Hawaii Residential Market Overview
Hawaii’s property market will reflect cautious optimism through mid-2026 as home prices have modestly increased in major markets. According to state statistics compiled up until July 15, 2026, Oahu’s single-family home average was $1.12m, and Maui had $1.35m. Honolulu condominiums averaged $620,000, while Oahu single-family homes were $1.12 million.
New Housing Trends and Developments
To address the inventory shortage, state-wide developers are accelerating multifamily projects. The first phase of the Kakaako waterfront development in Honolulu opened in June. It features energy-efficient design and rooftop solar panels. The new Puna Ridge subdivision, which includes 180 homes, broke ground on the Big Island in April. It features wildfire resistant materials, native landscaping, and energy-efficient designs.
Recent Construction and Infrastructure Updates
Between January 2026 and June 2026 the state permitting offices issued 1,850 residential building permits, an increase of 7 percent over last year. The Honolulu Rail Extension, which will improve the access to West Oahu neighborhood and help support housing demands in future years, is one of many major infrastructure improvements.
The Mortgage Market and Investment Climate
As of July 15 2026, the average interest rate for 30-year mortgages was 6.35 percent. This is a slight decrease from its peak in spring. Hawaii Housing Finance and Development Corporation continues to provide down-payment help up to $50,000 to qualified first-time buyers.
Market Outlook
Analysts expect prices to remain stable through 2026. Inventory is expected to increase modestly with the completion of new construction. International buyers continue to drive the luxury segments of Maui and Kauai.
Recommendations for General Use
For more information, visit the Hawaii Association of Realtors at hawaiirealtors.com, the Hawaii Housing Finance and Development Corporation at dbedt.hawaii.gov/hhfdc, and the Honolulu Board of Realtors at honolulubrealtors.com.