Here is an updated Market Conditions Report for Hilo:
Market Conditions Report
* Hilo *
Area Characteristics:
Hilo is the second largest city in all of Hawaii. Most of the services and businesses on the east side of the Big Island are located in Hilo. It is also home to the county seat and includes the county, state, federal, and judicial buildings. While Hilo tends to be a rainy place, the weather patterns are not always predictable. Several weeks or months may go by without any substantial rainfall. Nearly all of the important educational and financial institutions are located in Hilo. Visitors and residents find Hilo to be a “local” town with warm and friendly people. While tourism is very important to the east Hawaii economy, it does not dominate, as in Kona.
Buyer’s or Seller’s Market:
On a scale of 1 to 5, with 1 being a buyers market and 5 being a seller’s market, Hilo is at a 2. This is a buyers market.
Recent Price Trend:
On a scale of 1 to 5, with a 1 reflecting sales prices down and 5 reflecting prices up, Hilo is “Down”, with a rating of 2.
Market Report Narrative:
Unlike other areas, such as the Puna District (south of Hilo), there has not been a tremendous drop off in the asking or selling prices of homes in Hilo. When comparing the data from 2005-2006 to 2006-2007 the drop has been less than 10% for those homes priced $500,000 or less.
This is an excellent time for first time home buyers to negotiate a deal.
Hilo is roughly divided into 5 areas according to tax key. The area along the ocean (3-2-1) has zero properties for sale at $500,000 and under. The remaining areas (3-2-2, 3-2-3, 3-2-4, 3-2-5) have 121 listings with an average listing price of $364-380,000. Please note that one of these areas, Kaumana City, does not have county water and features the most affordable homes, some of them with spectacular views of Hilo Bay at an elevation of 2000 ft.
If you want to be close to the heart of activities, live in a town that retains its charm, and enjoy the beauty of Hawaii, then Hilo would be your first choice.