The subject of today’s snapshot is for Downtown, Honolulu, Hawaii. Based on our analysis, Honolulu’s year-over-year average rents increased across all bedroom types.
Our standard neighborhood analysis uses a 12-month “LookBack” to establish an average baseline rent. The results from the 12-month LookBack analysis are presented in the tables below for Downtown Honolulu 1–2 bedroom rents from January 1, 2021 – January 1, 2022:
As the table shows, 1BR units increased by 7% from last year or $119 more, and the 2BR units increased by 3% or $66 more. As demonstrated by the table, year-over-year performance for all selected bedroom types increased in rent prices from last year.
Market Activity: Honolulu, Hawaii
Are you interested in investing in Honolulu? Location is an important factor to consider when finding a profitable market for a rental property. The key characteristics of a good location include a strong economy, a growing labor force, and high rental demand. Below are some quick facts about the Honolulu rental market that can help you with your investment analysis and overall decision.
- Price-to-Rent Ratio
- Avg 2BR House Price: $795,496 (According to Redfin data)
- Avg Annual 2BR Rent: $30,708 ($2,559 x 12 months)
- Population Growth:
- Honolulu County’s population grew 7% over the last decade and hit over 1 million people in 2020 (According to US Census)
- Major Companies & Institutions:
- Hawaii Pacific Health, Hawaiian Airlines, Kyo-Ya Hotels Resorts LP, Hawaiian Electric Industries, Kapalua Resort Association, First Hawaiian Bank, St. Francis Hospital
- Employment Growth: 0.40% (According to the Department of Business, Economic Development & Tourism of Hawaii)
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This article was written by the Rentometer Content Team. The Rentometer Blog features fresh takes and insights on rental housing topics, services, and technology.