Year end (2017) real estate reports have now been released as we wrap up the first month of 2018. While we’ve been reporting weekly on Oahu home sales trends (they all face upward, by the way) we thought we’d update you on the state of home rentals in the state of Hawaii, with implications that make a case that now may be the time to buy.
5 Rental Statistics That Tell You It’s Time to Buy a Home on Oahu in 2018
1. Hawaii Cracks the Top 3 in Most Expensive States to Rent
One annual study worth referencing is Abodo’s Annual Rent Report. The report shows that Hawaii ranks third in the country for highest average rent (1 BR), landing behind only Washington DC ($2,205) and Massachusetts ($1,945), with an average rent of $1,673 per month. California ($1,631) and New York ($1,565) follow in fourth and fifth position.
2. Honolulu Cracks the Top 5 for Greatest Average Monthly Rent Change
The same Abodo report shows that Honolulu is the driving force for this high rent distinction. Honolulu’s average monthly rental increase is 2.4%, claiming the third spot once again, but this time behind New Orleans LA (4%) and Reno NV (3.2%). Seattle WA (2.1%) and Corpus Christi (1.9%) round out the bottom half of the top five.
3. Honolulu Falls Short of a Baker’s Dozen in Most Expensive Cities to Rent
When it comes to highest average rent across all U.S. cities, Honolulu ranks in the 12th position, at $1,628 per month (1 BR), which is just $45 less than the Hawaii state average noted in item #1 above.
4. Honolulu Trending in the Top Ten in Most Expensive (Median) Cities to Rent in 2018 (so far)
Looking at early January 2018 data, we can already see that Honolulu is trending in the Top 10 for most expensive cities to rent in, with respect to the median price to rent. The current median rental rate (1 BR) in Honolulu is $1,816 per month, putting Honolulu in the ninth position.
5. Most Expensive Honolulu Communities to Rent In
Rent Jungle reports at year end (2017) that the most expensive Honolulu neighborhoods to rent apartments/condos include Mccully-Moiliili, Ala Moana-Kakaako, and Hawaii Kai. The cheapest (relative term) Honolulu neignborhoods to rent apartments/condos in are Waimanalo, Makiki, and Liliha-Kapalama.
Why pay high rates for a rental when that money can be put towards a mortgage? At the very least, it’s worth investigating whether or not you can find a mortgage on Oahu that is comparable to what you are spending on rent each month. And guess what? It may be more viable than you think it is. For instance, did you know that you may qualify for a Down Payment Assistance Program? Richmond Realty Hawaii has provided a FREE online tool (click here) that will allow you to see if you are eligible for this amazing program which creates opportunities for homebuyers on the island, opportunities that can have you leave the inflated rental market in the dust.
But in addition to listing affordable single family homes, we can help you find a more affordable rental option, in the event that you’re still not ready to buy. And when you finally are ready to put your monthly income to better use, the Richmond Realty Hawaii team will be by your side. It all begins with a phone call (808.284.1004) or email to firstname.lastname@example.org.
~ Richmond Realty Hawaii ~