You don’t need a million dollars to buy a home here on the Big Island of Hawaii.
Yes, you probably have heard Hawaii is one of the most expensive places to buy a home throughout the United States.
The good news, there are affordable places to live here on the Big Island and today I am going to talk about the cheapest places to live in Hawaii without breaking the bank
Aloha I am Stephen Proski, Real Estate Broker at Compass Hawaii and real estate Kailua Kona.
People constantly hear that Hawaii is unaffordable and they can not buy a home here unless they want to spend over a million dollars. Yes, it is true the median sales price for homes in Hawaii for the most part are over 1 million dollars like in Maui, Kauai, Honolulu and several areas here on the Big Island.
However, if you have a limited budget and willing to explore your options, the Big Island could be an affordable place to buy your dream home and live in Paradise.
So let’s start with the South Kona district. Over the past 12 months the median sales price for a single family home went from 570K to 770K. Homes in this area are considered somewhat rural since they are mostly on catchment water systems and a somewhat distant from creature comforts like restaurants, grocery stores and shopping.
You need to be a bit cautious when looking in this area because most of the homes here are in lava zone 2 as well as lava zone 3. and there are no private insurance companies currently offering home owners insurance above 450K at this time in lava zone 2. Lava zone 3 is not a problem.
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Here is what you can buy in the south kona district of Captain Cook for about 750K right now. 3 bed, 2 bath large home with ocean views…..yes, this property is a bargain at this price.
If you like to be a little off grid, then the south kona district can be a great place to call home and buy your home.
Heading down the coast from here we get to the Kau District. The median sales price for a single family home in this area was $298,500 last year and this year it jumped to $375K. Yes, single family homes under 400K in Hawaii. Its available and affordable.
The Kau district is located in lava zones 1,2 and 3 so there can be some risk involved if you are searching homes for sale in this area. Lava zones 1 and 2 might not be to your liking because of the risk factor and lack of private home owners insurance. Now lava zone 3 is a different situation all together.
Here is what you can buy right now in the Kau district for 375K in Oceanview. A 2 bed, 2 bath 3 acre property with ocean views. Yes, I said ocean views under 400K for a single family home
Did you check out the property taxes on this one? Only $1,045 dollars and this is annually. Getting curious?
Yes there is opportunity here when it comes to home ownership, you might need to make some adjustments, but there are affordable homes for sale.
Okay now let’s check out the Puna District. The Puna District is also in lava zones 1, 2 and 3 so you need to be aware of where the homes are located to ensure you are not putting yourself in a risky location. The median sales price for a single family home in the Puna district last year was $353,592 in 2024 and $379, 500 this year. Yes, under 400K here as well.
Let’s see what the single family homes look like in the Puna District. here is a 4 bed 2 bath home built in 2017 for $375,000. Wow again under 400K for a single family home and it is in the town of Pahoa and lava zone 3. Are you getting the picture. There is opportunity to buy an affordable home in Hawaii and not spend a million dollars.
Driving up the eastern side of the big island we enter the South Hilo District. The median sales price for a home here in 2024 was $547, 500 and this year 2025 it is $592,500
Yes prices jumped up almost 200K, but we are now close to those creature comforts of shops, restaurants, schools, airport, etc.
Here is what 585K can buy you in Hilo. A 2 bed, 2bath single family home built in 2015 that is situated right alongside of a riverfront for a tranquil serene location, yes in Hawaii as well.
Driving a little further north along the coast we get to the Hamakua District. This area is just north of Hilo and it is another popular location. The median sales price in 2024 for a single family home was $471,500 and this year so far the median sales price is $588,500.
What can this amount of money get me in the Hamakua District. Well here is a great home that just sold in Honokaa $599,500 that was 3 bed 2 bath with ocean views and located in lava zone 8. Wow, ocean views again and not a million dollars. You are not going to find this on Maui, Kauai or even Oahu.
This is why the Big Island of Hawaii is the best kept secret when it comes to buying a home and living in Paradise.
We know not everyone has deep, deep pockets to buy and home and when it comes to location, the Big Island is by far we think the best place to live, work and play. That’s why we are here.
So when searching for the cheapest places to live in Hawaii and don’t have a million dollars to spend but want to live in Paradise, then look at the Big Island and see what your options are.
Yes, we do have an active volcano and you need to look closely at the lava zones areas for your risk tolerance, but there are many people living in lava both zones 1 and 2 so it could work. If not, then there are options in other areas of the big island less risky and yet still well priced under a million dollars
So that wraps up the cheapest places to live in Hawaii. If you found this information helpful can you hit the like button. Want to know more about real estate on the Big Island, then you can smash that bell and hit the subscribe button and you will get notified when we post new videos.
Have questions about the area, Hit us up anytime we would be happy to assist you.
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Thanks again have blessed day. Aloha!
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