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UpdatedJanuary 1, 2026ReviewedAugust 23, 2026Where our FHA figures come from
Homes and county courthouse in Hawaii County, Hawaii, illustrating 2026 FHA loan limits for Hawaii County buyers

Hawaii County, HI FHA loan limits 2026

The 2026 FHA loan limit in Hawaii County is $586,500 for a one-unit home — above the $541,287 national floor because HUD designates it a high-cost area. Hawaii County is part of the Hilo-Kailua, HI metro area.

1-unit limit
$586,500
2-unit limit
$750,800
3-unit limit
$907,550
4-unit limit
$1,127,900

Reference data for Hawaii County

We are licensed to arrange residential mortgage loans in Florida and Colorado only, so this Hawaii County, HI page is published HUD/FHA reference data — not an offer or solicitation.

See where we are licensed
Quick answer

What is the FHA loan limit in Hawaii County, HI for 2026?

The 2026 FHA one-unit loan limit in Hawaii County is $586,500 because HUD designates it a high-cost area, above the $541,287 floor. Multi-unit limits run to $1,127,900 for four units. With 3.5% down at a 580 FICO that supports a purchase price around $607,772, and the limit applies to FHA case numbers assigned on or after January 1, 2026.

  • One-unit limit: $586,500
  • Four-unit limit: $1,127,900
  • Minimum down payment: $21,272 (3.5%)
  • HUD area: Hilo-Kailua, HI

Source: HUD CHUMS 2026 forward limit file. Figures are HUD maximums and illustrations, not a quote, approval, or commitment to lend. Reviewed by the licensed mortgage team at Simply Approved Mortgages against HUD Handbook 4000.1 — see our editorial policy.

Hawaii County FHA planning takeaways

  • Ranked #5 of 5 Hawaii county areas by one-unit limit, against a statewide median of $1,110,900.
  • Buying above $607,772 in Hawaii County means covering the gap in cash, because FHA caps the loan at $586,500 — not the price.
  • Financed upfront MIP of about $10,264 sits on top of the base loan and is normally rolled in rather than paid at closing.
  • HUD's high-cost designation here means the limit is rebalanced each December from Hilo-Kailua, HI median prices, so it can move year to year.
  • A 2-unit purchase raises the cap to $750,800 and a 4-unit to $1,127,900, provided you occupy one unit.

Verified local data

Hawaii County housing and income data (2024)

These figures come from the U.S. Census Bureau American Community Survey 5-year estimates for Hawaii County, HI. They describe the local market — they do not set your loan amount, which depends on the property price, your income and lender underwriting.

Median home value
$519,300

Owner-occupied units

Median household income
$78,639

Past 12 months

Homeownership rate
74.0%

Owner-occupied share of occupied units

Population
205,769

ACS 5-year estimate

What this means for an FHA buyer in Hawaii County

  • The 2024 median home value of $519,300 sits $67,200 below the $586,500 FHA one-unit loan limit here, so a typical local home can generally be financed with an FHA loan.
  • At 3.5% down on a $519,300 purchase, the minimum required investment is about $18,176, before closing costs and prepaid items.
  • Local home values are roughly 6.6× median household income, which is a rough affordability signal — your own debt-to-income ratio is what underwriting actually measures.

Source: U.S. Census Bureau, American Community Survey 2024 5-year estimates. Data refreshed August 28, 2026. Census reports estimates with margins of error and does not endorse any lender.

Government lending and hazard data

FHA lending activity and hazard risk in Hawaii County, HI

In 2025, lenders reported this much FHA activity in Hawaii County under the Home Mortgage Disclosure Act. These are county-wide historical statistics about applications other borrowers already filed, published by federal agencies. They do not predict any individual outcome.

FHA loans originated (2025)
311

All FHA purposes reported under HMDA (purchase and refinance)

Originated share of decided applications
77.2%

311 originated of 403 originated-or-denied

Average FHA loan amount
$371,495

HMDA 2025 originated volume ÷ count

FEMA natural hazard risk
Relatively High

Coastal flood: Relatively Low · Hurricane: Relatively Low

Why hazard ratings matter to your FHA payment

FHA requires hazard insurance, and lenders escrow it with taxes as part of the monthly payment. In counties FEMA rates higher for coastal flooding or hurricane exposure, insurance and any required flood policy can be a larger share of that payment than buyers expect. FEMA's rating is county-wide — your actual premium depends on the specific property, its flood zone, elevation, construction and your insurer. Ask us to price a payment using a real insurance quote for the address, not a county average.

