If you are a Korean family looking for a home in Kahului, there are many items to check. The first thing to confirm is the mortgage rate.

The factors that determine mortgage rates can be summarized into five main points.

• 10-year Treasury yield
• Federal Reserve's interest rate policy
• Inflation indicators (CPI, PCE)
• MBS (Mortgage-Backed Securities) market supply and demand
• Personal credit score, DTI, down payment ratio

When the 10-year Treasury yield rises, mortgage rates also tend to increase. Lenders add a spread to this Treasury yield to set their rates. The Federal Reserve's interest rate policy and inflation indicators are also taken into account. The supply and demand situation in the MBS market cannot be overlooked either.

As of 2026, the average 30-year fixed rate is observed to be in the mid-6% range. The 15-year fixed rate is about 0.5 to 0.75 percentage points lower than this. In short, the shorter the term, the lower the rate, but the higher the monthly payment.

The second item to check is the choice between ARM and fixed-rate mortgages. A 5/1 ARM has a low rate for the first five years, after which it adjusts. A 30-year fixed rate maintains the same rate from start to finish. If you plan to stay short-term, consider an ARM; for long-term plans, review fixed rates.

The third item to check is your credit score. There can be about a 1 percentage point difference between scores above 740 and those in the 620 range. DTI and down payment ratios should also be checked together.

The fourth item to consider is local characteristics. Kahului, located in Maui, tends to have higher housing prices due to its tourist nature, and it is not uncommon for loan amounts to exceed conforming limits, leading to jumbo loans. You should also check whether you need hurricane or flood insurance.

The fifth item is comparing lenders. Get quotes from at least three or four places. Compare not only the rates but also the closing costs. The effort you put in can lead to significant differences.

Mortgage rates may continue to fluctuate slightly due to inflation and the Federal Reserve's policies. By checking each item, you can determine the right timing for preparing to buy a home in Kahului.