plog (what we ponder)
feb 09

"Pummeled in Paradise"

The housing crisis is making landfall in Hawaii and slowly, but surely, prices are dropping. For anyone who might question this, we decided to show you an example. (Please note that we can barely believe these numbers ourselves.)

The property below was originally purchased in March 2003 for $258,400 and sold again, just over two years later, for a mind-numbing $560,000. You can imagine closing on that sale must have been like winning the lottery. Unfortunately, this property is now a nightmare for the current owner who has dropped the price $81,000 and is still waiting for the next unsuspecting soul. In our humble opinion, he is likely to continue waiting because even at $479,000, the house is still inflated by a good $150,000. It is sad to see fortunes lost, but buying a house will always be a risk, even in paradise.