Sources: CFPB HMDA Data Browser, 2025 and FEMA National Risk Index. Federal agencies do not endorse any lender or loan program. HMDA figures describe completed, county-wide reporting for the year shown — they are not an approval rate for you, not an advertised rate, and not an offer or commitment to lend.

What $586,500 buys in Hawaii County

FHA limits cap the loan amount, not the purchase price. With the minimum down payment you can buy above the limit — here is the math for this county.

Max purchase price at 3.5% down
$607,772
Minimum down payment
$21,272
Max FHA base loan amount
$586,500
Upfront MIP (1.75%, financed)
$10,264

Upfront mortgage insurance premium is 1.75% of the base loan amount and is normally financed into the loan. Annual MIP is charged separately. Figures are illustrations, not a loan commitment or rate quote.

FHA requirements in Hawaii County

Borrower rules

  • 580+ FICO for 3.5% down; 500–579 requires 10% down
  • Debt-to-income generally up to 43%, higher with compensating factors
  • Two-year employment history, verifiable income
  • Down payment may be 100% gifted from family

Property rules

  • Owner-occupied primary residence within 60 days of closing
  • 1–4 units; the 2–4 unit limits above apply to multi-unit purchases
  • FHA appraisal and minimum property standards required
  • Condos must be on the FHA-approved list or single-unit approved

County data

County FIPS
HI001
HUD metro area
Hilo-Kailua, HI
HUD median price
$510,000
Limit tier
High-cost

How Hawaii County compares

Rank in Hawaii
#5 of 5
Statewide limit range
$586,500 – $1,299,500
Hawaii median county limit
$1,110,900
Counties nationwide with a higher limit
359

HUD sets each county's FHA limit at 115% of the local median home price, bounded by a national floor of $541,287 and a ceiling of $1,249,125 for 2026 (special-exception areas — Alaska, Hawaii, Guam, and the U.S. Virgin Islands — may go higher). Hawaii County's one-unit limit of $586,500 is $45,213 above the national floor.

Within Hawaii, Hawaii County ranks #5 of 5 county-equivalent areas by one-unit limit, against a statewide median of $1,110,900 and a range of $586,500 to $1,299,500. 5 Hawaii counties carry a HUD high-cost or ceiling limit. Nationally, 359 of 3,235 county areas have a higher one-unit limit, placing Hawaii County in roughly the 89th percentile.

Limits are republished every December and apply to case numbers assigned on or after January 1. Our county tables are refreshed automatically from HUD's official CHUMS limit file, the same data source the FHA Connection system uses.

Kalawao County$1,299,500Maui County$1,299,500Kauai County$1,110,900Honolulu County$828,000
All Hawaii county limits Look up another county

FHA loan programs explained (general information)

FHA 203(b)
FHA 203(b) Standard Home Loan

The standard FHA mortgage — 3.5% down, flexible credit, owner-occupied homes

FHA 203(k)
FHA 203(k) Renovation Loan

Buy a fixer-upper and roll renovation costs into one mortgage

FHA Streamline
FHA Streamline Refinance

Refinance your existing FHA loan with no appraisal and minimal paperwork

FHA Cash-Out
FHA Cash-Out Refinance

Tap your home equity with an FHA refinance — up to 80% LTV

HECM
FHA HECM Reverse Mortgage

Convert home equity to cash without a monthly mortgage payment — for homeowners 62 and older

