August 2024 - A-TEAM OAHU - Panana Newsletter & June 2024 Market Report

Aloha August!! August is the perfect month for a move! With back-to-school season just around the corner, families are in a rush to find their dream homes and get settled before the school bells ring. Sellers, meanwhile, are making their properties shine to catch the eye of eager buyers . It's a time of backyard picnics and sunny days, perfect for exploring new neighborhoods & open houses. So whether you're searching for a city condo or a suburban sanctuary, August offers a golden opportunity to make your real estate dreams come true! AUGUST 2024 NOTABLE DATES AUGUST 1: International Mahjong Day AUGUST 3: National Sunflower Day 🌻 AUGUST 4: National Coast Guard Day 🛥️ AUGUST 8 : International Cat Day 🐈& National Pickleball Day 🏓 AUGUST 9: International Day of the World's Indigenous Peoples. AUGUST 12: International Youth Day👫 AUGUST 13: International Left Handers Day 👋 AUGUST 19: World Photography Day📸 AUGUST 27: World Rock Paper Scissors Day ✂️ AUGUST 30: International Whale Shark Day🐋

Real Estate in the News THE NAR SETTLEMENT: Key Terms that Impact Our Clients As background, National Association of REALTORS ("NAR") Recently entered into a settlement agreement for a class-action lawsuit, alleging unfair practices, much of which involved real estate buyers' agents' comissions being determined by the seller of a property and paid through the listing brokerage. The lawsuit also alleged that other NAR practices and policies, such as allowing only MLS members to access lockboxes, restricted competition. NAR and many member brokerages, such as COMPASS, agreed to settle this lawsuit, without admitting fault, with settlement payments and by instituting the following practices, which impact our clients. 1. Settlement Payments. If you sold a house listed in MLS after October 31, 2019, you may be entitled to a settlement payment, reportedly averaging around $13. You can call 888-995-0207 for more information on whether you are part of the class and entitled to a payment. 2. Compensation Offers Moved off the MLS. NAR has agreed to put in place a new rule prohibiting offers of buyer-agent compensation on any MLS. Offers of compensation to buyer-agents will continue to be an option that consumers can pursue off the MLS in any of 3 ways: - for sellers, commissions offered through their listing agents' communications with buyers' agents, other non-MLS websites, and other non-MLS marketing materials, - for buyers, commissions offered in the buyers' representation agreement, and - for both buyers and sellers, commissions negotiated with each other in the purchase contract, in consultation with their real estate professionals. Commissions were always negotiable, but it is now express that buyer-agents may be compensated in a variety of ways. While sellers cannot mention buyer-agent compensation in the MLS, they still may offer buyer concessions on an MLS (for example—concessions for buyer closing costs). This change will be mandatory starting August 17, 2024. 3. Written Agreements for MLS Participants Acting for Buyers. While NAR has advised the use of written buyer agreements for years, in the settlement, NAR has agreed to require all MLS Participants working with buyers (buyer-agents) to enter into written agreements with their buyers before touring any home. This means that all buyers will be required to sign a buyer representation and compensation agreement with their buyer-agent to see any property, including virtually. This will not apply to a potential buyer simply viewing at an open house, but the minute a buyer begins "working with" an agent, including a listing agent, this rule will apply. This change will be mandatory starting August 17, 2024. It appears that this lawsuit is attempting to shift the buyer agent commission from where it traditionally has been, with the seller, to the buyer. However, as a practical matter, the buyer is the only party bringing money to the table, so they were already paying the buyer-agent commission as part of the purchase price of the property. When paid directly by the buyer, the buyer-agent commission cannot currently be part of the amount financed by the buyer. This can be a detriment to many buyers, who may not have enough cash for both down payment and commissions. This could result in some buyers refusing to see and/or offer on homes where the buyer-agent commission is not offered, to the detriment of these sellers. Other buyers could go unrepresented, to their detriment, which is the consumer protection reason that cooperating compensation was originally instituted. 4. NAR Continues to Deny any Wrongdoing. NAR has long maintained—and we continue to believe—that cooperative compensation and NAR’s current policies are good things that benefit both buyers and sellers. They promote access to property ownership, particularly for lower- and middle-income buyers who may have a difficult-enough time saving for a down payment, and who may not be able to pay buyer-agent compensation unless it is part of their financing. It is also beneficial for buyers to have an experienced agent, with a fiduciary duty to them, who has their interests at heart and can help them locate neighborhoods, properties, and navigate their way through a complex, high-dollar-value transaction. Moreover, when sellers pay buyer-agent commission, they will expand their market of eligible buyers. Certainly, buyers will also factor whether they are paying buyer-agent commissions into the total purchase price they are willing to pay seller for a home, so sellers not offering compensation may predictably fetch lower prices for their homes..

