Randy L. Prothero - Hawaii REALTOR®

I have watched lenders one by one drop like flies over the last few months. I see commercials telling consumers in trouble to contact their lender, because they want to help them. I honestly do not believe it. Have you ever tried to contact a lender for a short sale packet or to discuss not being able to make the payments and the need for some relief? Fortunately I have not been in that situation, but know several folks who have. They all have a consistent story. The lender would not take their call.

I personally have avoided doing short sales as much as possible. Dealing with the delays and the non-sense from the lenders just does not seem like it is worth the trouble. Buyers I work with so far have not tried to buy one. (thank goodness)

Currently I am working on a REO sale. The bank took the home back through foreclosure and has it listed with a real estate agent. She is a very good agent in my area that I know. We put in an offer and got a verbal acceptance. It has been over 3 weeks and we still do not have documents back from the seller (bank). While waiting to get this in escrow the interest rates have gone up a little. (Bad for the buyer.)

As time passes the buyer's excitement about this property is being replaced with doubt. If rates climb again it may be replaced with moving on.

When we put in the offer, we were told we could get a response in as fast as 24 hours. They must be using the metric system. If this takes much longer, the lender will be looking for another buyer.

So if these lenders are so overwhelmed with so many properties to deal with, would it not make sense to expedite the ones they can and get them out of the way? Wouldn't logic say that they are losing even more money by their incompetence and lack of urgency?

How many more folks out there feel the same as I do? If I had my choice I would avoid dealing with the lender controlled sales. With them creating that negative environment they are causing even bigger loses. Over the last year, I have read many articles and blog posts about this problem, yet if anything the lenders have gotten worse. I guess they simply do not care.

The Kaneohe communities (zip code of 96744 and some connecting neighborhoods) have seen changes in the real estate market.

Single Family homes sales have softened. Average sales prices of single family homes year to date are up slightly. In the month of September we saw a slight dip that was mostly attributed to an increase in sales volume of lower priced homes. Sales volume saw a bump in September, but year to date is still down form the 2007 levels. Inventory levels are high with more than a years worth of inventory. If current conditions continue buyers will find sellers may be a little more negotiable.

Condo and townhouse prices are a little rosier. Inventory level has climbed to over a years worth in the Kaneohe area. Prices although year to date have seen stable, but with the inventory levels climbing we may see pricing pressure on the sellers. Buyers should be able to find room to negotiate on many of the condos for sale in the Kaneohe area.

Currently Active for Sale (as of 10/3/08):

• 215 Single Family Homes
• 116 Condos/ Townhouses

Currently in Escrow (as of 10/3/08):

• 32 Single Family Homes
• 22 Condos/ Townhouses

*These numbers were taken from the Honolulu Board of Realtors MLS system and are deemed to be accurate, but not guaranteed.

You can find out more about real estate in Hawaii at: www.HawaiiRandy.com

Or at: www.localism.com

This report covers areas including: Kalihi Area, Kalihi Valley, Kalihi Uka, Kalihi upper, Kalihi Kai, and Kalihi Lower, which is part of Honolulu, Hawaii. These numbers reflect only the totals and average sale prices.

Single Family homes sales have softened. Average sales price of single family homes has slipped a little year to date. The big issue is that sales volume has plummeted considerably. With more than 9 months worth of inventory and low interest rates buyers will find the Kalihi area a good place to negotiable sellers and the home of their dreams.

Condo and townhouse sales are another story. Year to date, the average sales price has stabilized while sales volume is down. In September there were no condo sales in either 2008 or 2007.

Current Active for Sale (as of 10/3/08):

• 41 Single Family Homes
• 7 Condos/ Townhouses

Currently in Escrow (as of 10/3/08):

• 10 Single Family Homes
• 1 Condos/ Townhouses

*These numbers were taken from the Honolulu Board of Realtors MLS system and are deemed to be accurate, but not guaranteed.

You can find out more about real estate in Hawaii at: www.HawaiiRandy.com

Or at: www.localism.com

This West Loch sales report covers both Westloch Estates and Westloch Fairway (part of zip code of 96706) in Ewa beach, Hawaii.

West Loch has seen an increase of inventory and some slippage in sales volume and average sales price. Sellers will find a lot of competition, while buyers will find some really good values in West Loch.

Currently Active for Sale (10/3/08):

• 29 Single Family Homes

Currently in Escrow (10/3/08):

• 1 Single Family Home

*These numbers were taken from the Honolulu Board of Realtors MLS system and are deemed to be accurate, but not guaranteed.

You can find out more about real estate in Hawaii at: www.HawaiiRandy.com

Or at: www.localism.com

The September 2008 numbers are in.

Single Family Home Sales saw a major dip in the median price and sales volume from August and the same period last year. While prices had been fairly stable until September the challenges in the lending industry and tourism industry may have finally hit us in a more substantive way.

Condominium Sales had a larger drop in volume and median price.

With interest rates still holding on the low side and inventory level up a little; buyers should see it a good time to take advantage of the market conditions in most areas.

Sellers need to be more aggressive than past months if they want to be successful.

A few communities are struggling much more than others. I will be posting individual community market reports over the next week. If you have a particular community you are interested in, please let me know and I will try to post it first.

*These numbers were taken from the Honolulu Board of Realtors MLS system and Old Republic Title. They are deemed to be accurate, but not guaranteed.

You can find out more about real estate in Hawaii at: www.HawaiiRandy.com