Hawaii has the lowest property tax rate in the nation at 0.29% and the cheapest homeowners insurance in the country at around $659 per year — but these advantages are offset by the highest median home prices in the United States, exceeding $840,000 statewide. Buying a home in Hawaii requires careful financial planning, a substantial down payment, and awareness of the elevated conforming loan limit of $1,149,825, which reflects the state's exceptional home values. For those who can qualify, Hawaiian homeownership offers unmatched lifestyle and long-term appreciation.
Calculate Your Monthly Payment
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Select a program to apply FHA/VA/USDA rules.
Funding fee is often financed into the loan.
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Used to estimate potential Year‑2 escrow shock if taxes reset after purchase.
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Principal & Interest • Tax • Insurance • PMI • HOA
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Note: This is an estimate. Tax timing, exemptions, and escrow rules vary by county and lender. Always verify with your county assessor and your lender’s escrow analysis.
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Disclaimer: Results shown are estimates for educational purposes only and do not constitute financial, tax, legal, or investment advice. Actual payments vary based on lender, credit score, loan type, and local assessments. Consult a licensed mortgage professional for your specific situation.
Hawaii Mortgage Calculator Guide
Buying a home in Hawaii requires understanding local costs. The median home price in the state sits around $840,000, which means your down payment and loan amount will heavily dictate your monthly expenses. Because Hawaii has an average property tax rate of 0.29%, factoring this into your monthly mortgage payment is essential for an accurate budget.
Beyond principal and interest, homeowners insurance in Hawaii averages $659 per year. Local weather risks and property age can push this number higher. By using our pre-loaded local averages, you get a realistic view of your true housing costs rather than just a basic principal calculation.
If you put down less than 20%, you will also need to pay Private Mortgage Insurance (PMI). Adjust the down payment field above to see exactly how your PMI drops off once you reach that 20% equity threshold in Hawaii.
Hawaii has the lowest effective property tax rate in the United States at just 0.29%, and the state's homeowners insurance averages a remarkably low $659 per year — the cheapest in the country. However, these advantages are nearly entirely offset by the state's extremely high home values. On Hawaii's median home price of $840,000, annual property taxes still amount to approximately $2,436 — more in absolute dollars than many higher-rate states with cheaper homes. Each county in Hawaii sets its own property tax rates, with Honolulu County at approximately 0.35% and Hawaii County (Big Island) closer to 0.25%.
Frequently Asked Questions
Hawaii has the lowest effective property tax rate in the nation at approximately 0.29%. Each county sets its own rate — Honolulu County charges around 0.35%, while Hawaii County (Big Island) is near 0.25%. Despite the low rate, high home values mean annual tax bills can still be substantial in absolute dollar terms.
The statewide median home price in Hawaii exceeds $840,000, making it the most expensive state for homebuyers in the nation. Oahu averages around $720,000 for condos and over $1 million for single-family homes. The Big Island's Hilo area is the most affordable at approximately $420,000.
Hawaii's conforming loan limit is $1,149,825 for single-family homes — more than 50% above the standard national limit of $766,550. This elevated limit reflects the state's high home values and allows more buyers to access conventional financing rather than requiring a jumbo loan.
The Hawaii Housing Finance and Development Corporation (HHFDC) offers a Down Payment Loan Program for eligible first-time buyers. USDA Rural Development loans are available for qualifying properties on the Big Island and rural areas. The Hawaii HomeOwnership Center also provides counseling and assistance programs for local buyers.
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