Renting vs. Buying on O‘ahu in 2026: A Local Kama‘aina Guide

Written By Mai Kashihara

If you’re renting on O‘ahu and wondering, “Should I just keep waiting?” you’re not alone. A lot of kama‘āina buyers I talk to feel stuck between high prices, interest rates, and the reality that rent isn’t exactly cheap either.

I’m Mai Kashihara with eXp Realty, and I help local, owner-occupant buyers make clear decisions with a simple rent vs. buy breakdown (no pressure, just numbers). Here’s a practical guide to help you think it through.

The real question isn’t “Is it cheaper?”

Most people start with: “Is buying cheaper than renting?” On O‘ahu, the better question is usually:

  • Can you afford the monthly payment comfortably?

  • How long do you plan to stay?

  • Do you want stability (and control) more than flexibility?

Because even when the monthly payment is higher at first, buying can still make sense if you’re planning to stay put and you want a home that feels like yours.

What makes O‘ahu different (and why mainland rules don’t always fit)

A lot of online advice is written for mainland markets. O‘ahu has its own realities:

  • HOA fees are common (especially condos and townhomes)

  • Insurance and maintenance can be higher than people expect

  • Parking, pet rules, and building health matter a lot for condos

  • Leasehold vs. fee simple is a real decision point here

So instead of generic “30% of income” rules, I like using a local, itemized approach.

A simple rent vs. buy framework (local and realistic)

Here’s the quick way I walk clients through it.

1) Start with your “comfortable monthly number”

Forget what a lender says you can qualify for. What payment feels comfortable with your real life?

  • Childcare, school drop-offs, helping family

  • Groceries, gas, and everyday O‘ahu costs

  • Travel, savings goals, and emergency cushion

If you tell me your comfortable range, I can show what’s realistic in today’s market.

2) Compare the full monthly cost (not just mortgage)

For many O‘ahu homes, the true monthly picture includes:

  • Principal + interest

  • Property taxes

  • Homeowners insurance

  • HOA (condo/townhome)

  • Maintenance reserves (even for newer homes)

If you’re renting, I also factor in:

  • Expected rent increases

  • Parking/storage fees

  • The “moving cost” every couple years (deposits, trucks, time off work)

3) Decide how long you’ll realistically stay

This is huge. If you’re thinking:

  • 1–2 years: renting can be the smarter, simpler move

  • 3–5+ years: buying often starts to make more sense, especially if you want stability

No one can predict everything, but having a realistic time horizon helps you avoid regret.

Common O‘ahu buyer mistakes (and how to avoid them)

Mistake #1: Only looking at list price

On O‘ahu, two homes at the same price can feel totally different monthly depending on HOA, insurance, and condition.

Mistake #2: Ignoring building health for condos

If you’re buying a condo, you want to understand things like:

  • Reserve strength

  • Insurance situation

  • Upcoming maintenance projects

  • Rules that affect your lifestyle (pets, parking, rentals)

Mistake #3: Waiting for the “perfect time”

I’m not here to push anyone to buy. But I will say: the “perfect time” usually isn’t obvious in the moment.

A better approach is:

  • Get clear on your numbers

  • Watch the neighborhoods you actually want

  • Be ready when the right fit shows up

Leasehold vs. Fee Simple (quick, plain-English)

This comes up a lot with local buyers.

  • Fee simple: you own the unit and the land interest associated with it

  • Leasehold: you own the unit, but you’re leasing the land for a set period

Leasehold can be a way to get into certain areas at a lower price, but it’s not for everyone. If you’re considering leasehold, I’ll help you weigh:

  • Lease expiration timeline

  • Monthly lease rent (if applicable)

  • Financing considerations

  • Your long-term plan

What I’m seeing with local owner-occupant buyers right now

In many pockets of Honolulu and across O‘ahu, buyers are seeing a little more breathing room than the peak frenzy periods. The best homes still move fast, but not everything is a sprint.

If you’re a local buyer trying to get out of the rent cycle, the biggest win is getting a clear plan so you’re not guessing month to month.

Quick next step (free and actually helpful)

If you want, I’ll run a personalized rent vs. buy breakdown for you based on your:

  • Target area(s)

  • Monthly comfort range

  • Down payment plan

  • Must-haves (parking, pet friendly, yard, etc.)

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FAQs

Is it better to rent or buy on O‘ahu right now?

It depends on your monthly comfort range, how long you plan to stay, and whether you want stability. The best move is to compare the full monthly cost (including HOA and insurance) and your realistic timeline.

How much should I spend on housing in Honolulu?

Online rules are a starting point, but local costs vary a lot. I recommend choosing a monthly payment that still lets you save, handle family responsibilities, and keep an emergency cushion.

Do I need a huge down payment to buy on O‘ahu?

Not always. Many buyers use different loan options depending on their situation. The key is understanding your monthly payment and cash-to-close clearly before you shop seriously.

Are condos a good first home in Honolulu?

They can be, especially for owner-occupants who want a more manageable entry point. Just make sure you understand HOA fees, building health, insurance, and rules around parking and pets.

What’s the biggest thing that surprises first-time O‘ahu buyers?

HOA fees and the true monthly cost. Two homes with similar prices can have very different monthly payments once you factor everything in.

About the author

Mai Kashihara is a real estate agent with eXp Realty on O‘ahu, Hawaii, helping local owner-occupant buyers and sellers make confident decisions with clear numbers and a no-pressure approach.

Mai Kashihara
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