2025 · Hawaii

How investors finance real estate in Hawaii

In 2025, 2,646 investment-property loans worth $1.7B were originated on single-family 1-4 unit homes in Hawaii. Here's how those terms compared to the rest of the country.

Investor rate premium

100 bps

U.S. median: 76 bps

Denial rate

25.1%

U.S. median: 17.5%

DSCR / business-purpose

74%

U.S. median: 72%

Median LTV

68%

U.S. median: 74%

Since 2024 in Hawaii

Rate premium

100 bps 100 bps

0 bps

Investor loans

2,026 2,646

+30.6%

Denial rate

25.6% 25.1%

-0.4 pts

DSCR / business-purpose

72% 74%

+2.0 pts

What the numbers say

Investors in Hawaii borrowed at a median rate of 7.125%, versus 6.125% for owner-occupants — a 100 bps premium that ranks 5th of 51 states.

Their applications were denied 25.1% of the time. The leading reasons for denial were collateral, debt-to-income ratio, credit history.

74% of investor loans were business- or commercial-purpose — the category that includes DSCR and LLC-held loans — and 19% were cash-out refinances. The typical loan-to-value was 68%, implying about 32% down.

ProInvestorHubInvestor rate premium: Hawaii vs the nationExtra basis points investors pay over owner-occupantsHawaii100 bpsU.S. median76 bpsHighest (Alaska)113 bpsSource: CFPB HMDA 2025 · proinvestorhub.comProInvestorHub

Frequently asked questions

How much more do investors pay for a mortgage in Hawaii?

In 2025, the median investment-property loan in Hawaii carried a rate of 7.125% versus 6.125% for an owner-occupant — a premium of 100 bps. That ranks 5th of 51 states (1 = highest premium).

What share of investor loan applications are denied in Hawaii?

25.1% of investment-property applications were denied in Hawaii in 2025, the 2nd-highest denial rate among the 51 states. The most common denial reasons were collateral, debt-to-income ratio, credit history.

How common are DSCR and business-purpose investor loans in Hawaii?

74% of investor loans in Hawaii were flagged as primarily business or commercial purpose — the bucket that includes DSCR and LLC-held loans (15th of 51). The median loan-to-value was 68%.

Source: CFPB / FFIEC HMDA combined Modified LAR (loan-level public dataset, early release), 2025. Single-family 1-4 unit, site-built loans; financed purchases only.