Today, the Sotheby’s International Realty network,  welcomes our newest affiliate company, Hong Kong Homes. The addition of Hong Kong Homes to the Sotheby’s brand completes the Pacific Rim circle that expands from Hawaii to Japan to Singapore to Hong Kong, an already proven and established source of clientele for Hawaii Real Estate. Hawaii is not all that big, with just over one million people throughout the entire state, one could make the case that our market is limited.  In 1989, when we started the first office of MacArthur and Company on the Big Island of Hawaii,  I realized that if we waited for the buyers to come to us, we were not providing our clients a service.  We were just placing our client’s homes in MLS and waiting for someone to arrive at our door, or at least call us.  We could advertise in every newspaper and magazine in the state, every day, and still our audience was relatively miniscule.  That’s when I began to explore the horizons of marketing Hawaii real estate across the USA and eventually throughout the world.  

 

We started with Estates Internationale, owned and operated by the very progressive and sophisticated marketing genius Robert Kelsey and his talented wife Pam. We began marketing our unique properties through their exquisite publication and we began to develop a network of high-end brokers around the world.   Through that network, at the invitation of Sotheby’s International Realty in 1992, we became an affiliate of this unsurpassed worldwide network. The Sotheby’s Auctions Houses throughout the world partner in the marketing of Sotheby’s International Realty listings.  Their clients are our clients and our listings are visible in their auction houses around the world. Their clients are collectors – connoisseurs of life and they buy the best from art to real estate! Sotheby’s gives us a unique advantage over our competitors to a global pool of qualified clientele that has been discretely developed over hundreds of years.

We have access and credibility. Not to mention the best internet exposure in the world. Look at the Wall Street Journal or the New York Times sites, Sotheby’s International Realty, MacArthur and Company/Sotheby’s International Realty (BigIslandRealE.com).....

Who do you want marketing your Hawaii home?  And who do you think can bring you buyers from everywhere????  

 

I don't know about you, but the earthquake in Chile and the subsequent Tsunami warnings, made me all the more conscious of weather and how events thousands of miles away can impact our lives.

I am happy to report that everyone's response to the Tsunami warnings here in Hawaii was incredible.  We had 15 hours or so of advanced warning with an excellent notification system-especially when you woke up to sound of the sirens that went off at 6AM!  Hawaiians took the warnings seriously and as a result, the evacuations from the low lying areas went smoothly. 

 

Signs  clearly mark when you are in the tsunami inundation zone.  
As people stocked up for potential shortages, one of the only items that the local stores ran out of was beer!

 

I live at about 1000 feet elevation above Keauhou Bay here in Kona, and like the evacuees who went to higher ground, parking along roadsides and parking lots away from the ocean and set up their BBQ's for one huge tail gate party, we did the same. My wife and I sat on our Lanai, had a glass of wine, and fortunately were able to watch what turned out to be a non-event in Kona.  Respect for the land, water, and weather are a way of life here in Hawaii and I am convinced that is what makes this such a wonderful, safe place to live.

 

The Real Estate Bottom Revisited: For those of you following the home sales here on the Big Island and are waiting for the "bottom", last month's sales figures reinforce my comments that we may have seen the bottom a few months ago. In February, sales for the entire Big Island increased by 10.34% when compared to Feb 2009, and by a tremendous 32.61% year to date! For Kona, February residential sales were up 33% and condo sales tripled from the previous February!!!

More importantly, we saw a  jump in median home prices here in North Kona, from $419,000 a year ago to $438,500 this February. As more of the short sales and foreclosures come off the market, there is a good chance this trend will continue.  

 

New HUD Forms: I have one more item to discuss with everyone buying or selling a home this year, and that is the new Good Faith Estimates and HUD-1 forms that you will be seeing this year.
I recently attended a class given by Wells Fargo and Title Guaranty on “The New Good Faith Estimate (GFE) and HUD-1 Forms”, that went into full effect on January 1, 2010.  I found it very informative and I realized that the new forms may be confusing to Buyers and Sellers alike.

