Expert answers to the most searched questions about buying homes on Oahu.
In Hawaii, certain coastal and low-lying areas are designated tsunami and flood evacuation zones due to the risk of natural disasters like tsunamis and flooding. Being in such a zone means that in the event of a tsunami warning or severe flood, residents must evacuate to higher ground or safer locations. To determine if a property is in an evacuation zone, buyers can use official resources such as the Hawaii Emergency Management Agency’s tsunami evacuation maps or the County Department of Emergency Management websites. These maps show detailed evacuation zones for each island and are regularly updated. Knowing if a property is in an evacuation zone helps buyers understand safety risks and prepare accordingly.
The official resource to find tsunami evacuation zone maps and information for Hawaii is the Hawai’i Emergency Management Agency (HI-EMA) website:
Fee simple ownership is the most complete form of property ownership, where you own both the land and any structures on it indefinitely. With fee simple, owners have full rights to use, modify, sell, or lease the property, and the ownership passes to heirs upon death. Owners pay property taxes and maintenance costs but do not pay ground rent.
Leasehold ownership means you own the building or structure but lease the land from a fee simple owner for a specified period, often 30 to 99 years. Leaseholders pay ground rent in addition to property taxes and may face restrictions on use or alterations. Unlike fee simple, leasehold ownership is temporary and reverts to the landowner when the lease expires. Leasehold properties are often less expensive upfront but do not build equity like fee simple properties. Understanding this distinction is vital when buying property in Hawaii, where leaseholds are common.
Owner-occupied homes usually benefit from a “Homeowner Exemption” which reduces the taxable assessed value and lowers the tax bill. This is especially helpful for seniors, first-time buyers, and moderate-income families looking to manage affordability.
Non-owner occupied properties like second homes or vacation rentals are taxed at higher rates, which impacts carrying costs and investment returns. Buyers should also be aware of available exemptions and tax credits—including those for seniors, disabled persons, and veterans—that can provide substantial savings.
You can obtain more detailed information: https://realproperty.honolulu.gov
The short answer: Yes, absolutely. Sea level rise is a real and measurable concern for oceanfront property buyers in Hawaii, with both immediate and long-term implications for your investment, insurance costs, and property rights.
How to Check Your Property Risk
Use the State's Official Tool: The interactive mapping viewer visualizes potential impacts from sea level rise through the State of Hawaii Sea Level Rise Viewer at pacioos.hawaii.edu/shoreline/slr-hawaii/.
What the Tool Shows: The available mapping tool will show the effects of sea level rise by the end of the century from 6 inches to 3.2 feet, it is this highest marker that is the basis for the required disclosures
HHOC Mortgage Down Payment Assistance Loan Program: Provides a first mortgage with as little as 3% down, and a deferred second mortgage up to $125,000 to help with down payment or closing costs. Applicants must meet income and education requirements and work with HHOC Mortgage as their lender
Mortgage Credit Certificate (MCC): Offers a federal income tax credit for a portion of the mortgage interest paid, which can help with monthly affordability. Availability and funding for MCCs may vary by year and lender
First Step Home Loan (First Hawaiian Bank): Requires as little as 3% down (and allows family contributions for the remainder), waives mortgage insurance, and requires completion of a homebuyer education course
The Office of Hawaii Affairs (OHA) offers a program specifically for Native Hawaiians called the Access to Home Ownership (AHO) program. This mortgage-backed program aims to reduce barriers for Native Hawaiians to achieve homeownership in Hawaii.
Key Features of the OHA AHO Program
• Offers a below-market interest rate.
• Eliminates the requirement for monthly mortgage insurance, saving borrowers money.
• Uses OHA funds to guarantee portions of home loans financed by American Savings Bank (ASB).
• Supports first-time homebuyers who are owner-occupants, residents of Hawaii, and registered in OHA’s Hawaiian Registry Program.
• Applications are accepted on a rolling basis as long as funds are available.
For more details and to apply, interested applicants should contact the Office of Hawaiian Affairs directly at 808-594-1835 or visit their website at oha.org/aho
Mortgage preapproval is a formal process where a lender reviews your financial and credit information to determine how much they are willing to lend you for a home purchase. This includes verifying your income, debts, credit score, and assets. Receiving a preapproval letter shows sellers and agents that you are a serious buyer who can secure financing, making your offers more competitive. It also helps you understand your true budget, so you can focus on homes within your price range. Pre-approvals typically last 60 to 90 days and speed up the buying process once you find your home.
Getting pre-approved early in the home buying process increases your chances of having an offer accepted and helps avoid surprises later in closing.
Remote closings are increasingly common in Hawaii's real estate market, especially for mainland buyers or military families on deployment. While Hawaii requires some traditional processes, technology now enables most of the closing to happen from anywhere in the world.
The short answer: Yes, absolutely. Sea level rise is a real and measurable concern for oceanfront property buyers in Hawaii, with both immediate and long-term implications for your investment, insurance costs, and property rights. The key is making an informed decision with full awareness of both the incredible lifestyle benefits and the genuine long-term risks of oceanfront living in Hawaii.
How to check if the property is at risk: Go to the State of Hawaii Sea Level Rise Viewer
Every family is unique, and the "best" neighborhood depends on your specific needs, budget, and lifestyle priorities.
Some Questions to Ask Yourself
What's your maximum comfortable commute time?
Do you prioritize public or private schools?
How important is beach/ocean access?
Do you want a planned community with amenities or a more organic neighborhood feel?
What's your realistic budget for both purchase price and ongoing costs?
Resources for Your Research
Hawaii Department of Education school reports and test scores
Visit neighborhoods at different times of day and week
Talk to current residents
Working with Your Real Estate Agent
Neighborhood market trends and value retention
Future development that might affect your area
Local family amenities you might not discover online
Ready to explore Oahu's neighborhoods?
Let's schedule a tour of areas that match your priorities and budget. Every family's perfect neighborhood is different – let's journey home together.
Kelsey Kim at (808)728-5067 or [email protected] to start your home search today.
A significant milestone occurred in January 2025 when a condo on Oʻahu was purchased entirely with cryptocurrency, marking one of the most notable recent examples of crypto in local real estate. Propy's sale of a tokenized Hawaiian condominium in January 2025 was the first such sale in the state.
Current Reality
While most transactions still require converting cryptocurrency to U.S. dollars before closing, innovative financing options are emerging that allow buyers to use their digital assets as collateral while potentially keeping their crypto holdings intact.
Regulatory Environment: Hawaii's cryptocurrency regulations have evolved significantly, with major exchanges now operating in the state and new blockchain-based real estate platforms gaining approval.
Market Acceptance: While still developing, crypto purchases are gaining traction among tech-savvy buyers and forward-thinking sellers in Oahu's competitive market.
Next Steps
Every cryptocurrency real estate transaction is unique, involving complex financial, legal, and timing considerations. The landscape is evolving rapidly with new platforms, regulations, and financing options regularly emerging.
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