Flipping houses in Hawaii in 2026 is really two markets. Oahu single-family homes hit a $1,240,000 median in August, up 12.2% year over year, while Oahu condos slipped about 1% to $510,000 and Maui condo prices fell 13.1%. Nationally, the typical flip earned a 21.5% gross margin in Q2 2026, but in Hawaii your result depends almost entirely on whether you're flipping a house or a condo.
Here are the numbers that matter, island by island.
Hawaii House Flipping in 2026 at a Glance
- National flip margin: 21.5% typical gross ROI and $60,526 typical gross profit in Q2 2026, down from 27.6% and $71,000 a year earlier (ATTOM)
- Oahu houses: $1,240,000 median in August, the second-highest ever after June's $1,242,500, with 51% of sales closing at or above asking (Honolulu Star-Advertiser)
- Oahu condos: $510,000 median in August, down about 1%, with sales down 6.6% and inventory up 4.1% (Honolulu Board of Realtors)
- Speed: Oahu houses sold in a median 17 days in August versus 37 days for condos (Honolulu Board of Realtors)
- Maui: single-family median of $1,200,000 in August, down 7.9%, and a condo median of $564,950, down 13.1% (Maui Now)
- Property tax: Hawaii's effective rate is the lowest in the country at about 0.27%, but investor-owned Honolulu homes pay a higher Residential A rate (WalletHub data via USA Symbol, Hawaii DBEDT)
Why Hawaii Flips Come Down to Land vs. Condos
ATTOM didn't name a Hawaii metro among its 2026 top or bottom flip markets, so there's no headline Honolulu margin to quote. The local sales data tells a clearer story anyway.
- Houses are scarce and still rising. On Oahu, single-family sales above $1.3 million drove the August gain, and sellers got a median 100% of their original asking price (Honolulu Board of Realtors). Land is the value, and a well-done renovation on a dated house has a deep buyer pool.
- Condos are fighting insurance and HOA costs. The legislature found condo master policy premiums had risen sharply, with some deductibles reaching $250,000 per unit, and that hundreds of buildings renewed with less than full hurricane coverage (Act 296, 2025). Buyers now price in maintenance fees and special assessments, which caps what a renovated unit can sell for.
- Maui has a policy overhang. Bill 9, now Ordinance 5909, phases out apartment-zoned vacation rentals, including Minatoya List condos, by 2029 in West Maui and 2031 elsewhere, and it is being challenged in court (Rental Scale-Up, Garden Island).
The takeaway: in Hawaii, the flip that works is usually a single-family house with land. A condo flip needs a thorough look at the building's insurance, reserves and rental rules before you look at the kitchen.
Where to Flip in Hawaii: Metro by Metro
Island medians swing a lot month to month on small sample sizes. Use these as a starting point, then pull comps for the specific neighborhood or building.
Honolulu and Oahu
Honolulu and the rest of Oahu are the state's deepest market. Single-family homes are moving in about 17 days at record-level prices, which makes Oahu the most forgiving place in Hawaii to resell a renovated house. Condos are the opposite: nearly half of August condo sales closed under $500,000 and units took a median 37 days (Honolulu Board of Realtors). Older walk-up and leasehold buildings deserve extra scrutiny.
Maui
Maui is the softest market for prices right now. The August single-family median fell 7.9% to $1.2 million and condos dropped 13.1% to $564,950, even as sales counts rose (Maui Now). Falling prices can mean better buys, but resale buyers are negotiating too, and the vacation rental phase-out makes Minatoya List condos a speculative bet rather than a flip.
Kauai
Kauai is small and expensive. The Kauai Board of Realtors reported a $1,550,000 single-family median and about $817,500 for condos in May (Title Guaranty), and June's single-family median was about $1.6 million (Title Guaranty). A thin buyer pool means fewer comps and longer exits, so underwrite conservatively.
Hawaii Island
Hawaii Island is the state's most affordable island, with a June median of about $599,000 in Title Guaranty's statewide figures (Title Guaranty). Lower prices make the entry easier, but monthly figures jump around (May was $472,500 in the same series), and Hilo and Kona behave like different markets. Lava zone, catchment water and cesspool issues all affect financing and resale.