Hawaii County FHA questions, answered

What is the FHA loan limit in Hawaii County, HI for 2026?
The 2026 FHA loan limit in Hawaii County, Hawaii is $586,500 for a one-unit property, $750,800 for two units, $907,550 for three units, and $1,127,900 for four units. These limits apply to FHA case numbers assigned on or after January 1, 2026.
How much house can I buy with an FHA loan in Hawaii County?
With the minimum 3.5% down payment, the maximum purchase price in Hawaii County is about $607,772 — that is the $586,500 maximum loan amount plus a $21,272 down payment. Figures are illustrations, not a loan commitment.
Is Hawaii County a high-cost FHA area?
Yes. Hawaii County is a HUD-designated high-cost area for 2026, so its FHA limit of $586,500 is above the $541,287 national floor.
Which metro area does HUD use for Hawaii County?
HUD assigns Hawaii County to the Hilo-Kailua, HI area, and the county limit is set from that area's median home price.
What credit score do I need for an FHA loan in Hawaii County?
FHA allows a 3.5% down payment with a 580 or higher FICO score, and 10% down with a score of 500–579. Individual lender overlays may require more. Credit requirements are set by HUD and the lender; this is general information, not a quote, approval, or commitment to lend.
Can I get an FHA loan with down payment assistance in Hawaii County?
Down payment assistance may be layered with an FHA loan in Hawaii County where a state, county, or agency program serves the area and the borrower meets its income and purchase-price limits. Most assistance is a repayable or forgivable second lien, not a grant. Simply Approved Mortgages arranges residential mortgages only in Florida and Colorado.
What is the minimum down payment on a $586,500 FHA loan in Hawaii County?
At the Hawaii County one-unit maximum of $586,500, the 3.5% minimum required investment is about $21,272. The full amount may come from an eligible gift. This is an illustration, not a loan offer.
How much is FHA mortgage insurance on a Hawaii County loan?
Upfront MIP is 1.75% of the base loan amount — about $10,264 at the Hawaii County one-unit limit, usually financed into the loan — plus annual MIP of roughly 0.55% for a typical 30-year loan with the minimum down payment.
Does the Hawaii County FHA limit cap what I can pay for a home?
No. The $586,500 figure caps the base loan amount, not the price. Buyers in Hawaii County regularly purchase above that by increasing the down payment so the loan stays within the limit.
What are the FHA multi-unit limits in Hawaii County?
For 2026, Hawaii County allows $750,800 on a duplex, $907,550 on a triplex, and $1,127,900 on a fourplex. You must occupy one unit as your principal residence within 60 days of closing.
When do the 2026 FHA limits take effect in Hawaii County?
They apply to FHA case numbers assigned on or after January 1, 2026. A file with an earlier case number keeps the prior year's Hawaii County limit, which matters for transactions that straddle year-end.
Does an FHA appraisal work differently in Hawaii County?
The rules are federal, not local: an FHA appraiser in Hawaii County establishes market value and confirms HUD's Minimum Property Requirements, so health and safety items generally must be corrected before closing.
Can I buy a condo in Hawaii County with an FHA loan?
Yes, if the project appears on HUD's condominium approval list or the unit qualifies for FHA single-unit approval. Check the project's status before writing an offer in Hawaii County, since approval can lapse.
Is FHA the right choice for buyers in Hawaii County?
FHA suits buyers with lower credit scores or limited down payment funds because mortgage insurance is not priced by credit score. Buyers with stronger credit and 5% or more down should compare a conventional loan on the same Hawaii County property before deciding.
Where can I verify the Hawaii County FHA limit myself?
HUD publishes county-level forward mortgage limits in its official CHUMS file and in the FHA mortgage limits lookup on hud.gov. This page is built from that dataset and shows the effective period and verification date.

FHA loan availability in Hawaii County, HI

Educational information only — we are not licensed in this state

Simply Approved Mortgages LLC is licensed to arrange residential mortgage loans in Florida and Colorado only. We are not licensed in Hawaii County, HI and this page is not an offer, solicitation, advertisement of credit terms, quote, pre-approval or commitment to lend in Hawaii County, HI. The figures shown are published HUD/FHA county loan-limit data provided for general educational reference. We do not accept mortgage applications, take loan inquiries, or originate loans for properties in Hawaii County, HI. Business-purpose loan products may be arranged in additional states only where permitted by applicable law and pursuant to applicable licensing requirements or exemptions. For financing in Hawaii County, HI, please contact a mortgage professional licensed in that state.

Buying or refinancing in Florida or Colorado?

We are licensed in Florida and Colorado only and cannot originate loans in Hawaii County, HI. If your property is in FL or CO, we can help.

Start My ApprovalCall 877-813-7219

Sources for this page

Program rules and figures on this page are taken from the primary government sources below, not from third-party summaries.

Simply Approved Mortgages is not affiliated with or endorsed by HUD, FHA, or any government agency.

Weighing it up

Pros and cons of FHA loans in Hawaii County, Hawaii

The trade-offs below are specific to FHA loans in Hawaii County, Hawaii. Reviewed August 23, 2026 against HUD Handbook 4000.1 and the current HUD county loan limit file.