As you are aware, the Real Estate industry has faced unprecedented upheaval and change in the past 1½ years.  We have dealt with over 11,000 new or changed government regulations leading to over 600 credit policy changes. Here is a link to look at the form:http://www.hud.gov/offices/hsg/ramh/res/respa_hm.cfm 

 

The new HUD statement can be very confusing, in particular when Buyer and Seller are splitting costs for particular line items, like escrow fees, since new accounting procedures are being used to first reflect the entire escrow cost as an expense to the Buyer and then showing as a credit to the Buyer for the portion being paid by the Seller. All the more reason to have a knowlegeable Real Estate Agent help you with the process.

 

If you have questions, about any of these issues, please call or email and I will be glad to help get you the info you need. 

 

  

On December 14, 2009, the stage was set for 2010, when an ocean front property at Hualalai Resort sold for

$26,250,000. Since then others have fallen in line, two homes on Waiulu Street in the Hualalai Resort are now 

in escrow. An ocean front listed at $17,500,000 and a near ocean front listed for $15,250,000 are both due to

record sometime in March. Once these properties trade, only two truly ocean front homes will remain available

on the island at the high-end luxury level. Both are located in the private ocean front community of 49 Black

Sand Beach. One, listed at $17,900,000 and the other, $19,995,000 respectively.

 

Nearby, the Kukio developer’s ocean front lots at KD (just north of the Kona Village), originally listed in the $11M

range, have been moving as well, with significant reductions. Since January, lots 6,8,9,17,18,13 and 15 have all

sold or are under contract for $4,000,000 each. This ocean front address will join rank with the likes of ocean front

property at Kukio proper, Hualalai Resort, 49 Black Sand Beach, and the Bluffs at Mauna Kea Resort.

It’s refreshing to see buyers coming off the fence at the high end, kicking tires and pulling the trigger to take full

advantage of sellers who have ridden through the dark ages of 2008 & 2009 and are flexible - ready to move on.

In the trade we call these buyers “Smart Money” because of their impeccable market timing.

 

So when the “Smart Money” guys come out to play, as they have, it’s time to sit up and take notice….

 

 

I turn off the Queen K highway and drive down to Puako. I roll down my windows and immediately relax as I breathe in the soft, salty, plumeria infused air. I hear the busy chatter of birds. I see skateboarders scooting along, and the occasional bike with a basketful of groceries from M’s Puako General Store.

I pass by the houses for probably the millionth time, but I still smile at the old shacks and admire some of the new, finely appointed homes, on both the mauka (mountain) and makai (ocean) sides of the street. I love Puako’s unique character, that it’s not your typical resort community: it’s not gated; no required association fees; and it’s enjoyed by vacation home renters and part and full-time residents alike. I love that you can feel the seasons change at Puako; not by leaves changing of course, but by winter’s cooler days and nights, the louder, bigger surf that lures surfers to Paniau at the end of the road; by the whales breaching and tail-slapping right at the edge of the reef drop off. Then summer brings calm waters, warmer days, and plenty of mangoes!

I drive by the home where I spent the happiest memories of my childhood, #78 Puako Beach Drive. Back in the old days, long-term leases were common. My grandmother held a 40-year lease on this 1.6-acre ocean front lot with beautiful brackish ponds, upon which she built a simple vacation home in the old plantation style, and two small guest houses. This property saw me (and my siblings, cousins and friends) through many summers of fishing in the ponds, tide pooling, snorkeling, spear fishing, and devouring mangoes from my grandmother’s beloved tree.

My wife and I knew each other as kids and grew up playing together on this property. Our 1997 wedding was the last celebration our family enjoyed before the lease was up and the property reverted to its original owners (my family tried to purchase it several times over the years, but the owners understandably did not want to sell). With heavy hearts, we had to let it go.

After a time, the original owners did decide to sell (wisely, at the peak of the market, but at a price my family could not afford at that point), and now this remarkable Puako gem, steeped in rich history and happy, loving memories, is for sale again. Though the vintage Puako homes on the lot will most likely be torn down making way for updated tropical dwellings, in my humble opinion, with or without the homes, this is the most spectacular parcel in all of Puako. But I am a little biased.

