Buying Your First Home in Hawaii

Buying Your First Home in Hawaii

As one of the most desirable places to live, with a limited inventory, buying real estate in Hawaii can be daunting. If you are hoping to buy your first home in Hawaii, you may be feeling some stress as you figure out how to prepare.

We are here to help. Contact us any time to learn more about homes for sale in Hawaii and how to find the right one for you.

Check out these tips to be prepared for the purchase of your first home in Hawaii. With the right preparation and plan, you can become a homeowner in your dream location.

Mortgage Pre-Approval

One of the very first steps you should take in preparing to buy your first home in Hawaii and getting pre-approved for a mortgage. Many buyers guess what they can afford based on online calculators, but without mortgage pre-approval you won't know for sure.

Mortgage pre-approval involves contacting a lender (or a few, which we recommend) and going through the process of finding out how much you can borrow, what your interest rate will be, and what type of monthly mortgage payment you should anticipate.

There are a few benefits of getting pre-approved:

  • You know exactly what you can afford, what your monthly payment will be, and how much you can offer
  • You are able to make an offer an a house immediately, rather than waiting to get approved and risking someone else making an offer before you can
  • You won't fall in love with a home that you ultimately cannot afford, wasting your time and energy

Understand Fee Simple and Leasehold

In Hawaii, there are two types of real estate properties: fee simple and leasehold.

When you purchase a leasehold property, you own only the structure, and not the land it is on. The owner has the right to use and enjoy the property for a determined amount of time, after which the property is returned to the fee simple owner of the property. Nearly all leasehold properties are condos or townhomes.

Fee simple ownership is probably what you think of when you picture owning a home. This includes owning the land and all structures on it until you decide to sell it, plain and simple.

Leasehold properties are sometimes listed for a shockingly low price, but it is important to pay close attention to the terms of the lease and the timeline, as buying a leasehold property could mean you only own it for a relatively short period of time.

Don't Forget Property Tax Exemptions

It is no secret that Hawaii real estate comes with a high price tag, but there are also some unique benefits to homeownership in Hawaii. One of these is the state tax exemptions. After buying your first home in Hawaii, make sure to file a property tax exemption claim. If you are under the age of 65, you can deduct $80,000 from the taxable value of your home, and if your are over the age of 65 you can deduct $120,000.

Make a Clear Plan

Before you begin the home shopping process, make a clear list of what you are looking for. Ask yourself:

  • What part(s) of the island do I want to look in?
  • How many bedrooms and bathrooms do I need?
  • How far do I want to be from work?
  • How long does this house need to work for me, and do I expect my household to grow in that time?
  • How much maintenance am I prepared to take on?
  • Am I looking for move-in ready or a fixer upper?

Want to learn more about buying your first home in Hawaii? Contact us any time with your questions. Check out the newest listings on Oahu below

194 Properties
Page 1 of 17
Open 5/29
99-573 Hokea Street Aiea,  HI 96701
$885,000
Neighborhood: Halawa
3
Beds
2F11/2
Baths
1,595
Sq.Ft.
1963
Year Built
1
Day on Site
202311641
MLS
Great opportunity to turn this one into your dream home in a well established Halawa Hill Estate. Original owner family trust sale.
Single level dwelling with vaulted ceiling in the living room,...
$1,299,000
Neighborhood: Mahinui
4
Beds
3
Baths
1,728
Sq.Ft.
1965
Year Built
1
Day on Site
202311623
MLS
Welcome to Kane'ohe! BEAUTIFUL home with majestic Ko'olau mountain in the backdrop. Zen like environment of location of home will sure to offer you a happy and healthy life living in this home....
$342,000
Condo: Kapiolani Manor
1
Beds
1
Baths
484
Sq.Ft.
1970
Year Built
1
Day on Site
202311581
MLS
KAPIOLANI MANOR is very popular and stunning high-rise building, located in the heart of Honolulu. Located just a short distance from the world famous ALA MOANA SHOPPING CENTER, and the beautiful ALA...
Open 6/3
87-1068 Anaha Street Waianae,  HI 96792
$715,000
Neighborhood: Maili Sea-Nohokai
3
Beds
2F11/2
Baths
1,363
Sq.Ft.
2008
Year Built
2
Days on Site
202311557
MLS
Experience the best of beach and country living in this beautiful move-in ready 3 bed, 2/1 bath home in Sea Country. Enjoy the quiet of the countryside and the convenience of being just minutes away...
$1,650,000
Neighborhood: Haiku Park
3
Beds
2
Baths
2,234
Sq.Ft.
1978
Year Built
2
Days on Site
202308834
MLS
Your opportunity to own your piece of paradise on the sought after Kalali Street cul-de-sac. Enjoy the magnificent views of the Ko'olau from your front door. Large living room and extended family...
$1,499,000
Neighborhood: Waikalua
5
Beds
4
Baths
2,335
Sq.Ft.
2022
Year Built
2
Days on Site
202311609
MLS
Open House Sunday 5/28 1-5pm. This brand new construction with the Ko'olau Mountain backdrop is calling you home! Built with large bedrooms, potential multi generational layout, garage, enclosed...
$1,499,000
Neighborhood: Waikalua
6
Beds
3F11/2
Baths
2,012
Sq.Ft.
2022
Year Built
2
Days on Site
202311610
MLS
Open House Sunday 5/28 1-5. This brand new construction with the Ko'olau Mountain backdrop is calling you home! Built with a multi generational layout or income opportunity in mind, garage, enclosed...
1
Beds
1
Baths
662
Sq.Ft.
1994
Year Built
2
Days on Site
202311392
MLS
Discover this hidden gem of a condo in the desirable gated community of Kulana Knolls. This one bedroom condo with its large, generous and well shaded lanai, fronting a peaceful park with lush and...
$798,000
Condo: 801 South St
2
Beds
2
Baths
876
Sq.Ft.
2017
Year Built
2
Days on Site
202309512
MLS
This is it, look no further! Beautiful brand new flooring just installed! New Price to sell! Amazingly cool with no afternoon sun, on high-floor and desirable corner unit, built in 2017 (Building B)....
$350,000
Condo: Island Colony
1
Baths
297
Sq.Ft.
1979
Year Built
2
Days on Site
202311635
MLS
The unit is under a month-to-month long-term lease. The famous Island Colony unit is a great property for any type of use such as vacation rental, long-term rental, hotel rental program, or as your...
Open 6/3
91-1229 Kaimalie Street Ewa Beach,  HI 96706
$1,450,000
Neighborhood: Ocean Pointe
5
Beds
4
Baths
2,043
Sq.Ft.
2006
Year Built
2
Days on Site
202311633
MLS
***Sellers are offering $20,000 credit to Buyers to help lower the interest rate*** Stunning executive style pool home features a bedroom/office space w/high ceilings & full bathroom on the 1st floor....
Active Under Contract
99-398 Hakina Street Aiea,  HI 96701
$800,000
Neighborhood: Aiea Heights
3
Beds
2
Baths
1,708
Sq.Ft.
1951
Year Built
2
Days on Site
202310769
MLS
This well-priced property is a great opportunity for someone willing to put in a little elbow grease. The front Lanai is a cozy space to sit and enjoy the wonderful views of Aloha Stadium and Pearl...

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