Hawaii’s cheapest property just entered the market – But it may be priced low for one huge reason

September 3, 2023 by No Comments

Recently, Hawaii’s cheapest property was listed for sale. At first glance, it may seem like a massive bargain. This is because it’s listed for a mere $16,000. Compared to most Hawaii real estate prices, this may not even be enough for a deposit, let alone an entire condo. Nonetheless, that is how much it costs to buy.

For some context, according to Redfin the median Hawaii property is worth over $800,000. So, why is this condo so cheap, and is it actually a good deal? Firstly, this isn’t exactly a mansion. For instance, it doesn’t even have a main bedroom and as seen below, the setup is incredibly basic. If you purchased this then you’d need a bit of money and creative license to spruce it up. Even still, it seems very cheap.


According to the Zillow listing, this condo is a leasehold which isn’t too unusual for an apartment. And this may be where the problem is. If the lease is very low then it could cost a lot of money to extend. In other words, sometimes leasehold properties can be deceptively expensive despite looking like a bargain.


At the same time, this could still turn out to be a bargain. With monthly costs at around $800 per month, this could turn out as a deal if the lease is over 10 years. In other words, you’d be effectively renting this out at a bargain price. As always with cheap properties, sometimes you have to take a gamble if you want a bargain.


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