What works in your favor

  • The 2026 one-unit FHA limit in Hawaii County is $586,500, which is about $94,350 above the FHA-financed amount on a $510,000 home with 3.5% down.
  • A 3.5% down payment here is roughly $17,850 against the county median, versus about $102,000 for a conventional 20% down payment.
  • 100% of that down payment can be gifted, and a seller may contribute up to 6% of the sale price toward closing costs and prepaids.
  • Two- to four-unit limits rise to $750,800, $907,550 and $1,127,900 — an owner-occupied duplex or fourplex in Hawaii County is financeable with the same 3.5% down.
  • Hawaii County is part of the Hilo Kailua market, so appraisal comparables are usually drawn from a broad metro pool rather than a thin rural set.

What to plan around

  • Hawaii County sits at the national FHA floor of $586,500. Above that price you are bringing the entire difference in cash, because the limit caps the loan amount, not the purchase price.
  • FHA annual mortgage insurance stays on the loan for the life of the loan at 3.5% down; removing it later means refinancing out of FHA.
  • The FHA appraisal applies HUD minimum property standards. In Hawaii County, deferred-maintenance homes may need repairs completed before closing or a 203(k) renovation structure instead.
  • Simply Approved Mortgages is licensed in Florida and Colorado only, so this Hawaii page is educational and is not an offer of credit in this state.
Worked example

How FHA works on a $510,000 home in Hawaii County

Hawaii County's dataset median value is about $510,000, and the county's 2026 one-unit FHA limit is $586,500. Running the standard 3.5%-down FHA structure on that median shows what a buyer here actually needs and how much limit room is left.

How FHA works on a $510,000 home in Hawaii County
Example purchase price (county median)$510,000
FHA down payment at 3.5%$17,850
Base loan amount$492,150
Upfront MIP at 1.75%, financed$8,613
Total FHA loan amount$500,763
2026 one-unit county limit$586,500
Room left under the county limit$94,350 of base-loan room
Conventional 20% down for comparison$102,000

Illustration only, not a quote, rate lock, offer or commitment to lend. Down payment, terms of repayment and APR depend on your credit, income, property, county limit, lender pricing and program eligibility, and all loans are subject to lender underwriting and approval. County limits: HUD CHUMS 2026 forward limits. Median value is a dataset reference figure, not an appraisal.

Document checklist

What documents you need for FHA loans in Hawaii County, Hawaii

This is the set an FHA underwriter typically asks for. Having it ready before you write an offer is the single biggest difference between a two-week and a six-week file.

Identity and residency

  • Government-issued photo ID and Social Security number
  • Two-year residence history with landlord contact where you rented

Assets

  • Two months of statements for every account used for down payment or reserves
  • A signed gift letter plus the donor's source of funds for any gifted money
  • Retirement statements when reserves are drawn from those accounts

Property and credit

  • Fully executed purchase contract with all addenda
  • Homeowners insurance quote, plus flood coverage where required
  • Written explanation for credit events, plus bankruptcy or foreclosure paperwork if applicable

Specific to this scenario

  • A fully executed purchase contract for the Hawaii County property, including any seller-paid closing-cost credit
  • Evidence of hazard insurance quoted for Hawaii
  • The current tax bill for the parcel, so the qualifying payment can be re-set to post-closing Hawaii County taxes
Income documentation

Self-employed vs. W-2 employed: what it means for your FHA loan

Whether you are W-2 employed or self-employed changes the paperwork on a Hawaii County file far more than it changes the program itself. FHA does not apply a different credit score, down payment or county limit to self-employed borrowers — it applies a different documentation standard.

FHA documentation differences between W-2 employed and self-employed borrowers
ItemW-2 employedSelf-employed
History requiredTwo-year employment history, with gaps explained. A job change inside the same field is usually fine.Generally two years of self-employment. A shorter history can sometimes be considered when there is documented prior experience in the same line of work.
How income is calculatedBase pay from pay stubs and W-2s. Bonus, overtime and commission generally need a two-year history to be averaged in.Net income from tax returns, averaged and adjusted for allowable add-backs such as depreciation. Write-offs that reduce taxable income also reduce qualifying income.
Documents that open the file30 days of pay stubs, two years of W-2s, and a verification of employment.Two years of personal and business returns, year-to-date P&L and balance sheet, and evidence the business is still operating.
Verification at closingThe employer is re-verified shortly before closing; do not change jobs mid-process without telling your loan officer.Continued existence of the business is re-verified close to closing, typically through a third-party or licensing check.
Most common delayUnexplained gaps, a new job with variable pay, or a VOE the employer never returns.A declining year over year, or a large deduction that removes the very income needed to qualify.
What we suggestGet the VOE moving on day one — it is the item most often outstanding at the end.Have your accountant produce the year-to-date P&L before you shop, so qualifying income is known before you write an offer.

