Volcano realty market at a standstill

With the most devastating phase of the Kilauea eruption relatively over, some locations of the Big Island property market are in a stronger position than others.

“Well, Volcano’s dead,” stated realty agent Pat Halpern, bluntly summarizing the state of the market near the center of Kilauea’s continuous seismic activity.ADVERTISING For more than a month,

Halpern said

, no brand-new home sales have actually been made in Volcano Village. Halpern stated she has one Volcano residential or commercial property bound in escrow, while a coworker of hers recently had another home in escrow cancelled when the buyers got alarmed.”I think individuals have found out about all the earthquakes and the cracks in the road,”Halpern stated.” We remain in a holding pattern until something modifications. “Volcano Town, situated not far from Hawaii Volcanoes National

Park, is wrecked by almost constant tremors from Kilauea top, with daily collapse events launching energy equivalent to a 5.0-magnitude earthquake. The relentless shaking has taken a toll on the village’s roadways, with a number of fractures developing on Highway 11. Halpern, who resides in Volcano, stated she has heard couple of grievances from home holders about direct earthquake damage to their properties, but admitted that the quakes are a difficult sell for potential buyers.While Volcano’s market was strong prior to the eruption, Halpern stated she anticipates a downward change in house prices once the market gets once again.”In fact, I thought even before all this that they were a bit over-valued,”Halpern said.While Volcano’s realty market is among

the hardest-hit, Puna District, where Volcano is located, has actually suffered less of a decline than might be expected.According to sales

data, by the end of April there had actually been 18 more property sales in Puna than the exact same point in 2017, a boost of more than 6 percent.

However, by the end of June, that number had reversed, with 6 percent less sales than by the very same point last year.Despite this, the average sales price of homes in Puna remains more than 5 percent higher as of June than it did last year.Halpern stated lots of lava evacuees are opting to transplant somewhere else

in the Puna District. Locations such Hawaiian Paradise Park, Orchidland and Ainaloa are especially active markets.”We’ve had a great deal of homes [in Puna] just sitting for months with no offers,”said C. Kapono Pa, president of Hawaii Island Realtors.”Some were unpermitted structures, others were simply smaller single-family homes. All of an abrupt after the eruption, we got multiple deals on a lot of them.”Pa stated he expects that even as sales numbers increase in certain Puna communities, the median sale costs will reduce as time passes.Pa forecasted that ultimately, Pahoa may become”the brand-new Volcano Village, “attracting retirees and visitors alike with its close proximity to the lava flow.Halpern and

Pa both stated numerous Puna evacuees are also looking for properties in lower-risk lava zones, although for numerous, neighborhoods further north are likely out of

their rate range.The typical list prices for North Hilo residential properties this year to date has actually risen to$575,000, an almost 60 percent increase from last year.

South Hilo properties are partially more budget friendly, with a median rate of$349,750, only a 4 percent boost from 2017. Both the number of property sales and the overall sold property acreage in South Hilo this year are below in 2015 by 12-14 percent.ADVERTISING On The Other Hand, North Kona’s property sales volume, sales numbers and typical rates are all up from last year.Email Michael Brestovansky at mbrestovansky@hawaiitribuneherald.com!.?.! PREVIOUS STORY Public Security chief expresses remorse for mistaken release of murder suspect; male back in custody NEXT STORY Sunday top collapse-explosion measures 5.4