Are you dreaming of moving to Hawaii?
There’s no doubt this island paradise has a lot to offer, whether you’re a recent graduate, a family with kids, or a satisfied retiree. 1.4 million people currently call the Aloha State home — and you could be next!
Before you seriously considering buying a house in Hawaii, though, you first need to get familiar with the real estate market. Is now a good time to buy, or should you put your dream on hold for a bit?
Keep reading to find out all about the real estate market in Hawaii!
The Real Estate Market in Hawaii: At a Glance
At the end of 2020, the median listing price for a house in Hawaii was $640,000. Here are some other key facts to know about the real state market right now:
- It’s a buyer’s market (there are more homes available than buyers)
- Mortgage rates are low, averaging 2.63% for a 30-year mortgage
- Experts predict property values will increase by 6.8% during 2021
What’s the takeaway? Now is the perfect time to consider buying a house in Hawaii!
Tips for Buying a House in Hawaii
As you begin your search for your dream Hawaiian home, keep the following tips in mind.
Know When to Go House Hunting
One important thing to know about the Hawaiian real estate market is that trends fluctuate drastically throughout the year. If you’re looking to save money on your purchase, wait until the summer months to start looking.
Sale prices historically are lowest during June, when homes are $86,800 less expensive than other times of the year. In contrast, homes listed in January are $156,792 higher than the annual average.
Consider the Elevation
Next up on our list of things to know is that temperatures vary greatly across Hawaii based on the elevation of your home. All the touristy hotels on the beach offer air-conditioning, but you might be surprised to learn that a lot of private homes don’t come with this feature.
If you plan to live near the coast, make sure the home you’re considering has AC installed — or be prepared to install it yourself, if you want to stay cool. Otherwise, look for a home that’s higher up in elevation so your home will stay comfortably cool year-round.
Choose a Local Realtor & Lender
Real estate in Hawaii looks a lot different than on the mainland. You won’t find gated communities with hundreds of cookie-cutter houses here. Each home, street, and neighborhood comes with a unique set of features and equally unique pricing.
For that reason, realtors and mortgage companies on the mainland don’t usually have the knowledge required to understand Hawaiian underwriting and property values. When you narrow in on a part of the island you like, look for local companies that have a thorough knowledge of the area. This will help you get the best home at the best price!
Looking for Houses for Sale in Hawaii?
The real estate market in Hawaii is good for buyers right now, so take advantage of it! Property values are only going to go up from here, making 2021 the perfect time to invest in Hawaiian real estate.
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