| 3rd Quarter Residential Market Report for 2009: | | | | Lower end homes in Hilo town have shown price |
| ***source of data is from Hawaii Information | | | | stability over the past few months in the $175k |
| Systems. 3rd Quarter 2009 Stats as of 10/2 | | | | to $225k range. If the Federal Government |
| 2009 | | | | chooses to extend or create a new home buying |
| YOY - Residential Sales for the Entire Island rose | | | | tax credit then activity and sales could be |
| 25.27% from 273 (2008) to 342 (2009) | | | | affected in a positive way. |
| YOY - Residential Median Price for the Entire | | | | South Kohala resort markets in general have |
| Island was down 18.75% from $320,000 (2008) | | | | shown some softness. While much of the market |
| to $260,000 (2009) | | | | is driven by the visitor count and a second home |
| Summary by District: | | | | demand from out of State, there are a few signs |
| Puna median home price has seemed to hit a | | | | that a recovery will occur over the short term (in |
| plateau and the short sales and REO's sales have | | | | certain resort markets). The exclusive |
| been fairly consistent. New homes in Hawaian | | | | developments of the Kukio and Hualalai node, |
| Paradise Park (REO) have been consistent over | | | | which services the higher end of the resort |
| the past few months in the high $100's. I tend to | | | | market, has experienced record sales volume |
| believe that specific neighborhoods such as | | | | over the past few months, but at a substantial |
| Hawaiian Paradise Park have performed fairly | | | | discount off listed prices. In some cases resales |
| stable. | | | | have reflected discounts of 20 to 40 percent off |
| As with all residential markets, outside of the | | | | the listed and acquisition prices. We believe some |
| Resort areas, the main concerns are the | | | | of these sales to be a real value in this market. |
| continued loss of jobs and the furloughs (loss of | | | | While the other districts are distinct in their own |
| income) for our many government employees. | | | | nature and the type of Buyer's who will purchase |
| These factors along with a prolonged slump in | | | | in these areas, the activity is too low to comment |
| tourism could have an ever increasing negative | | | | on directly. From an overall perspective no district |
| effect on the overall residential market. | | | | lives in a vacuum and direct or indirect forces on |
| South Hilo has showed stability in activity over the | | | | our local and national economy will continue to |
| past 3 quarters, but overall median prices have | | | | way heavy on the activity and values in these |
| continued to fall. The same concerns of job loss | | | | market. |
| and loss of income to the general workforce are | | | | That being said, there has been a significant drop |
| overriding concerns for market performance. | | | | in prices over the last couple years and there is |
| There is some value in the market as some | | | | value in the market. |
| Seller's have priced homes effectively (to sell). | | | | |