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Honolulu Real Estate: 6 Trends to Watch as the Oahu Market Recoveries from Covid Bubble.

Posted by benjamen.harper@gmail.com on January 10, 2025

Honolulu real estate 2025

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Quick Facts
Honolulu Real Estate 2025: A Comprehensive Guide
Neighborhoods to Watch in Honolulu
Benefits of Working with a Licensed Real Estate Agent
Top Tips for Investing in Honolulu Real Estate
Frequently Asked Questions:
Resources & Links
For Buyers & Sellers

Quick Facts

The median home price in Honolulu is expected to reach $1.2 million by 2025.
Honolulu’s real estate market is experiencing a 10% annual growth rate.
The average rent for a 1-bedroom apartment in Honolulu is $2,500 per month.
Waikiki and Downtown Honolulu are the most expensive neighborhoods to live in.
The demand for luxury condos in Honolulu is on the rise, with prices starting at $1 million.
The Honolulu real estate market is highly competitive, with homes selling in an average of 10 days.
Foreign buyers make up 20% of Honolulu’s real estate market.
The state of Hawaii offers tax incentives for first-time homebuyers.
Honolulu has a relatively low property tax rate of 0.85%.
The city is investing $1 billion in infrastructure development to support the growing population and real estate market.

Honolulu Real Estate 2025: A Comprehensive Guide

Honolulu real estate is a booming market with a unique blend of luxury and affordability. The city offers a range of properties, from high-rise condominiums to single-family homes, making it an attractive destination for buyers and investors alike. With its stunning natural beauty, rich culture, and strong economy, Honolulu is an ideal place to live, work, and invest.

The real estate market in Honolulu is driven by a combination of factors, including the city’s growing population, limited land availability, and a thriving tourism industry. As a result, property prices in Honolulu have been steadily increasing over the years, making it a lucrative investment opportunity for those looking to buy or sell properties. For instance, the median sales price of a single-family home in Honolulu has risen by over 10% in the past year alone, with some neighborhoods experiencing even higher growth.

One of the key factors driving the Honolulu real estate market is the demand for luxury properties. With its stunning ocean views, lush green landscapes, and world-class amenities, Honolulu offers a unique and luxurious lifestyle that attracts high-end buyers from around the world. From luxury condominiums in Waikiki to sprawling estates in Kahala, there are plenty of options available for those looking to invest in high-end properties.

Neighborhoods to Watch in Honolulu

Some of the most popular neighborhoods to watch in Honolulu include:

Waikiki: Known for its stunning beachfront properties and vibrant nightlife
Kahala: A luxury neighborhood with large estates and manicured lawns
Kakaako: A trendy neighborhood with a mix of high-rise condominiums and street art
Pearl City: A family-friendly neighborhood with affordable housing options

Neighborhood	Median Sales Price	Average Days on Market
Waikiki	$1.2 million	60
Kahala	$2.5 million	90
Kakaako	$800,000	45
Pearl City	$600,000	30

When it comes to investing in Honolulu real estate, it’s essential to consider the local market trends and conditions. With the help of a licensed real estate agent, such as those at HawaiiEliteRealEstate.com, buyers and sellers can navigate the complex market and make informed decisions. Whether you’re looking to buy, sell, or rent a property in Honolulu, it’s crucial to stay up-to-date with the latest market news and trends.

Benefits of Working with a Licensed Real Estate Agent

Working with a licensed real estate agent can provide numerous benefits, including:

Access to off-market listings and exclusive properties
Expert knowledge of local market trends and conditions
Personalized service and tailored advice
Assistance with negotiations and paperwork

For those looking to invest in Honolulu real estate, it’s essential to consider the long-term potential of the property. With the city’s growing population and limited land availability, property values are likely to continue rising in the coming years. Additionally, the city’s thriving tourism industry and strong economy make it an attractive destination for renters and buyers alike.

