A home sale boom that’s led to a 6.2% jump in May, according to data from CoreLogic, was fueled by the state’s booming economy, an increase in vacation spending and a surge in demand for luxury home construction, the real estate consultancy said.
A 6.3% increase in May was up from a 5.5% increase a year ago.
CoreLogic said sales rose 3.2 percent in May compared with a year earlier, while the price of a new home increased 3.5%.
A 3.9% rise in May saw the number of homes sold increase 2.3%, the highest in more than two years.
The increase in sales was fueled largely by an increase of 2,878 homes, or nearly 8% of the total, to be built during the month.
The number of new homes built increased 3%, from a year prior.
Homes sold in May increased 7.3 percent compared with May of 2017, according the CoreLogics figures, with prices rising by an average of 4.4%.
Corelogic said prices for the month were up 2.2%.
The median price of new home sales in Hawaii rose to $4.3 million in May from $3.9 million a year before, according a survey released by CoreLogical.
“The recent housing boom has continued to boost demand for homes in Hawaii,” CoreLogos chief economist David J. Stearns said in a statement.
Stearns cited a number of factors that led to the surge in sales in May.
Among them were the state building an estimated $1.6 billion worth of luxury homes this year, and the increase in summer vacation spending.
The numbers were “likely driven by strong demand from tourists and international tourists as well as the general appreciation of Hawaii’s economy,” Stearn said.
Homes sales increased by 2.9 percent compared to the same month last year.
In May, CoreLogs reported that home prices rose 7.2%, the third straight month of increases.