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Monday, August 10, 2009

Is it a good time to buy a Maui Condo NOW?

Aloha to all our Hawaii blog visitors, our regulars and the drop-ins,
The Sharks, Rays and Whales on the most wanted Youtube Video post took off right from the start. It was fun writing the post and sharing this spectacular video with everybody. Best Hawaii Vacation blog visitors and our Hawaii friends liked it a lot. I am sure Jon got quite some extra traffic for his video from our blog, and he deserved it.

As mentioned before, visiting other Hawaii blogs and Hawaii twitter friends is a steady source and pool for new ideas. A recent post by our friend Julie from 'Maui Vacation Guide' about Short Sales of Maui Condos got my special attention this time. Reading Julie's article on low price short sale offers for Maui condos for sale, triggered my curiosity to that extend that I thought Maui condo short sales will hit a nerve and attract the attention by a lot of our Hawaii blog visitors. It seems time to talk 'Hawaii Real Estate' again. This time specifically about 'Is it a good time to buy a Maui condo NOW?'

My first action to prepare this post was a Google search for Maui condos for Sale and peruse a big number of those top search result sites for Maui condos. Bottom line, there is quite a number of Maui real estate sites which focus on Maui condo for sale real estate market trying to lure the 'Mainlanders' hungry for Hawaii sun to buy a Maui condo now.

I liked those sites which provided in addition to the basic condo info like:
- Asking price
- Maui condo resort location
- condo bedroom + bathroom number

additional detailed condo info like:
- Is the condo zoned for vacation rental?
- Condo monthly maintenance fee
- Annual Taxes
- Sales history

The prices for Maui condo short sales are really tempting but be aware of that the banks take their time to 'collect' a number of offers for a certain short sale condo and decide for the highest offer after 3 - 4 months or even longer. If you are not in a hurry, try your luck. Maybe your nice cash offer will be accepted by the bank. In any case, that's probably the lowest price for Maui condos, not just short sales, I have seen in a long time. So, is it a good time to buy now?

Believe me, not just us regular folks wonder whether the Hawaii Real Estate market has reached the bottom or will even further slow down, meaning Maui condo prices will even come down more. The following article about reaching the bottom and about current trends in Hawaii Real Estate market by Michael Gallagher shows you that Hawaii realtors can't guarantee either whether this is now the best time to buy a Maui condo. One thing is for certain though, Hawaii real estate market will recover as it always has. There is no place like Hawaii! The decision is yours. Before you buy a Maui condo, here are 3 facts you need to know when buying a Maui condo NOW.

3 Facts to know for buying a Maui Condo

1. Maui Condo Vacation rental zoned

If you don't want to move to the island of Maui permanently and consider spending 2 - 3 months on Maui in winter, you want to rent out your Maui condo for the rest of the year at the best rate you can get. Lots of things have changed recently in the Maui vacation rental scene recently. Make sure that the condo you buy is in a vacation rental zoned condo resort or complex. If the complex got 'grandfathered' in, make sure the condo complex bylaws state 'short term rental allowed'. BTW, Maui legislature is still dealing with making more vacation rentals legal.

2. Maui Vacation Rental business Slowdown

Remember the economic slowdown has a big effect on family's capability to go and spend some extra money on vacation. Hawaii vacations got postponed by many families this summer. Summer 2009 in Hawaii was one of the slowest high season summer months for vacation rentals in years. Hawaii visitors who stuck with their travel plans to the islands, received deals they had never dreamed of. Good for them. However, vacation condo rates did often not cover the expenses Maui condo owners have like high monthly maintenance and annual taxes. Good news: Winter months look much better for Maui vacation condos!

3. Maui condo Property Management

Be aware that renting your Maui condo as a vacation rental requires knowledge, business skills and means to advertise it. That's why the majority of Maui condo owners rely on property management companies. Maui property rental managements charge for booking and renting you condo fees between 20 - 25%. You might want to check and compare. I even found out that one of the biggest Maui management company charges a monthly fee whether they book your condo or not.

BTW, when you are not a permanent Hawaii resident, you need a Hawaii agent to act on your behalf which is another reason that Maui condo owners decide for a Maui property management company. Lots to think about when you want to make some money from your Maui vacation condo.

Do you think 'It's a good time to buy a Maui condo NOW?' Our Best Hawaii blog visitors and we'd love to hear from everybody, whether Hawaii realtor or lay people like us. Mahalo and aloha, Pua Hawaii Vacations

Hawaii Real Estate Related Articles

2009 Hawaii Real Estate Market

Best Price Hawaii House for Sale
Hawaii Real Estate Market 2008
Will falling prices in Hawaii Real Estate attract new home buyers?

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