In my job as a realtor I spend countless hours studying, analyzing, and interpreting the ever changing dynamics of Hawaii Real Estate Demographics. Demographic studies require an understanding of people’s habits, needs, and desires and since we’re all human this is an ever evolving process. The trends of today are important to consider as a barometer for future change. In real estate this applies to neighborhoods, schools, commercial developments, health facilities and other factors affecting how and where we live. Every client has different goals in their lives relating to family, jobs, education, recreation, and other needs and this affects their choice of living area.
The demographic pattern of buyers is helpful to determine where to focus marketing capital to attract buyers. Keeping track of economic forecasts and other information is a daily part of my job. As an example, mid year forecasts predicting a rise in existing home sales is always welcome news and it’s my job to keep my clients informed. One of the constant challenges in real estate is the balance between inventory and sales. Currently, with the continuing robust sales in Hawaii, inventory is down which makes it that much more difficult to match a buyer to their desired property. Although normally a lack of inventory would indicate a rise in prices, buyers have become more patient and willing to wait for pricing that reflects reasonable value. The current forecast of a 3.5% rise in home prices by year end supports this trend. The real estate market in Hawaii and throughout the world topped out in late 2004 and gradually declined and became a bubble in 2005. By 2007 a full crisis had developed and in 2008 the economy along with the housing market hit full recession territory. Although it took a while the economy did recover, the frayed nerves and fading memories have made today’s buyer more cautious and less likely to speculate on hypothetical returns. Instead, they seek primary residences, solid investment property and affordable second homes. My mission is to obtain as much demographic, economic, and other information from a multitude of sources so that I may represent my buyers and sellers in a thoughtful, intelligent manner that maximizes my value to them.