If you are W-2 employed

  • Pay stubs covering the most recent 30 days
  • W-2 forms for the last two years
  • A verification of employment; HUD Handbook 4000.1 Update 18 tightened the written and electronic VOE rules, so expect the employer record to be verified directly
  • Documentation of bonus, overtime or commission income if you want it counted

If you are self-employed

  • Two years of personal federal tax returns, all schedules
  • Two years of business returns for a partnership, S-corp or C-corp, plus K-1s
  • A year-to-date profit and loss statement and balance sheet
  • Business license, CPA letter or equivalent evidence the business is active

General FHA documentation guidance per HUD Handbook 4000.1, including Update 18 changes to written and electronic verification of employment. Requirements vary by borrower, property, lender and program, and all loans are subject to lender underwriting and approval. Sources: HUD Handbook 4000.1

Run the numbers for Hawaii County

FHA payment, affordability, closing cost and refinance calculators for Hawaii County, Hawaii

Prefilled with the 2026 HUD reference median of $510,000 for Hawaii County, Hawaii, a 0.27% effective property tax rate and a directional $1,600 annual homeowners premium. Change any input — the interest rate is your own assumption, not an offer.

Education only: Simply Approved Mortgages LLC is not licensed in Hawaii. This calculator is a general math tool using published HUD/FHA and federal reference data — it is not a quote, offer, advertisement of credit terms, pre-qualification or commitment to lend in Hawaii, and we cannot accept a mortgage application for a property there.

$
%

FHA minimum is 3.5% at 580+ credit.

%

Your assumption — not a quoted rate.

yrs
%
$
Estimated total monthly payment
$3,639
Principal & interest
$3,165
FHA annual MIP
$226
Property tax
$115
Homeowners insurance
$133
Down payment
$17,850
Loan amount incl. financed UFMIP
$500,763
How FHA Rates Work

Educational estimate only. Simply Approved Mortgages LLC is not licensed in Hawaii, so we do not accept mortgage applications for properties there and nothing here is a rate quote, pre-qualification or offer of credit. Sending your scenario records informational interest for future-licensing planning only — no loan officer will contact you about financing in Hawaii.

Estimates for general educational purposes only. Interest rates shown are assumptions you enter, not quoted rates, and nothing here is a rate lock, APR, payment quote, pre-approval, offer or commitment to lend. Results exclude HOA dues, flood or wind policies, mortgage insurance changes, points and lender-specific fees. FHA upfront MIP of 1.75% and annual MIP of 0.55% follow HUD Mortgagee Letter 2023-05 for a 30-year term at 3.5% down. Property tax and insurance inputs are directional state references, not a parcel-level bill. Eligibility, terms, conditions and availability vary by borrower, property, lender, loan program and state. All loans are subject to lender underwriting and approval. Equal Housing Opportunity. Sources: HUD Mortgagee Letter 2023-05 (MIP) · HUD Mortgagee Letter 2025-23 (2026 loan limits) · U.S. Census Bureau ACS · NAIC homeowners insurance · CFPB Closing Disclosure

Taxes, insurance and local expenses

What owning actually costs in Hawaii County, Hawaii

Mortgage pricing moves the payment a little. Property tax and insurance move it a lot, and they are entirely local. These figures are built from the 2026 HUD county dataset for Hawaii County, Hawaii and Hawaii tax and settlement conventions, reviewed August 23, 2026.

Estimated ownership costs in Hawaii County, Hawaii on a $510,000 home
CostEstimateHow it works here
Property tax$115 / moAbout 0.27% effective on $510,000 — roughly $1,377 a year. Millage is set locally, so verify the parcel's actual bill.
Homeowners insurance$133 / moDirectional $1,600 a year for a single-family owner policy in Hawaii. Wind, hail and flood may be separate policies.
FHA annual mortgage insurance$226 / mo0.55% of the $492,150 base loan at 3.5% down, 30-year term, per HUD Mortgagee Letter 2023-05.
FHA upfront MIP$8,6131.75% of the base loan, normally financed into the $500,763 total loan amount rather than paid in cash.
State transfer / documentary taxHIConveyance tax $0.10–$1.25 per $100, tiered by price and owner-occupancy.
Settlement conventionEscrow stateA title or escrow company customarily conducts the closing and issues the policy.

