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Renting VRS Buying
There are many factors to consider when you’re thinking about whether to own a home in Hawaii or to just rent. Topping the list is the money factor - can you afford to do either? The difference between a rental payment and a mortgage can often be two to three thousand dollars. Whether you were born here or flown here, it’s a question most people living in Hawaii contemplates: rent or buy?

It’s a competitive market out here
Whether renting or buying, both options will come with multiple offers on the same property you’re eyeing. Hawaii is always in demand. First and foremost, do your research and be prepared ahead of time before you consider renting or buying anything! Because when it’s “go” time, you want to be sure you don’t miss a beat with what you need to close on the deal.
Money talks
What we mean here is that your money will dictate whether a long-term plan of renting or buying is sustainable. When renting, your monthly housing budget will be lower than a mortgage payment and you may not have to dish out money for house repairs or even some utilities. So your wallet will be freed up for other things that support your lifestyle. When paying for a mortgage, however, you’re contractually stuck with a fixed payment that may disrupt other financial obligations you have. You will have to assess “wants and needs” in order to sustain a mortgage. But buying a home will make you money through equity, whereas, a rental payment doesn’t.
In it for the long haul?
Will you be calling Hawaii your forever home? Or will you get island fever and want to jet off to live elsewhere in a couple years? This matters because whatever your long-term plan is should dictate your decision to rent or buy. Real estate should always be looked at as a part of your overall financial plan. The truth is, your goals, income, life decisions, and debts are all factors that should be considered when renting or buying a home. Buyers tend to see real estate as an opportunity to grow their wealth and sustain themselves economically.
Living in Hawaii is a blessing regardless if you’re renting here or have bought a home here. If you’re fortunate enough to call the islands your home, you’re already on the upside. But we all know it takes sacrifice to financially afford to rent and buy here. Call us when you’re ready to do either, and we’ll gladly help you decide on what’s best for you!
By, Jacqueline Little (RB-21076)

