Who doesn’t want to live in a paradise like Hawaii? The weather is perfect almost every day, all year long. The people are lovely, and it offers a great mix of natural wonder and beauty with nearby urban sophistication in cities like Honolulu.
The only drawback is the high cost of living. Everything there from food, to clothes, to places to live or start a business is more expensive. What does that mean for people looking for a little bit of island real estate?
Anyone looking for a single-family home should check out Aina Haina. It’s a great neighborhood with good schools. With a strong economy, low unemployment, and more people being able to take vacations, things are looking bright for real estate investors looking to buy a residential property.
That said, sound doesn’t equal hot. Your median cost for a single-family home in Hawaii is $615,000. These prices are being driven up in part by foreign and mainland investment, similar to what has been happening to Australian cities like Sydney for the last decade.
Honolulu and Hawaiian real estate, in general, has one unbeatable draw. There is no other place like Hawaii. It is the only first-class, tropical-island paradise that is part of the United States.
Some of the most beautiful homes and estates can be found in Diamond Head, where even a small condo can cost you seven figures. Diamond Head is where some of the most expensive Honolulu homes for sale can be found.
The more beautiful homes with a good-sized slice of land or beach can go for twenty or thirty million.
This area contains the state’s largest industrial park where there are various real estate projects ready for investment.
While tourism is Hawaii’s number one industry, it is still a shipping hub. This means ports and warehouses, and the supporting businesses like welding supplies and cleaning services that keep the island running.
Ala Moana and Kaimuki
Short of an apocalyptic disaster, there will always be people wanting to visit or live in Hawaii. That means a need for shops and dining.
Ala Moana is a great area to look for retail space, whether it’s a bodega or a unique gift shop. Kaimuki is synonymous with restaurants. Here people from all over the world will want to try native dishes, get a taste of home, or try an exotic dish from another part of the world.
Hawaii offers something unique that cannot be had anywhere else, compared to other places that have a factor that creates a high demand for real estate. Especially when you consider these aren’t always as permanent as people might believe.
Detroit has gone from a manufacturing boomtown to a virtual ghost town, and the tech industry isn’t as tethered to Silicon Valley as many people take for granted. The software can be made in as many different places as cars.
Hawaii is something that can’t be had or manufactured anywhere else. That doesn’t mean Honolulu real estate is without the risk or easy money. Bubbles still form and burst, and even hot spots can cool down, but Hawaii is likely to stay near the top of the real estate market for some time.