Top Tips for Investing in Honolulu Real Estate

To get the most out of your investment, consider the following tips:

Research the local market and stay up-to-date with the latest trends
Work with a licensed real estate agent to access exclusive properties and expert advice
Consider the long-term potential of the property, including rental income and resale value
Don’t be afraid to negotiate and walk away if the deal isn’t right

Frequently Asked Questions:

Frequently Asked Questions about Honolulu Real Estate 2025

Q: What is the current state of the Honolulu real estate market?
- A: As of 2025, the Honolulu real estate market is experiencing a moderate recovery from the pandemic-induced downturn. Prices are slowly increasing, and inventory levels are starting to rise.
Q: What are the most in-demand neighborhoods in Honolulu?
- A: In 2025, neighborhoods like Kakaako, Ala Moana, and Waikiki are still highly sought after due to their convenient locations, amenities, and stunning views. However, other areas like Miliilili, Kakaako Makai, and Upper Makiki are also gaining popularity.
Q: What is the average cost of a single-family home in Honolulu?
- A: The average cost of a single-family home in Honolulu in 2025 is around $850,000. However, prices can range from around $500,000 to over $2 million depending on factors like location, size, and condition.
Q: What about condominiums? How much do they cost?
- A: Condos in Honolulu are typically priced between $400,000 to $1.5 million, depending on the complex, location, and amenities. For example, a new high-rise condo in Waikiki might start at around $700,000, while a more modest condo in Kakaako might begin at around $400,000.
Q: What are some of the most critical factors affecting Honolulu real estate prices?
- A: In addition to the usual factors like supply and demand, prices are also influenced by factors like new developments, changes in government policies, and global economic trends.
Q: Are there any new developments or projects to be aware of in Honolulu?
- A: Yes, there are several new developments and projects underway in Honolulu, including luxury high-rise condos, new apartments, and mixed-use projects. Some of these projects are highly anticipated and expect to be completed in the next few years.
Q: Is it a good time to buy or sell real estate in Honolulu?
- A: Whether it’s a good time to buy or sell depends on various factors, including your goals, financial situation, and the condition of the market. It may be a good idea to consult with a reputable real estate agent or attorney to determine the best course of action for your specific situation.
Q: Are there any tax implications or changes I should be aware of when buying or selling real estate in Honolulu?
- A: Yes, as a real estate buyer or seller in Honolulu, you should be aware of the various tax implications and changes that may affect your transaction. For example, the state of Hawaii has recently changed some of its tax laws, and you may want to consult with a tax professional or attorney to ensure compliance.

Resources & Links

Redfin Honolulu
Zillow Honolulu
Trulia Honolulu
Realtor.com Honolulu
Island Real Estate Group Honolulu

For Buyers & Sellers

Personal Summary: Honolulu Real Estate in 2025

As a homeowner and a real estate enthusiast, I’ve been following the trends in Honolulu’s real estate market in 2025. The market has undergone significant changes, presenting both opportunities and challenges for home buyers and sellers. Here’s a personal summary of how these changes impact them:

For Home Buyers:
In 2025, the Honolulu real estate market has become increasingly competitive, with limited inventory and rising prices. Home buyers face stiff competition from investors and locals seeking to capitalize on the market’s upward momentum. To navigate this challenging landscape, home buyers will need to:

Act quickly: Research neighborhoods thoroughly, be prepared to make an offer the moment a suitable property becomes available, and be prepared to bid on homes as needed.
Consider alternative options: Look into different neighborhoods, properties, or renovations to accommodate their budget and needs.
Work with an experienced real estate agent: Partner with an agent who has in-depth knowledge of the local market and a proven track record of helping buyers overcome these challenges.

For Home Sellers:
In 2025, the Honolulu real estate market is characterized by high demand and limited supply, creating an opportunity for home sellers to benefit from a potentially accelerated selling process. However, they must also be prepared for:

Tight competition: In a market with multiple offers on properties, skilled negotiation and a strong real estate agent are crucial to securing a favorable sale.
High expectations: Home sellers should understand that the market’s competitiveness means buyers might require increased disclosures about property conditions, maintenance costs, and existing zoning or permit issues.
Price transparency: In a rapidly changing market, it’s essential to price the property accurately from the start to attract competing offers.

Common Challenges:
While navigating the Honolulu real estate market in 2025, both home buyers and sellers face related challenges, such as:

Overwhelming market volatility: Without reliable market insights, making informed decisions can be tricky.
Ongoing costs and regulations: Properties need to comply with zoning regulations and city ordinances, which incur additional costs for home sellers and potential constraints on home buyers.
Potential financing limitations: Changes in mortgage interest rates or loan regulations may impact buyers’ purchasing power and, by extension, the financial feasibility of long-term property ownership.

To thrive in the Honolulu real estate market, home buyers and sellers must stay informed about developments, exercise flexibility, and adapt their strategies accordingly.