HONOLULU (KHON2) — Buying and renting homes in Hawaii continues to be a challenge for most residents, according to the latest Housing Factbook released by the University of Hawaii Economic Research Organization (UHERO).
Economists say fewer than 25% of households earn enough to afford a single-family home in the state, underscoring ongoing concerns about housing affordability.
While condominium prices have dipped slightly, experts warn that the overall outlook remains troubling.
“The bad news hidden within that good news is part of that is this mortgage-era home insurance crisis,” said UHERO economist Justin Tyndall. “The pullback of insurers unwilling to provide insurance to condos means a lot of people can’t qualify for a mortgage, which has zapped some demand and is partially why prices have gone down.”
Meanwhile, UHERO reports that rents continue to rise across the state, though at a slower pace than in previous years.