The expense buyers here miss most

Leasehold land, hurricane and lava-zone coverage all change the payment and the appraisal.

How this affects the FHA file

Taxes and insurance are part of the qualifying payment, so a $248 escrow in Hawaii County consumes debt-to-income capacity before a single dollar of principal and interest is counted. Underwriting uses the post-closing figures, not the seller's current bill.

Estimates for general education only — not a quote, rate, APR, pre-approval, offer or commitment to lend. Property tax rates are effective rates derived from U.S. Census Bureau ACS data; actual millage is set by county, city, school and special districts. Insurance figures are directional annual premiums, not quotes. Transfer, deed, recordation and mortgage taxes summarise state-level statutes; counties and municipalities frequently add their own. Eligibility, terms, conditions and availability vary by borrower, property, lender, loan program and state, and all loans are subject to lender underwriting and approval. Sources: U.S. Census Bureau — ACS property tax data · NAIC Homeowners Insurance Report · CFPB — understanding closing costs

Equity strategy

Cash-out, HELOC, debt consolidation and investment equity in Hawaii County, Hawaii

Four different ways to use the same equity, worked against a $510,000 value with about $316,200 owed. Each one solves a different problem, and each one has a real cost. Figures are equity arithmetic under HUD Handbook 4000.1 loan-to-value limits, not quotes.

Cash-out refinance

On a $510,000 home in Hawaii County, Hawaii with roughly $316,200 owed, FHA caps a cash-out refinance at 80% of appraised value — about $408,000. That leaves roughly $91,800 gross, or near $79,050 after typical costs, from $193,800 of equity.

Why it can work

  • One first lien, one payment, one servicer.
  • FHA cash-out has no seasoning penalty beyond the required 12 months of on-time payments and 12 months of occupancy.
  • Proceeds are loan funds, not income, so they are generally not taxed as income.

What it costs you

  • You are re-starting amortization on the entire balance, not just the cash you take.
  • FHA cash-out keeps annual mortgage insurance for the life of the loan at above-90% LTV, and 11 years at or below 90%.
  • If your existing first lien is priced better than today's market, you give that up to access the equity.

HELOC or second lien instead

Lenders commonly write a second lien to about 85% combined LTV — near $117,300 available here without disturbing the first mortgage. It is the right tool when the existing first lien is worth keeping.

Why it can work

  • Leaves a good first mortgage completely untouched.
  • You draw only what you use, so you are not carrying interest on money sitting idle.
  • Closing costs are usually far lower than a full first-lien refinance.

What it costs you

  • Most HELOCs carry a variable rate, so the payment can rise while the balance stays the same.
  • Draw periods end, and the repayment period that follows raises the payment sharply.
  • A second lien still secures your home — the risk profile is the same as the first.

Consolidating higher-cost debt

Moving unsecured balances into the $91,800 of accessible equity in Hawaii County typically lowers the monthly outflow, because a 30-year amortization stretches a payment that a card or auto note compresses into a few years.

Why it can work

  • Frees monthly cash flow, which can also improve qualifying debt-to-income for a later move.
  • Consolidates several due dates into one predictable escrowed payment.
  • Removes revolving balances that were re-pricing at the issuer's discretion.

What it costs you

  • You convert unsecured debt into debt secured by your home — a missed payment now risks the house.
  • Stretching a 3-year balance over 30 years can raise the total dollars paid even when the monthly figure falls.
  • It fixes the symptom, not the spending. Re-running the cards afterwards leaves you with both debts.
  • Mortgage interest deductibility depends on how the funds are used — confirm with your tax advisor, not your lender.

Using equity toward an investment property

The roughly $79,050 net available here can serve as the down payment on a rental. FHA financing itself requires owner occupancy, so the new property would be financed conventionally or as a business-purpose loan, not with FHA.

Why it can work

  • Converts idle equity in one property into a second income-producing asset.
  • Rental income may later help qualify, once it has the documented history the lender requires.
  • Diversifies your position across two properties instead of one.

What it costs you

  • You are now carrying two mortgages against one income if the unit sits vacant.
  • Investment-property financing requires larger down payments and stricter reserves than FHA.
  • FHA occupancy rules apply to your existing loan — the home you refinanced must remain your primary residence.
  • Local landlord licensing, insurance and tax treatment differ from owner-occupied ownership.

