If you're preparing for your first home in Kahului, let's go through the key items you need to check in order. There are three main factors: budget, loan conditions, and assistance programs.

First is the budget. The average home value in the Maui area, where Kahului is located, is $1,016,632, which has decreased by 5 percent over the past year (Zillow, 2026). The median sale price across Maui Island has also dropped to around $1,040,000, down 19.9 percent from a year ago (Redfin). Even though it's a downward trend, the price exceeds $1,000,000, so you need to calculate that a 5 percent down payment would be over $50,000.

Next are the loan conditions. For FHA loans, a credit score of 580 or higher requires a 3.5 percent down payment, while a score between 500 and 579 requires 10 percent. For conventional loans, if you are a first-time homebuyer or have an income at or below 80 percent of the area median, you can start with a 3 percent down payment, but if you put down less than 20 percent, PMI will apply. Interest rates vary, with a score of 780 or higher at 6.59 percent, 760s at 6.66 percent, 740s at 6.75 percent, and 700s at 6.91 percent (themortgagereports.com). The average for a 30-year fixed-rate mortgage is around 6.6 percent (between 6.55 and 6.72 percent, Freddie Mac PMMS).

Property tax is also a key item to check. The effective tax rate in Maui County is about 0.20 percent, the lowest among Hawaii's four counties (propertytaxrates.org, 2026). However, for homes over $1,000,000, even with a low tax rate, the actual tax bill can be significant, so it's wise to calculate your monthly burden in advance.

Finally, there are assistance programs. The Hawaii Housing Finance and Development Corporation (HHFDC) offers the Hale Kamaaina program, which provides 30-year fixed-rate loans and down payment assistance to first-time homebuyers who are residents of Hawaii. Completion of homebuyer education from a HUD-approved agency is a prerequisite, and recently, it has been confirmed that some early applicants are also receiving assistance with closing costs.

Documents for pre-approval typically include proof of income for the last two years and W2s, recent two months of bank statements, and identification. Closing costs range from 2 to 5 percent of the loan amount, and in Maui, title insurance and escrow costs are often higher than on the mainland.

Between fixed-rate and ARM loans, if you plan to stay long-term, a fixed-rate mortgage is closer to stable homeownership. A home inspection is particularly important in island areas with high humidity and corrosion, so it should not be skipped. When Korean families consider school districts, they should refer to GreatSchools ratings, but since school district boundaries change frequently, it's advisable to check the assigned school before purchasing.

• Offer stage: Deposit 1 to 3 percent of the contract price as earnest money
• Appraisal contingency: Prepare for the possibility that the appraised value may fall short of the contract price
• Final walkthrough: Reconfirm any issues just before closing

If families are moving from another state to Maui, it's wise to calculate moving costs, including air freight, and the unique cost of living on the island. For investors looking for rental income, it's important to note that short-term rental regulations based on tourism demand vary by area, and rather than assuming prices will always rise, it seems more realistic to also monitor recent downward trends.

If you're newly immigrated from Korea and preparing for your first settlement, keep in mind that a short credit history may delay loan approval, so it's advisable to start building a banking history and credit card usage early. Having pre-approval can instill confidence in sellers when making an offer and provide negotiating power in competitive situations. To summarize the checklist, going through budget, down payment, loan conditions, property tax, assistance programs, and closing procedures one by one is the most reliable way to reduce mistakes.

This article does not constitute investment or legal advice, and consulting a professional before making any contracts is recommended.