Lucky are the folks who’ll move in next and start creating their own traditions and memories in unique and magical Puako. 

If you’d like to learn more about #78 Puako or other Puako properties and opportunities, please contact me at 808-987-4218 or email me at brodie@macarthurhawaii.com. I look forward to hearing from you.

The "PINEAPPLE HALE" is an estate residence with excellent architecture and fine features throughout, including granite, marble, travertine floors, cherry cabinets, mahogany doors and pretty pineapple lighting fixtures at every turn!

 

This residence contains two master suites, each with its own private lanai and beautifully appointed master bathrooms. One is equipped with an outdoor shower. There are two additional bedrooms and/or caretaker quarters, also with their own private entrances, baths and lanais!

 

This property is located in "Ke Alohi Kai", a prominent oceanfront gated community in Kailua-Kona just minutes from resorts, golf, surfing, sport fishing and more. 

 

This is a noteworthy property on its own, but given the price of just $899,900. makes this one of the best deals on the island.  This island home is a foreclosure property and the bank has taken title which means it can close escrow quickly and easily. What makes this an additional steal is the neighborhood, located on the makai (ocean) side of world famous Ali’i Drive in Kailua-Kona, HI. (A local developer has his new construction currently listed at $4.7 million!) 

 

Located near Kamoa Point, the same spot King Kamehameha loved to relax and surf with his warriors and attendants to revitalize in the warm ocean waters and magnificent shores! This home exudes relaxed, easy island living. 

 

Begin your daily island adventures here and end the day relaxing here just like Kamehameha did.

 

Click here to view more information on: Ke Alohi Kai 

 

 

Some of my close friends helped me to celebrate my Birthday not too long ago at the Historic Kona Inn

here in Kailua Kona on the Big Island of Hawaii. Still a favorite hangout since its opening in 1928, the Kona 

Inn and its shops, along with my favorite, the Kona Inn Restaurant, have been attracting fisherman, tourist

and the locals for decades as it truly captures the true essence of Old Hawaii.

With the sun beaming, perfect weather and the sounds of the surf rolling in, we had a wonderful afternoon 

relaxing and catching up on old times. It's easy to lose track of time with a staff that treats you like family

and dear friends ~ I couldn't have asked for a better day! Just down the street from the Kona Inn, there is 

a fabulous Ocean Front Home ~ Unbelievable setting!

 

 There is great news as we enter the new year and look at the residential home sales data for the Kohala and Kona coasts of the Big Island. We can see that the sales have continued to improve since the lows in March and April of 2009.        

            

The chart I have included above clearly shows this trend, and may be telling us that anyone who was trying to time the bottom of the market, may have missed it!

  We have seen a lot of sales in the under $400,000 price range, and there is a good inventory all over the Big Island of quality homes in this range. This is something we have not seen in the Kona and Kohala areas since 2004!  The condo market in Kona remains a little weak, but thus far in January, 2010 we have seen a 9% increase in sales over 2009, so things are beginning to look up in that area as well. 
 

There are some great condos available at pre - 2006 prices, and this is great news if you are looking to buy, sell,
or just escape the cold weather and storms everywhere you look on the U.S. mainland. 
 

As I write this, it is 82 degrees, sunny,  the whales are swimming down the coast to their winter breeding grounds here, and residents and visitors are out front of our Keauhou office trying to learn the Hula- it doesn't get any better than this!

It is paradise here, so call or email me to find your place in the sun.

