowed here, and you're seeing some price adjustment. But I don't believe we're looking at a market-turn type of situation as much as a correction."