Buying a Home in Hawaii in 2026
Hawaii's median home price is about $$824,000 in 2026, the highest of any state and more than double the national median. Limited land, strict zoning, and constant demand from mainland and international buyers keep supply tight on every island.
Honolulu dominates Oahu's market and sets the tone statewide. Kailua and the Windward side command premiums for beach proximity, while Hilo on the Big Island offers the most affordable entry point in the state. Condos are a bigger share of purchases here than anywhere else, and buyers should scrutinize HOA fees and leasehold versus fee-simple ownership before offering.
Hawaii Property Taxes and Your Monthly Payment
Hawaii has the lowest effective property tax rate in the country at about 0.29%. On a $$824,000 home that is roughly $$2,390 a year, or $$199 a month, remarkably low for the price involved.
Each county sets its own rates and exemptions. Honolulu's homeowner exemption removes $120,000 of assessed value for owner-occupants, and rates climb for investment properties and high-value homes. The low rate is cold comfort given the purchase price, but it does keep the monthly payment from being even larger.
First-Time Homebuyer Programs in Hawaii
The Hawaii Housing Finance and Development Corporation (HHFDC) offers Hula Mae loans, a first-time buyer program with favorable rates for qualifying residents. The state also issues Mortgage Credit Certificates that convert part of the mortgage interest into a federal tax credit each year, which helps offset Hawaii's steep purchase prices.
Hawaii Monthly Payment Example
Take the median-priced Hawaii home at $$824,000. Put 20% down ($$164,800) and finance $$659,200 over 30 years at 6.35%. Here is the monthly reality:
| Item | Monthly Amount |
| Home price | $824,000 |
| Down payment (20%) | $164,800 |
| Loan amount | $659,200 |
| Principal and interest (6.35%, 30-yr fixed) | $4,102 |
| Property tax | $199 |
| Homeowners insurance | $133 |
| Total monthly payment | $4,434 |
The principal and interest alone exceed what a whole payment costs in many states. Add $$199 in tax and $$133 in insurance and the total reaches about $$4,434 a month, which is why Hawaii buyers obsess over rate buydowns and larger down payments.
Closing Costs and Transfer Taxes in Hawaii
Closing costs run 2% to 5% of the price, and Hawaii's conveyance tax adds 0.10% to 0.25% depending on the price tier and whether the buyer will occupy the home. On a $$824,000 purchase the conveyance tax alone can top $1,600. Leasehold purchases add their own legal review costs, so budget for an attorney experienced with Hawaii transactions.
Frequently Asked Questions
What is the median home price in Hawaii in 2026?
About $$824,000, the highest of any state. Oahu runs highest, with the Big Island and Hilo offering relatively lower prices.
How much is property tax on a $$824,000 Hawaii home?
Roughly $$2,390 a year at the 0.29% effective rate, or $$199 a month, before the Honolulu homeowner exemption of $120,000 in value.
Does Hawaii have a first-time homebuyer program?
Yes. HHFDC's Hula Mae loans offer favorable rates for first-time buyers, and the state's Mortgage Credit Certificate program provides an annual federal tax credit on mortgage interest.
What is the Hawaii conveyance tax?
It ranges from 0.10% to 0.25% of the price depending on the price tier, with higher rates for non-owner-occupied and high-value transfers.
Should I worry about leasehold versus fee simple in Hawaii?
Yes. Some Hawaii properties are leasehold, meaning you own the building but lease the land. It lowers the price but adds ground rent and a lease expiration to consider.
Related Calculators
Hawaii payments are large enough to deserve a careful budget check with the Hawaii Paycheck Calculator. For the big picture, start with the Mortgage Calculator, or compare nearby markets with the California Mortgage Calculator, Alaska Mortgage Calculator, and Arizona Mortgage Calculator.
Sources: Zillow ZHVI state medians (Feb 2026), Tax Foundation property tax analysis, Hawaii Housing Finance and Development Corporation (HHFDC). Figures reviewed for 2026. This calculator provides an estimate for planning purposes and is not financial advice.