OAHU REAL ESTATE MARKET

Key Takeaways in 2025

In 2025, there was “a lot of not going on” with Oahu’s real estate market according to Dr. Lawrence Yun, Chief Economist for the National Association of REALTORS® (NAR).  Year-end numbers from the Honolulu Board of Realtors (HBR) supports this.  

However, for many current and prospective home owners (as well as Realtors), it felt like there was a whole lot going on - thanks to factors like higher interest rates (relative to historic 2020 lows), a challenging insurance market, aging condos, tariffs, and other policy and economic shifts.

Below is a snapshot of high-level metrics and takeaways from the Honolulu Board of Realtors (HBR) that illustrates the steadiness in 2025 and sparks insight into what we can possibly expect ahead in 2026. 

To view the full December 2025 Oahu real estate market report, click here.

Single-Family Homes - 2025 Oahu Real Estate Market

Condominiums - 2025 Oahu Real Estate Market

Key Oahu Real Estate Market 2025 Takeaways

• Buyers and Sellers were more cautious and slower to act due to interest rate sticker shock (relative to unprecedented pandemic-era lows) and uncertainty driven by tariffs and other factors.

• Single-family homes remained a Seller’s market, despite increased days on the market, due to limited inventory.

• Condos remained a Buyer's market, largely due to significant increases in insurance and maintenance costs.

• However, there were variances from neighborhood to neighborhood.

2026 Predictions

• Increased Buyer and Seller confidence and activity due to additional rate cuts (though nowhere near pandemic-era cuts) and pent-up demand. Increased Buyer confidence is already evident in the uptick of mortgage applications over the last few months.

• Market normalization due to stabilizing prices and increased sales activity (more Buyer demand and more inventory).

• Improved stability for condos, due to decreases in insurance rates and premiums (hopefully).

• Continued variance across neighborhoods and price segments.

Final Thoughts

Though it’s impossible to know with 100% certainty what’s ahead, it seems certain that -

• Real estate in Hawaii will continue to act as an inflation hedge due to limited land and steady demand. Over time, property values tend to rise with the cost of living. Owning a home continues to offer both shelter and long-term financial protection.

• Due to Oahu’s steady long-term appreciation, the right time to buy is as soon as you’re financially able to. Each year of waiting could mean paying 3-10% more - for the same home - each year you wait.

• Real estate will continue to serve as a cornerstone for personal wealth and hopefully a means to help kama’aina and talent stay in Hawaii.

If you're not sure what this means for your specific circumstance, feel free to reach out!   I'd love to help you craft a game plan for the year ahead and beyond.

Aloha,

JESSICA YUHARA I  Realtor with REMAX Hawaii

Phone  808-800-6521  I  Email  Jessica.Yuhara@RemaxHawaii.com