For the past few months my agents having been feeling the pinch when it comes to finding the right property for their buyers. As Act 48 takes effect on the supply of REO’s coming down the pipeline, the number of properties for sale have slowly diminished, but we have seen a concurrent trend in Listing prices – they have been dropping too! This, combined with extraordinarily low interest rates, has caused multiple offer scrambles on many properties forcing offer prices up and ultimately higher closing prices than listing prices. As of June, in the Kahului market the closing price trend crossed over the listing price trend and has continued to move upward. August was the lowest month for both list and close prices, but since then closing prices have been rising at a much greater rate than list price. In short, prices aren’t going down any more in this market, and if there’s any indicator of where the “bottom” of the market is, I think this is a pretty good one.