How to Buy a House in Hawaii
Updated 2026-03-02 | Data from Zillow, HUD, Tax Foundation
Avg Home Price
$973,555
Closing Costs
$18,360
1.89% of price
Property Tax Rate
0.32%
$1,971/yr median
Days on Market
55
Median
FHA Loan Limit
$1,149,825
Attorney Required
No
Foreclosure Type
Judicial
Transfer Tax
0.2%
$0.20 per $100 (up to $600K)
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Key Facts About Buying in Hawaii
- ✓Second highest home prices in the US
- ✓Lowest property tax rate in the nation at 0.28%
- ✓Both judicial and non-judicial foreclosure allowed
- ✓FHA loan limits up to $1,149,825
The Home Buying Process in Hawaii
Buying a home in Hawaii follows a 10-step process. Hawaii does not require an attorney at closing, though you may choose to hire one.
1
Check Your Credit Score & Finances
2
Get Pre-Approved for a Mortgage
3
Find a Real Estate Agent
4
Search for Homes & Make an Offer
5
Get a Home Inspection
6
Secure Your Financing
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First-Time Buyer Programs in Hawaii
HHFDC Hula Mae First-Time Homebuyer
Below-market rate mortgage for first-time buyers
Reduced interest ratesIncome: Varies by county and household size
Cost of Buying a Home in Hawaii
| Down Payment (3.5% FHA) | $34,074 |
| Down Payment (20% Conventional) | $194,711 |
| Average Closing Costs | $18,360 |
| Transfer Tax | $1,947 |
| Annual Property Tax (est.) | $3,115/yr |
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Legal & Regulatory Details in Hawaii
Homestead Exemption
Available
Up to $30,000 (head of household)
Licensing Authority
Hawaii Real Estate Commission
Hawaii Real Estate Law Overview
| Conveyance Document | Warranty, limited-warranty and quitclaim deeds; condominiums use an apartment deed |
| Security Instrument | Mortgage |
| Foreclosure Process | Judicial |
| Attorney Required at Closing | No |
| Deficiency Judgment | Yes |
| Redemption After Sale | No |
| Reinstatement Available | No |
| Seller Disclosures | A written disclosure statement covering material facts must be delivered within ten days of contract acceptance; buyers may rescind within fifteen days. Issues include plumbing, heating, appliances, ceilings and foundations. |