Can you imagine waking everyday and taking your coffee out to the lanai to enjoy the near views of the golf course, the far views of the extensive tropical landscaping, listening to the sound of the  birds and the ocean waves and possibly a golf ball taking flight?  Many mornings we finish our coffee quickly and  cross the golf course for a morning stroll out to one of the most beautiful beachfront trails in Hawaii.  I love the walk but I also love that we can stop for a cold drink at several spots or even enjoy brunch at the Beach Club,,,for owners and guests only.  MaunaLani was so well planned that whatever your watersports, golf, tennis, spas, exercise needs are you can have them right here in the resort and chances are you can easily walk to it.  Walking in many places in a dying art but the planners at Mauna Lani were focused on "livability" when they created the resort and it works for the hotel guest, the vacation rental guest and above all for those who are fortunate enough to enjoy the benefits full-time.  Wondering how we spend the rest of the day.......how about drinks and pupus at sunset, on the lanai at the Fairmont Orchid and dinner on the water at Brown's Beach House for a start?  Sound interesting?.....you may want to check out this great opportunity ...priced way below market ......at $535,000......   

 

With the upcoming year of 2010 there are some new rules coming out through HUD (The US Department of Housing and Urban Development) supporting Buyers and Sellers with financing for the purchase of their homes and closing their transactions. With these new rules, which are given a year of transition time to take place, lenders will be required to clarify all disclosures for the Buyers. HUD is requiring that the lenders use a new standard form which will be generic for all to disclose all of loan terms and costs related to the loan in the clearest and most precise way.

Along with the loan terms and the Good Faith Estimate form, HUD is also enacting a new closing statement for all agents to compare the closing costs for transactions. This form is a clear and easy to read form itemizing the costs of the transaction for better understanding of costs related to closing for all parties involved. Again, this will be a generic form used in the US. So now when you buy property in Hawaii it will look much more like the transactions you may have had in California, Wyoming or New York.

Great to hear that our government is working toward creating a process for the everyone to understand what they are getting in to with the borrowing money and buying property. There has been so much confusion created through misunderstanding, lack of awareness and being “in the dark” about how buying and selling real estate really happens. With the “language” being the same Buyers and Seller’s may now have more resources to identify issues and costs they will incur, and why. So here is a way HUD seems to be presenting a process for all to be on the same page.

Ask your agent, your escrow officer and your lender when it comes time for buying and selling, if they are using the new HUD settlement statements and new Good Faith Estimates. Protect your investments and go in with your eyes open. You hold the reins!

 

In 1998, I had the enjoyable experience of finding a home for a wonderful family, originally from the midwest, but most recently from the Island of Molokai...as they recently reminded me, we first viewed a number of homes in the community of Waimea, close to Hawaii Preparatory Academy, where their young boys would be entering school.

Their home on Molokai was located on the beachfront and as we toured Waimea, they kept talking about where to place the pool. Of course, I suggested to them that Waimea, at about the 2800 foot elevation is not the ideal temperature for most people's morning dip. The expression on their faces told me this family needed to see Kohala Ranch.

Have you ever driven the magnificent Kohala Coast road beyond the heeau? Beyond the harbor? ...and thought if only I could wake to this pristine site and spend my mornings entertained by families of whales? Who are the fortunate few who have found their piece of Hawaii, perched on the slopes of the Kohala Mt. range, overlooking the entire Kona-Kohala Coast in the Kohala Ranch.? Families who have a lifestyle to be envied with privacy and open space,close to the beach and the golf course, a community where everyone has moved to enjoy Hawaii and all it has to offer from sunset to sunrise. Even more fortunate are the families, who have created memories and made this house a home.

Some locations are locations, but this home is the perfect site to take full advantage of it's premier position on the Kohala Coast, no matter where you sit there are near views of lush landscaping and rolling lawns and far views of ocean and volcanoes, great expanses and great shelter. Of course I have hardly described this gracious Kohala estate with it private master wing, where you can escape from the world. Or the kids wing and command central. The kitchen and family room where everyone meets. Plus the great impressive living room and dining room. That's just inside! Outside, endless patios, perfect size pool for every age and of course a hot-tub. Now, if you are inclined to keep horses on your Kohala Ranch there is even a barn.

I have left out a lot but if I tell you everything I will ruin the adventure, the discovery and the find, and I would never want to take that experience away from anyone. Landing is always the best.