Why are Real Estate Prices in Puna Relatively Low?

[oink]

I didn't look up the property but if it was a short sale, the seller and listing agent may have agreed on the original listing price, thus the original listing, but then the lender(s) didn't accept it and countered at the higher price which the buyer agreed to. Fairly common occurrence.

Pua`a
S. FL
Big Islander to be.

[HulaPieGuy]

Thanks for the feedback Kelena, csgray and hawaiideborah. Feel as though I'm bordering on a hijack here, so will keep it brief.
Did a quick MLS check on Kailua Kona (due to family/friends/financial considerations, we're limiting our dream to direct ocean front; prefer not on sandy beach in an attempt to avoid pedestrian traffic of the type we're guilty of when visiting. Also, need about 2k sq feet for me to stay out of the way once my wife retires). Anyway, best fit comp in K-K appeared to be one at "only" 1.5 mil.
Now for one more (hopefully final) question: All, but our first stays in the Puna area have been in winter, but do recall it being pleasant, in our one late July rental, without air conditioning, Is this correct? Am fairly certain ac would be mandatory in Kailua-Kona. Based upon electric rate horror stories, this would be a big $ consideration; on the order of payments equal to an extra $100,000 loan balance.

[csgray]

No one I know who lives in a house (not a condo) on the Kona side uses AC or even has it in their house. One friend with extreme VOG reactions has an AC in the bedroom with mega air filters, but the VOG emissions are much lower now and she hasn't had to use it for months.

Carol

[John S. Rabi]

quote:

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Originally posted by HulaPieGuy
Am fairly certain ac would be mandatory in Kailua-Kona.

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I have lived in Kona for 20+ years, all condo living. I have never ever used an A/C here. Make sure the property you buy is in the tradewinds and all you need is a couple of good fans. BTW, ocean front is a premium most everywhere. You might want to check out Kona Bay Estates in Kona.

Aloha,
John S. Rabi, GM,PB,ABR,CRB,CM,FHS
888.819.9669
johnrabi@johnrabi.com
http://www.JohnRabi.com
Typically Tropical Properties
"The Next Level of Service!"
(This is what I think of the Kona Board of Realtors http://KonaBoardOfRealtors.info)

[csgray]

HulaPieGuy,
Some food for thought about your dream of oceanfront living:
After living in an oceanfront condo in Hilo for 2 years when we first moved here I know I will never live oceanfront in anything except a rental. Upkeep on an oceanfront house is constant, our lanai doors had to be REPLACED not fixed twice in two years due to corrosion, the microwave lasted less than a year, same for the wiring for the garbage disposal, the stove was brand new when we moved in and even though it was a good quality enameled oven interior there were big rust spots when we left, everything we owned was covered in a sticky film from the salt air, a nearly new computer crapped out (corrosion inside the disc drive) shoes and clothing hanging in the closet got damp and funky overnight, same with bedding, and finally according to an electrician friend replacing wiring in houses within 10 blocks of the ocean is a given.

Before buying oceanfront, try renting first. I am glad we had the experience of living with the waves crashing right off of our lanai, but on someone else's upkeep dime, there is no way our landlord made a profit on our 2 year tenancy due to the constant outflow of cash for repairs.

Carol

[Kelena]

Smoke detectors? Fehgeddaboutit. Screens? Replace. Light sockets? When you replace the bulb, you have to replace the socket, too! --they become as one. My adorable little three-way lamp with the parrot? It's a one way lamp now and the parrot is quiet (good) and dark (bad). For some reason, all of the ocean doesn't stay in the ocean. Speaking of that, there was an actual evacuation of the area after the Japanese earthquake. The resulting tsunami was negligible on the East Side but washed a house into Kealakekua Bay. The way I explain it to people is this: Imagine that you have a house and it is sitting on a barge in the middle of the ocean. The only difference is that on an actual barge, you would avoid tsunamis.

[John S. Rabi]

I have lived in an ocean front condo for 10+ years. There are lots of preventive measures you can take, car wax and W40 are two of your best friends.

Aloha,
John S. Rabi, GM,PB,ABR,CRB,CM,FHS
888.819.9669
johnrabi@johnrabi.com
http://www.JohnRabi.com
Typically Tropical Properties
"The Next Level of Service!"
(This is what I think of the Kona Board of Realtors http://KonaBoardOfRealtors.info)