Lately I've worked with "mainland" buyers who have seriously considered investing on Oahu, but have flown back home without committing. Their comments ranged widely:
Hawaii prices are too high
the market hasn't bottomed
financing options are fewer
a recession may be coming
While we don't have the gloom and doom reports for real estate on Oahu that so many markets hear on the mainland, buyers can't shake off the constant news reports of hard economic times. We are so lucky here to have a somewhat isolated economy. Our prices are certainly affected by transportation and supply from the mainland, but real estate prices don't always follow their trends. Now, for instance, many cash buyers from around the world - Malaysia to England - are investing in Hawaii real estate, because the dollar is so weak worldwide. In most countries, even against the Euro and Canadian dollar, an investment in U.S. currency seems very attractive.

Read the rest of this article at Barbara's Active Rain Blog:  http://activerain.com/blogs/abeb.
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