A Great Neighborhood for Investors
Perhaps the Best-Kept Secret In Real Estate.
Waikiki. Possibly the world’s most famous beach, the Diamond Head
setting, upscale shops, restaurants and hotels ... also has some of the lowest condo prices on the
island. That’s right, the lowest.
It’s an investor’s paradise. And all within blocks of the beach.
Advantages to Investing in Waikiki
Waikiki investors can rent long term or short term, to visiting tourists, to students, hotel workers,
military, retirees or use the unit as a second home. Renters make up approximately 62 percent of the
Waikiki residents. If you’re thinking about getting into rentals, it makes perfect sense to invest
where the renters are plentiful.
Condo hotels can be purchased for just over $100,000 — but these may require larger down payments.
If there is an operating hotel desk downstairs, an investor will need 30 to 35 percent down. If the
unit doesn’t have a kitchen — some of the converted hotel rooms don’t — lenders will call that
a “lodging unit” and may require 50 percent down.
A condominium might be ineligible for conforming financing based on the percentage of owner occupants
in the building, whether participation in a rental pool is mandatory, whether daily maid service is
available, whether units can legally be rented out on a daily basis and for other specific conditions
or rules outlined in the condo documents.
The upside to owning one of these hotel room-like units, however, is the phenomenal potential for
income — $150 to $200 per night in some cases. The majority of these are managed through a
hotel pool, but some are individually managed.
At Prudential Locations you will find Realtors fully versed in the nuances of the different types of
condos in Waikiki and the associated lending guidelines. Not only that, they’ll also be able to
tell you which units rent and which don’t. It’s the kind of expertise we pride ourselves on
and the kind of information you cannot afford to be without. Search
Waikiki real estate.