As we enter 2025, the Big Island real estate market continues to evolve, shaped by steady home appreciation, shifting condo dynamics, and a thriving luxury resort sector. Single-family homes remained a seller’s market, while condominiums saw increased inventory, creating new opportunities for buyers. Meanwhile, private resort properties at Kukio, Hualalai, and Kohanaiki commanded premium prices, maintaining their status as exclusive luxury enclaves.
This comprehensive review breaks down residential and resort market performance in 2024, offering insights into what lies ahead for 2025.
2024 Big Island (Kailua-Kona) Residential Market Overview
Single-Family Homes: Limited Supply, Strong Demand
- Median Price:$1,268,000 (+9.4% YoY) – Continued appreciation despite affordability concerns.
- Inventory: 3.5 months supply, reinforcing a seller’s market.
- Closed Sales: +14.8% YoY, signaling sustained demand.
- Days on Market (DOM): 22 days, reflecting swift sales.
- Price Per Square Foot (PPSF):$731 (+0.8% YoY), showing stable value retention.
Condominiums: Inventory Surge & Pricing Adjustments
- Median Price:$640,000 (+15.3% YoY), reflecting strong appreciation.
- Inventory: 7 months supply (+133.3% YoY), marking a major increase.
- Closed Sales: -1.5% YoY, indicating more cautious buyer behavior.
- Days on Market (DOM): 27 days, requiring strategic pricing.
- Price Per Square Foot (PPSF):$715 (-4.4% YoY), showing increased pricing pressure.
Key Takeaways:
- Single-family homes remained competitive due to low inventory, sustaining price appreciation.
- Condos shifted toward a buyer’s market, with more choices and longer sales cycles.
- The Hawaii insurance crisis affected condo financing and buyer confidence, influencing sales trends.
2024 Big Island Resort Market Review
The resort real estate market on the Big Island performed well in 2024, with price appreciation in both traditional Kohala Coast resorts and exclusive private resorts. While regular resorts saw steady appreciation and stable sales, private resorts commanded record-setting luxury home values, reinforcing their desirability among high-net-worth buyers.
Traditional Kohala Coast Resorts: Waikoloa, Mauna Lani, and Mauna Kea
These resorts offer a mix of vacation condos, second homes, and primary residences, attracting both investors and homeowners seeking resort-style living with strong rental potential.
Resort Condominiums:
- Waikoloa:$1,060,000 (+10.5% YoY) | $888 PPSF
- Mauna Lani:$1,875,000 (+14.7% YoY) | $982 PPSF
- Mauna Kea:$4,300,000 (+57.8% YoY) | $1,564 PPSF
Observations:
- Mauna Kea condos saw the highest appreciation (+57.8% YoY), reflecting strong demand for premium oceanfront residences.
- Waikoloa and Mauna Lani experienced steady growth, maintaining their appeal as resort destinations.
Resort Homes:
- Mauna Lani:$5,500,000 (unchanged YoY) | $1,636 PPSF
- Mauna Kea:$6,750,000 (+14.4% YoY) | $1,844 PPSF
Observations:
- Mauna Kea resort homes appreciated significantly (+14.4%), highlighting their strong investment potential.
- Mauna Lani’s median price remained stable, suggesting balanced market conditions.
Private Luxury Resorts: Kukio, Hualalai, and Kohanaiki
The ultra-luxury market in private resorts remained highly competitive, with record-breaking prices and limited inventory. These communities cater to high-net-worth individuals seeking exclusivity, world-class amenities, and unparalleled oceanfront living.
Private Resort Homes:
- Kukio:$19,000,000 (+29.2% YoY) | $3,842 PPSF
- Hualalai:$9,630,000 (-21.4% YoY) | $2,423 PPSF
- Kohanaiki:$8,500,000 (+32.8% YoY) | $2,833 PPSF
Observations:
- Kukio and Kohanaiki saw double-digit price appreciation, reflecting ongoing demand for top-tier luxury estates.
- Hualalai experienced a price adjustment (-21.4% YoY), likely due to inventory shifts rather than declining demand.
What to Expect in 2025
- Market Stabilization & More Selective Buyers
- Single-family homes will continue to see price appreciation, though at a slower rate.
- Condos may see further price adjustments, depending on inventory and financing trends.
- Buyers Will Have More Leverage in Certain Segments
- The condo market is shifting toward equilibrium, giving buyers more negotiating power.
- Luxury resort homes will remain highly desirable, with limited supply driving competition.
- Financing & Insurance Considerations Will Be Key
- Mortgage rates will influence affordability, particularly in mid-range price points.
- The Hawaii insurance crisis will continue to affect condo purchases, requiring buyers to perform due diligence.
Final Thoughts: Positioning for Success in 2025
2024 demonstrated the resilience of the Big Island real estate market, with steady growth in single-family homes, a shift toward a buyer’s market for condos, and continued premium pricing in luxury resorts.
Moving into 2025, strategic pricing, expert negotiation, and market awareness will be key for both buyers and sellers. If you’re considering a real estate move this year, now is the time to align your strategy with market trends.
Let’s connect to discuss your 2025 real estate goals.