Just the mention of Hawaii calls to mind the enchanting and relaxing tropics. This is why so many vacationers flock to this archipelago in the Pacific. A lot of people love to fly to Hawaii regularly, leaving the stress and pressure of everyday city life in the mainland. But instead of just hopping on a plane on a regular basis, individuals can actually consider another wise option; and this is – buy a property in Hawaii!
Hawaii has so much to offer in terms of breathtaking views, outstanding beaches or stunning island gems. But apart from these features, there are more practical things that can easily draw or convince just about anybody to invest in a home in Hawaii. Below are a few of these practical benefits.
Variety of Available Real Estate Properties
Buyers have several options if they are considering purchasing a home or any real property in Hawaii. There are single family homes, condominiums and co-ops. Generally, once a person buys a house, fixtures and most appliances, such as affixed dishwashers, gas range, or refrigerators, are already included in the transfer of ownership. Sometimes, carpets and ceiling fans also transfer with the sold property, which is why buyers should inquire as to which types of appliances or items go with a residence that’s for sale. As for the kinds of properties usually for sale in Hawaii, here’s a rundown of each:
Single Family Homes – Typically, lot sizes are about 5,000 square feet, often with landscape bursting with tropical flora. It’s easy to find 3 or 4 bedroom houses, and most structures are made of quality wood and have jalousie windows. Light materials are commonly used as Hawaii experiences a tropical climate all year long. This means that houses may or may not have central air conditioning since electric fans often suffice.
Condominiums – Condo units may be on high-, medium- or low-rise buildings and these are found in varying floor sizes. Owners of condominiums customarily have to contribute or pay for maintenance fees, which could cost about $350 to $500, depending on the unit, its location, and the unit’s facilities, such as pools, gyms or playgrounds.
Co-ops – One advantage of buying a co-op is that units or rooms are more spacious. But before a person can purchase a co-op, the transaction has to be first approved by the Board of Directors of the concerned co-op.
Savings on Tax and Housing Costs
Property taxes are expensive and in a number of states, the amount paid by homeowners increase each year. In Hawaii, you can save on mortgage interest since the amount can generally be subtracted from the federal tax. Other expenses can be deducted, especially for those who also use their homes as business centers. City and county taxes may also be deducted. To clarify your tax deductions, it’s best to consult a CPA that specializes in Hawaii properties. As for housing, monthly mortgage costs typically remain the same, and this could go on for a couple of years. This is the opposite of rental fees that are often raised every year.
Sound Property Investments
Owning a property in Hawaii will allow you to enjoy great weather almost every day; plus, nothing is sweeter than having your own space in this slice of heaven. But realistically, investing in Hawaii real estate is also a prudent move. Why? This is because the mortgage amount of land properties in Hawaii usually rises annually, at roughly 1% yearly. So, if you own land, you will most likely enjoy huge profits after 5 years or more.