What Should I Ask a Hawaii Real Estate Broker?

If you’re considering buying or selling property in Hawaii, working with a knowledgeable real estate broker is essential. To ensure you’re making informed decisions, it’s important to ask the right questions. Here’s a FAQ-style guide to help you navigate your discussions with a Hawaii real estate broker.

1. Are You Familiar With the Local Area?

Hawaii’s real estate market varies significantly by island and neighborhood. Ask your broker:

• Which areas do you specialize in?
• What’s the average market value in this neighborhood?
• Are there any unique community features I should know about?

2. What Experience Do You Have in Hawaii Real Estate?

Understanding a broker’s experience can give you confidence in their ability to navigate the complexities of Hawaii’s market. Questions to ask:

• How many years have you been working in Hawaii real estate?
• Have you handled transactions in this specific area or price range?
• Can you provide references or testimonials from past clients?

3. Can You Explain Hawaii’s Fee Simple vs. Leasehold Ownership?

Hawaii has unique property ownership types. A knowledgeable broker should explain:

• What’s the difference between fee simple and leasehold properties?
• Are there any special considerations for leasehold properties, such as lease expiration dates or monthly fees?
• Which ownership type is better for my goals?

4. What Should I Know About Lava Zones?

On the Big Island, lava zones impact insurance, financing, and risk. Ask:

• What lava zone is this property in?
• How does the lava zone affect insurance costs or availability?
• Are there any recent volcanic activity updates in this area?

5. What Are the Property Taxes Like in Hawaii?

Property taxes in Hawaii are among the lowest in the U.S., but rates vary by use. Key questions:

• What is the current property tax rate for this property?
• Are there any exemptions or credits I might qualify for as a resident or first-time buyer?
• How are taxes calculated for vacation rental properties?

6. Can You Help With Short-Term Vacation Rentals?

If you’re looking to invest in a vacation rental, regulations are crucial. Ask:

• Is this property eligible for a Short-Term Vacation Rental (STVR) permit?
• Are there zoning restrictions or HOA rules that affect vacation rentals?
• How can I ensure compliance with Hawaii’s vacation rental laws?

7. What Should I Know About Utility Services?

Some properties in Hawaii, especially in rural areas, use off-grid systems. Ask your broker:

• Is this property connected to municipal water and power?
• Does it use catchment water, solar panels, or a septic system?
• Are there maintenance costs associated with these systems?

8. How Competitive Is the Current Market?

Understanding market conditions helps you plan your purchase or sale. Ask:

• What’s the average time properties stay on the market in this area?
• Are we currently in a buyer’s or seller’s market?
• What’s your strategy for helping clients secure the best deal?

9. Are There Any Special Closing Costs in Hawaii?

Closing costs in Hawaii may include unique fees. Ask your broker:

• What are the typical closing costs for this type of property?
• Are there any state-specific fees I should budget for?
• Can you recommend local escrow and title companies?

10. Do You Work With a Team of Professionals?

A good broker often collaborates with other professionals to make the process smooth. Ask:

• Can you recommend a local lender familiar with Hawaii’s unique market?
• Do you work with trusted inspectors, appraisers, or contractors?
• Will you coordinate with these professionals on my behalf?

11. What’s Your Communication Style and Availability?

Clear communication is key to a successful transaction. Ask:

• How often will you update me during the process?
• What’s the best way to reach you—email, phone, or text?
• Are you available on weekends or evenings if needed?

12. How Can You Help Me Determine the Best Offer or Listing Price?

Pricing is critical whether you’re buying or selling. Ask:

• What comparable properties have sold recently in this area?
• How do you determine a competitive offer or listing price?
• Are there any negotiation strategies you recommend?

13. What Makes You Stand Out as a Hawaii Real Estate Broker?

Finally, ask your broker what sets them apart:

• Why should I choose you over another broker?
• What’s your success rate in closing deals?
• How will you ensure my needs are met throughout the process?

Final Thoughts

Working with a Hawaii real estate broker who understands the market’s unique challenges and opportunities is essential. By asking these questions, you’ll find a broker who aligns with your goals and can guide you every step of the way.

Ready to get started? Contact a me today to explore your options!