Maui Real Estate Market 2025: Why First-Time and Repeat Buyers Are Seeing Two Different Markets

The Two-Speed Housing Market: What It Means for Buyers and Sellers in Maui

By Luke Walsh | Villa Group Maui

A recent survey from the National Association of Realtors reveals a growing divide in the housing market, one that’s reshaping how both first-time and repeat buyers navigate today’s real estate landscape. Here’s what’s happening nationally, how it connects to Maui, and why understanding local market dynamics can make all the difference.

National Trends Shaping the Market

• First-time homebuyers made up just 21% of all buyers this past year, the lowest share since records began in 1981.

• The median age of first-time buyers has reached 40, showing how long it now takes for many to enter the market.

• Cash purchases remain historically high at 26% of all transactions.

• Homeowners are holding on longer, with a median tenure of 11 years before selling.

• Repeat buyers are using built-up home equity to their advantage, while first-time buyers rely more heavily on savings.

  

What It Means for Buyers

For first-time buyers, the path to homeownership can feel increasingly difficult. With limited inventory, rising prices, and more cash buyers in play, competition is strong. But it’s not impossible and there are opportunities for those who plan ahead, get prequalified, and stay informed.

For repeat buyers and investors, the current market often works in your favor. Having home equity, cash flexibility, or prior ownership experience provides a strong edge in today’s fast-moving environment.

How This Applies to Maui

Here on Maui, the market reflects these national patterns, but with unique local twists. From North Shore to Upcountry, South to West Maui, each region offers its own character, price point, and potential for value.

• First-time buyers can still find great opportunities if they’re prepared and working with the right local guidance.

• Sellers benefit from strategic marketing and pricing, especially in areas with high buyer demand like Wailea and Kaanapali.

• Repeat buyers and investors continue to dominate in cash and second-home markets, but selective, informed purchasing can still yield excellent returns.

  
  

A Positive Outlook

While today’s market poses challenges, it’s far from discouraging. Inventory is slowly shifting, interest rates are stabilizing, and motivated buyers who understand the process can still succeed. Opportunity exists for those willing to take the first step — and that starts with education.

Working with the right lender to get prequalified is key. It’s free, and it helps you understand where you stand financially before beginning your home search. Many first-time buyers don’t realize how straightforward this first step can be.

I remember at one time being in that same position as a first time home buyer, uncertain about how to begin or what I could afford. Once I went through the prequalification process, I realized it wasn’t nearly as intimidating as I’d imagined. That first step opened the door to real opportunities, and I often wish I had done it sooner.

Professional Guidance Makes the Difference

Whether you’re buying your first home or selling a luxury condo, working with an agent who understands Maui’s unique market conditions, from the micro-pockets of value in Upcountry and North Shore to the luxury inventory in South and West Maui, is essential.

With current market trends shifting, guidance from someone who understands both the data and the island can help you make smart, confident decisions.

If you’re thinking about buying, selling, or just curious about your options, I’d be happy to walk you through the process and share local insights that could make all the difference.