Illustrative equity calculations for general education only — not a quote, rate, APR, payment, pre-approval, offer or commitment to lend, and not tax or legal advice. Values assume the stated appraised value and balance; your equity, loan-to-value and available proceeds will differ. FHA cash-out refinances are limited to 80% loan-to-value and require owner occupancy per HUD Handbook 4000.1. HELOCs and second liens are separate products with their own terms and are commonly variable-rate. Consolidating unsecured debt into a mortgage secures that debt against your home. Consult a tax advisor regarding deductibility. Eligibility, terms, conditions and availability vary by borrower, property, lender, loan program and state, and all loans are subject to lender underwriting and approval. Equal Housing Opportunity.

Local FHA & housing market updates

Local FHA and housing market updates for Hawaii County, Hawaii

Dated changes from the official sources that actually govern an FHA file here, each one linked to the primary source it came from. Nothing below is a rate quote, an offer of credit, a prediction or advice about when to buy. Simply Approved Mortgages LLC arranges residential mortgage loans in Florida and Colorado only; this is general information, not an offer in this state.

  1. Rate environmentVerified August 22, 2026

    Weekly 30-year survey average re-checked against the Federal Reserve series

    Reported by Federal Reserve Bank of St. Louis (FRED): We track the Freddie Mac Primary Mortgage Market Survey through the Federal Reserve Bank of St. Louis (FRED) rather than quoting a number we cannot support.

    What it means in Hawaii County (our analysis): Survey averages are national and are not a quote: pricing on a Hawaii County, Hawaii property depends on the lender, the property, the loan and the borrower's file. On this location page it matters because it changes the maximum insured loan and the monthly cost picture used throughout this page.

    FRED — 30-year fixed rate mortgage average
  2. Local cost pressureVerified January 1, 2026

    What is moving the payment in Hawaii: taxes, insurance and settlement costs

    Reported by U.S. Census Bureau: Effective property tax in Hawaii runs about 0.27% of owner-occupied value, and a directional single-family homeowners premium is around $1,600 a year.

    What it means in Hawaii County (our analysis): In Hawaii County, Hawaii, leasehold land, hurricane and lava-zone coverage all change the payment and the appraisal. Hawaii is customarily a escrow state, and conveyance tax $0.10–$1.25 per $100, tiered by price and owner-occupancy. On this location page it matters because it changes the maximum insured loan and the monthly cost picture used throughout this page.

    American Community Survey (ACS) housing cost tables
  3. Program rulesVerified August 12, 2026

    HUD published HUD Handbook 4000.1 Update 18

    Reported by U.S. Department of Housing and Urban Development: The update changed how lenders handle written and electronic verification of employment, restructured Federal Home Loan Bank set-aside treatment for down payment assistance, and revised HECM life expectancy set-aside requirements.

    What it means in Hawaii County (our analysis): These are national underwriting rules, not local ones: a file on a Hawaii County, Hawaii property is underwritten to the same handbook, so the practical local effect is on how quickly employment can be re-verified before closing here. On this location page it matters because it changes the maximum insured loan and the monthly cost picture used throughout this page.

    HUD Single Family Housing Policy Handbook 4000.1
  4. Local valuesVerified January 1, 2026

    Reference median value used for Hawaii County this cycle: $510,000

    Reported by U.S. Department of Housing and Urban Development: HUD's 2026 limit calculation for this county is anchored to a median value of $510,000 inside the HILO-KAILUA area.

    What it means in Hawaii County (our analysis): At 3.5% down that implies roughly $17,850 of down payment on a median-priced Hawaii County purchase, before closing costs and prepaid escrows. Reference figure only — not an appraisal, valuation or offer. On this location page it matters because it changes the maximum insured loan and the monthly cost picture used throughout this page.

    HUD Mortgagee Letter setting the annual limits
  5. Conforming limitsVerified January 1, 2026

    FHFA's 2026 conforming limits reset the FHA-versus-conventional line

    Reported by Federal Housing Finance Agency: FHFA publishes conforming loan limits each year alongside HUD's FHA limits.

    What it means in Hawaii County (our analysis): In Hawaii County, Hawaii the two limits do not match, so above $586,500 a conventional loan can finance a larger amount than FHA — which is why both programs are worth pricing side by side on a purchase here. On this location page it matters because it changes the maximum insured loan and the monthly cost picture used throughout this page.