Major Changes Are Coming for Hawai‘i Homebuyers and Realtors Read more about the NAR settlements will affect how real estate agents are paid. Hawai‘i brokers weigh in on what to expect next. Courtesy of Hawaii Business Magazine

In June, single-family home sales went up by 4% year-over-year, totaling 258 transactions, while condo sales took a hit, dropping by 24.5% with 355 units sold. Median sales prices for single-family homes and condos saw modest increases, with single-family homes reaching $1,120,000 and condos at $530,000, up by 6.7% and 3.9%, respectively. Single-family homes spent about 15 days on the market, while condos took around 26 days. New listings for single-family homes and condos went up by 3.1% and 16.3%, and active inventory for single-family homes and condos grew by 2.0% and 4.7%. Single-family home inventory increased by 7.9%, totaling 653 properties, and condo inventory surged by 49.2% to 1,729 units.

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Local Happenings

AUGUST 2024 Blue Note August Shows Check out the Blue Note's August lineup to shake off the summer heat. Polo Match Sundays Every Sunday until Labor Day weekend Sun, surf, and fast horses all add up to make the perfect day in the country, but the fun doesn’t stop at the end of the match; the bar remains open and the band plays until dark. More info here. August 17-25 Duke's Oceanfest Duke's OceanFest, held each year in late August on the shores of iconic Waikiki Beach, where Duke groomed his athletic skills that elevated him into becoming the pioneer of “Waterman”, an Olympic Champion, and the Ambassador of Aloha, celebrates the life and legacy of Duke Paoa Kahanamoku. More info here.

Lifestyle Tips and Tricks.

Read More Courtesy of Sunset Magazine 7 Backyards That Prove You Don't Need a Pool to Have Fun in the Sun No pool? No problem.

The Recipes You Should be Cooking in August. As Summer draws to a close, let's cherish the remaining moments and relish the ripe produce and other seasonal delights, before many of us head back to school and our regular routines. Read More Courtesy of Sunset Magazine

Listings

ACTIVE Chateau Waikiki - Honolulu 411 Hobron Lane, Unit 2002 VA ASSUMABLE!! 1 BD 1 BA 552 SF $518,000 Windward Passage - Kailua 322 Aoloa Street, Unit 612 NEW PRICE!!! 3 BD 2 BA 1244 SF $915,000 Kakaako 987 Queen Street, Unit 2105 1 BD 1 BA 493 SF $738,000

IN ESCROW

Mahinui 44-464 Aumoana Way 4 BD 3 BA 2756 SF $1,998,000 REPRESENTING BUYER! Haha'ione Valley 941 Hokulani Street 4 BD 3 BA 2326 SF $1,760,000 JUST SOLD Kaaawa 51-002 Lau Place 3 BD 2 BA 1242 SF $1,185,000 Lilipuna 45-111 Alina Place 4 BD 2 BA 1720 SF $1,505,000 REPRESENTED BUYER Ewa Gentry 91-1841 Keaunui Drive, Unit 521 3 BD 2.5 BA 1302 SF $907,000 REPRESENTED BUYER Kakaako 987 Queen Street, Unit 1509 0 BD 1 BA 364 SF $580,000 REPRESENTED BUYER Kakaako 987 Queen Street, Unit 1716 0 BD 1 BA 347 SF $600,000 REPRESENTED BUYER Manoa-WOODLAWN, HONOLULU 3036 Kahaloa Dr, Unit 2 2 BD 2 BA 1016 SF $1,419,500 Manoa-WOODLAWN, HONOLULU 3498 Alani Drive 3 BD 2 BA 2302 SF $1,900,000

COMING SOON & PRIVATE EXCLUSIVES off-market listings marketed or pre-marketed exclusively to only our clients Call us to get a sneak preview!

KOKO ISLE - HAWAII KAI 822 Koko Isle Circle, Unit #2207, Honolulu 4 BD-3 BA 1,670 SF Listing Price TBD ~ Please call for More Details

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Compass is a licensed real estate broker and abides by Equal Housing Opportunity laws. All material presented herein is intended for informational purposes only. Information is compiled from sources deemed reliable but is subject to errors, omissions, changes in price, condition, sale, or withdrawal without notice. No statement is made as to the accuracy of any description. All measurements and square footages are approximate. This is not intended to solicit property already listed. Nothing herein shall be construed as legal, accounting or other professional advice outside the realm of real estate brokerage. Photos may be virtually staged or digitally enhanced and may not reflect actual property conditions.

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