Live Hawaii Deals on Frontflip
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What a Hawaii Flip Costs in 2026
- Financing: Hard money runs about 10.36% on average in a July 2026 survey, plus 1.5 to 3 points. On a million-dollar Oahu house, every extra month of holding costs real money. Your buyer is facing a 30-year rate around 6.7%.
- Property taxes: Honolulu's Residential A class, which covers homes without the homeowner exemption, was $4.00 per $1,000 on the first $1 million of value and $11.40 per $1,000 above it, versus $3.50 for owner-occupied homes (Hawaii DBEDT, Honolulu Real Property). Other counties set their own rates.
- Conveyance tax: Hawaii's tax is graduated across seven brackets with separate schedules for owner-occupant and non-owner-occupant buyers, starting around 0.10% under $600,000 (How to Live in Hawaii); an owner-occupant purchase at $2 million is taxed 50 cents per $100 (Hawaii Tribune-Herald). Lawmakers debated raising rates on high-end sales in 2026, so confirm the current schedule with escrow.
- Insurance: Lenders require hurricane coverage, which can cost two to three times a conventional homeowner policy, and condo buyers inherit the building's master policy costs (Act 296).
- HARPTA: If you're not a Hawaii resident, the buyer must withhold 7.25% of the gross sales price at closing, on top of federal FIRPTA for foreign sellers. You can apply for a reduced amount with Form N-288C (Hawaii Living). On a $1.2 million sale that's $87,000 of your cash tied up until you file.
Run your numbers with Frontflip's Hawaii rehab cost estimator and Hawaii seller net sheet before you offer.
Hawaii Rules Flippers Should Know
- The owner-builder exemption isn't for flippers. If you pull permits as an unlicensed owner-builder and sell or lease within one year of completion, the law presumes you built for sale, which violates the exemption (Hawaii Contractors License Board). Use licensed contractors.
- Out-of-state flippers face HARPTA. Plan for the 7.25% withholding and file early for a reduced certificate if your actual gain is small.
- Check rental rules before buying a condo. Maui's vacation rental phase-out and building-level rental restrictions can change what a unit is worth to the next buyer.
2026 Outlook for Flipping Houses in Hawaii
Expect the split to continue. Oahu single-family homes are selling fast at record prices, which supports careful renovation flips of dated houses, while condos statewide and most of Maui are soft and pressured by insurance, fees and rental rules. With rates near 6.7% and very high price points, Hawaii rewards well-capitalized investors who buy land-value houses below market and keeps punishing anyone who treats a condo like a quick cosmetic flip.
Key Takeaways
- Oahu single-family homes hit a $1.24 million median in August, up 12.2%, and sold in about 17 days.
- Condos are the weak spot: Oahu medians are flat to down and Maui condo prices fell 13.1%.
- Insurance, HOA fees and Maui's vacation rental phase-out drive condo values more than finishes do.
- Non-resident sellers face 7.25% HARPTA withholding; plan for the cash hit.
- Don't use the owner-builder exemption on a flip; it bars sales within a year.
Frequently Asked Questions
Is flipping houses in Hawaii profitable in 2026?
It can be for single-family houses, especially on Oahu, where prices hit near-record levels and homes sold in about 17 days in August. Condo flips are much harder in 2026 because prices are flat or falling and insurance and HOA costs weigh on buyers.
What is the best place to flip houses in Hawaii?
Oahu is the most liquid market and the strongest for renovated single-family homes. Maui offers lower prices than a year ago, but resale values are still falling there.
Do you need a license to flip houses in Hawaii?
You don't need a real estate license to buy and sell your own property, but renovation work should be done by licensed contractors. The owner-builder exemption presumes a violation if you sell within a year of finishing the work.
How much does it cost to flip a house in Hawaii?
Expect hard money around 10% plus points, Honolulu non-owner property tax of $4.00 per $1,000 on the first $1 million, graduated conveyance tax at sale, and expensive hurricane coverage. Non-residents should also plan for 7.25% HARPTA withholding at closing.
Looking for last year's numbers? See 2025 Figures: Flipping Houses in Hawaii Market Data.
Thinking about an Oahu house? Pull up the address in Frontflip to see flip scenarios, rental projections and comps in one place, free on iOS.