    FHFA conforming loan limits
  6. FHA loan limitsVerified January 1, 2026

    Hawaii County's 2026 one-unit FHA limit is $586,500

    Reported by U.S. Department of Housing and Urban Development: HUD's 2026 county file sets the one-unit insured maximum in Hawaii County, Hawaii at $586,500, with $750,800 on an owner-occupied two-unit property.

    What it means in Hawaii County (our analysis): The limit applies to FHA case numbers assigned on or after January 1, 2026 — the case number date, not your contract date, controls which year's limit applies to a Hawaii County purchase. On this location page it matters because it changes the maximum insured loan and the monthly cost picture used throughout this page.

    HUD county loan limit file (CHUMS)
Simply Approved Mortgages Expert Insight
County-level commentary · Last reviewed August 23, 2026

What buyers should know in Hawaii County

Against a dataset median value near $510,000, the 2026 one-unit FHA limit in Hawaii County is $586,500 — so a median-priced purchase at 3.5% down (about $17,850) finances roughly $492,150 and leaves about $94,350 of limit headroom. That relationship, not the note rate, is what decides how much house is reachable here. Appraisal comparables come from the surrounding metro, which usually keeps valuation risk manageable. Price taxes and insurance at post-closing levels for this county rather than the seller's current bill, and if you can occupy one unit, note that the four-unit limit rises to $1,127,900. Simply Approved Mortgages LLC arranges residential mortgage loans in Florida and Colorado only, so this is educational information about Hawaii and not an offer of credit here.

Our recommendation

Set your Hawaii County price ceiling from the $586,500 limit plus the cash you can actually bring — then verify taxes and insurance before you write the offer.

Simply Approved Mortgages · licensed mortgage broker · NMLS #2620881 · Equal Housing Opportunity
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Ask Simply AI provides general educational information about FHA loan programs. It is an automated assistant, may be incomplete or out of date, and does not provide legal, tax or financial advice. Nothing it produces is a rate quote, APR, pre-approval, offer or commitment to lend. Simply Approved Mortgages LLC (NMLS #2620881) arranges residential mortgage loans in Florida and Colorado. Eligibility, terms, conditions and availability vary by borrower, property, lender, loan program and state, and all loans are subject to lender underwriting and approval. Equal Housing Opportunity.

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Simply Approved Mortgages LLC arranges residential mortgage loans in Florida and Colorado only. This page is not an offer, solicitation, or advertisement of credit terms in this state.

We are not licensed in Hawaii — information only

Simply Approved Mortgages LLC is licensed to arrange residential mortgage loans in Florida and Colorado only. Because we are not licensed in Hawaii, nothing on this page is an offer, solicitation, advertisement of credit terms, rate quote, pre-qualification, pre-approval or commitment to lend, and we do not accept mortgage applications for properties in Hawaii. The figures shown are published HUD/FHA and federal data provided for general education only. You may leave your details as an informational record so we can measure interest when reviewing future state licensing; that record is not an application or loan inquiry and no loan officer will contact you about financing in Hawaii. For financing in Hawaii, work with a mortgage professional licensed in that state.

You can verify our licensing on NMLS Consumer Access, or keep reading the published HUD/FHA reference data on this page. If your property is in Florida or Colorado, our Florida and Colorado pages cover the programs we can actually help with.

Want us to know there is demand in Hawaii? You can leave your details as an informational record. It is not an application, loan inquiry, pre-qualification or rate quote, and no loan officer will contact you about financing in Hawaii.

Keep learning about FHA loans

These pages explain FHA-insured mortgage rules using published HUD/FHA guidance. They are educational reference material and are not an offer, solicitation or advertisement of credit terms.

How FHA loans work

What FHA insurance is and who it fits.

FHA requirements

Credit, income, DTI and property rules.

FHA credit score rules

580 vs 500–579 and what they change.

Down payment & assistance

3.5% minimum, gift funds and DPA options.

Mortgage insurance (MIP)

Upfront and annual MIP, and how long it lasts.

FHA loan limits

County-by-county HUD maximums.

FHA closing costs

What you pay and what a seller can cover.

FHA loan programs

203(b), 203(k), streamline, cash-out and more.

FHA calculators

Payment, affordability, MIP and break-even tools.

First-time buyer guide

Step-by-step from budget to closing.

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