Silver Lining In Cloud Of Doom
February 25th, 2010 categories: The Market
AS mentioned in previous blogs tourism is important to Honolulu’s economy and a recent article in the Honolulu Advertiser confirms that 2009 was a brutal year for hoteliers.
“2009 has been a tough year for the visitor industry both in Hawai’i and nationally,” Toy said. “The speed and depth of the downturn was unprecedented and the hotel industry has never experienced the level of rate discounting that is still in the market.” CLICK HERE TO READ THE ENTIRE HONOLULU ADVERTISER ARTICL
Here is the silver lining. Everything cycles and before things can go up they need to bottom out. Later in the article they go on to say the following, “However, the lower hotel rates, along with aggressive marketing and more flights to the Islands, appear to be helping stem the decline in occupancy.” What does this mean for Honolulu real estate?
Even with slowness in tourism, I believe the Honolulu real estate market is at a bottom and may be experiencing some appreciation. This means that as other economic sectors improve (tourism as an example), you will see Honolulu real estate prices get better too. The moral of the story for buyers is that now is the time to buy. For sellers, in the short-term, because of good financing and firming values, it is a good time to sell. Over the long haul if you can wait your real estate should experience significant appreciation.
If you would like to discuss your real estate needs, feel free to call me at 808-737-2093 or toll free at 877-737-2093. You can email me at keahi@lava.net.
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Thank you for all the great posts from last year! I look forward to reading your blog, because they are always full of information that I can put to use. Thank you again, and God bless you in 2010.