2024 · Hawaii

How investors finance real estate in Hawaii

In 2024, 2,026 investment-property loans worth $1.3B 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: 88 bps

Denial rate

25.6%

U.S. median: 17.2%

DSCR / business-purpose

72%

U.S. median: 69%

Median LTV

66%

U.S. median: 75%

What the numbers say

Investors in Hawaii borrowed at a median rate of 7.5%, versus 6.5% for owner-occupants — a 100 bps premium that ranks 16th of 51 states.

Their applications were denied 25.6% of the time. The leading reasons for denial were collateral, debt-to-income ratio, credit history.

72% of investor loans were business- or commercial-purpose — the category that includes DSCR and LLC-held loans — and 16% were cash-out refinances. The typical loan-to-value was 66%, implying about 34% down.

ProInvestorHubInvestor rate premium: Hawaii vs the nationExtra basis points investors pay over owner-occupantsHawaii100 bpsU.S. median88 bpsHighest (Mississippi)163 bpsSource: CFPB HMDA 2024 · proinvestorhub.comProInvestorHub

Frequently asked questions

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

In 2024, the median investment-property loan in Hawaii carried a rate of 7.5% versus 6.5% for an owner-occupant — a premium of 100 bps. That ranks 16th of 51 states (1 = highest premium).

What share of investor loan applications are denied in Hawaii?

25.6% of investment-property applications were denied in Hawaii in 2024, 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?

72% of investor loans in Hawaii were flagged as primarily business or commercial purpose — the bucket that includes DSCR and LLC-held loans (17th of 51). The median loan-to-value was 66%.

Source: CFPB / FFIEC HMDA Data Browser (loan-level public dataset), 2024. Single-family 1-4 unit, site-built loans; financed purchases only.