The Cheapest and Most Expensive Homes for Sale in Maui:
Why Are Maui Homes For Sale Cheaper than Oahu?
Oahu is famous for Waikiki Beach and Hanauma Bay, Pearl Harbor and its military bases. It is also famous for its crowding. Honolulu is the country’s most congested city, with traffic even worse than Los Angeles, according to the INRIX Traffic Scorecard in 2014.
Maui is a little larger than Oahu, but it has fewer than 200,000 people, as compared to the million or so who live on Oahu. It is Maui’s relatively un-crowded state that makes Maui real estate a bargain compared to Oahu. The main industries on Maui are tourism and agriculture, and its more relaxed permitting process means more homes come onto the market per capita than Oahu as well.
How Much Do Homes in Maui Cost Compared to the State Average?
The median home price for the entire state of Hawaii, according to Zillow, was $550,800 in September, 2015. This was a 5.4% increase over the prior twelve months. The housing prices for the entire state are expected to grown almost 3% in 2016. Oahu’s market is growing at five to ten percent a year, while some homes for sale in Hawaii are almost flat or slowly growing but no where near their pre-recession highs.
The median price for single family homes for sale in Maui was around $550,000 as of August, 2015.
The Most Expensive Real Estate on Maui
The most expensive areas on Maui are around Paia, Wailea-Makena and west of Maalaea. Wailea-Makena commands high prices because many residents have the ocean before them and the Wailea Emerald Golf Course or Makena Golf Course behind them.
The most expensive homes overall were in Kaanapali, with a median price of almost $2,000,000 in the spring of 2015. And that is a 16% increase over the 2014 median home sale price.
Based on average sale prices in August, 2015, Kapalua won the title of the most expensive homes for sale in Maui with an average price of nearly three million dollars per property. The median home price was equally high at 2.8 million dollars, though this was actually less than the median price of Kapalua homes sold in the first months of 2014.
Lahaina was a close second with a median price of 1.9 million dollars. Lahaina contains a large number of four million dollar or more condos, as well as large 2,800 square foot condos near the beach. The average price was comparable in the middle of 2015, an average of roughly $800,000.
Olowalu homes had a median price of one and a half million dollars in early 2015. The average, factoring in smaller properties, was nearly $900,000.|
Wailea and Makena had a median selling price of roughly 1.2 million dollars. The Wailea/Makena area had an average selling price of $3.8 million, pulled up by a few spectacularly priced properties. Maui Meadows single family homes are selling for a median price around a million dollars apiece. The average, weighted by a number of smaller and more affordable properties, was half a million. Wailea – Makena’s median sale price was actually up 28% over 2014’s values.
Paia had one of the highest home value indexes as well, $599,600 in the fall of 2015. Its home value index according to Zillow was $673,700 in October, 2015. Paia’s average home selling price in August, 2015 was a much higher $900,000, as many luxury properties come onto the market. Lahaina had a median home value of $510,000, though the average selling price of new homes was closer to $800,000. Makawao was a little cheaper with an estimated home value index of $500,000. Its average selling price for the fall of 2015, however, was around $714,000. These numbers reflect the upscale development in the area increasing the median and average sale price, though average home values remain much lower. Canadian buyers who have been hard hit in oil price dependent areas like Fort McMurray find the pricing in Maui less challenging than the price of Fort McMurray real estate, but the U.S CAD exchange still makes buying difficult.
The median sale price of homes in the 96761 zip code was $415,000. The median sale price is preferred over the average home as a way of determining the expected price of real estate in an area because it isn’t as readily skewed upward by the price of the occasional ten million dollar homes for sale in Maui.
The lowest median sale price by zip code in September, 2015 was the 96793 at $385,000. This zip code is where Kahului is located. Central Maui had a lower than average sale price of $471,000 in August, 2015, though this is a 23% rise over its average sale price in the summer of 2015 of $384,867. This startling rise is due to the fact that many people who live on the island are bidding up the more affordable homes in the area that cost less than $400,000 to nearly $500,000 because almost all new housing stock in the area is far more expensive.
The cheapest city in Maui County is Kaunakakai with a median home value of roughly $222,000. The community’s median market price didn’t break $300,000 even during the 2007 housing boom. Lanai City had housing value index of $288,000 in the third quarter of 2015. Wailuku has a home value index of $376,800. Kahului is mid-market, costing around $390,000.
Hana is on average one of the cheapest neighborhoods in Maui. The community has a home value index of $607,000 as of the fall of 2015. However, this mature community features many affordable homes for sale, ranging from fixer uppers to lots available for redeveloping. This neighborhood also saw 86 homes foreclosed upon per 10,000, a much higher rate than most of the state, so this is one of the few communities where distressed properties are still available.
Many of the cheapest homes for sale in the Maui real estate market are in east Maui. Nahiku, Maui homes for sale sold for a median price of $316,000 at the end of 2015.
The Maui County Quirk
Maui County includes Molokai and Lanai. If you’re looking for an affordable slice of paradise and don’t mind the rural lifestyle, the median price of a home for sale on Molokai was $225,500 at the end of 2014. On Lanai, the price was $342,500 at the end of 2014.
Par the Course
In all this discussion of the most expensive and more affordable real estate on Maui, the next question many readers ask is where the average priced homes are located. Homes for sale in the 96799 zip code sold for a median $678,500 in the first quarter of 2015. Homes selling in the zip codes 96753 and 96768 were cheaper, at $440,000 and $460,000 respectively. These neighborhoods are inland, so many homes are more affordable because you are giving up premium views and access to the ocean.