The home prices in Hawaii are no joke. Especially, the housing market in Honolulu is among the most expensive in the United States.

The median transaction price for single-family homes on Oahu is around $1.05 million. This is nearly three times the national median home price.

At the current exchange rate, this exceeds 1.4 billion won, making it a significant burden compared to most major cities.

Still, demand remains steady. Due to the island's characteristics, there is almost no land available for new development, and being surrounded by the ocean and mountains makes it difficult to significantly increase supply.

As a result, many people opt for condos. The condo culture in Honolulu is very developed. The median transaction price is approximately $500,000 to $600,000, which is less burdensome than single-family homes.

In areas like Waikiki and Ala Moana, where amenities are well-established, condos are even more popular. They are easier to manage and offer shared facilities like pools and fitness centers, making them a common choice for retirement living or second homes.

There are also significant price differences depending on the neighborhood. In upscale residential areas close to the ocean, like Kahala and Hawaii Kai, single-family homes often exceed $2 million. These areas are home to many prominent businesspeople and professionals, so prices do not easily drop.

On the other hand, Waipahu, Ewa Beach, and Kapolei are relatively more accessible. However, they are not cheap. In these areas, single-family homes still range from $700,000 to $900,000. Compared to the mainland, these prices are still high.

When looking for a home in Hawaii, the first thing to check is the land ownership type. While the Fee Simple method, where land and buildings are owned together, is common on the mainland, leasehold properties are also quite prevalent in Hawaii. Leasehold means you own the building but lease the land. Although the initial price may seem low, the land lease rent can increase significantly after the contract ends, or the renewal terms may change, so it is essential to verify this. There are often cases where buyers regret signing a contract without fully understanding the price.

It is also important to be aware of property taxes. Hawaii has high home prices, but surprisingly, the property tax rate is relatively low compared to the rest of the U.S. However, the tax rates differ for primary residences and investment properties, and benefits like the Homestead Exemption apply to residents. Depending on whether you plan to live there or use it as an investment, the financial burden can vary.

For Korean residents, using a realtor who speaks Korean can be a good option. Since contracts and various documents are all in English, first-time homebuyers in the U.S. often find it more challenging than expected. Working with an experienced Korean real estate professional can make the process much smoother.

Owning a home in Hawaii is undoubtedly a dream for many people.

However, deciding based solely on the beautiful scenery comes with high prices and many factors to consider. If you approach it with thorough financial planning, an understanding of regional prices, and the land ownership type, the dream of waking up to the ocean view in a Hawaiian home could eventually become a reality.