Avoid These Errors When You Buy in Hawaii

Not all major home-buying mistakes in a real estate transaction can be reversed. If you goof up and make an innocent mistakes as a buyer, you might very well be stuck with the consequences for a long time or your transaction might not close. Your home ownership dreams may evaporate like the morning mist. In Hawaii, consider these fatal errors when purchasing property:

Use a Mainland Lender

People often have a relationship with a lender if they have purchased a property before. Many people feel loyal to that relationship and want to keep their business with their mainland lender.

While we respect loyalty as much as anyone, we know that mainland lenders do not understand the time lines and best practices used when working with real estate agents, escrow, and the Bureau of Conveyance (which is located o a different island).

We STRONGLY recommend using a mortgage broker who is not only licensed in Hawaii, but who has experience doing business here. Doing so will increase the probability of a timely and less stressful closing.

Skip the Survey

Buyers from the mainland often live in old neighborhoods that were built many years ago, and have undergone no recent changes. They assume the boundaries of their property are correct and have no encroachments.

This couldn’t be further than the truth in Hawaii. We have earthquakes – which can move a rock wall several inches – or even feet over a period of time. We frequently discover encroaching walls and fences when we survey. It is a good practice as a Buyer, as the expense is ordinarily the Seller’s.

Don’t Work with an Agent

Buyers – especially first-time buyers – should have a trusted advisor to guide them through the transaction from search to after closing. An experienced licensed real estate agent represents your best interests and has a fiduciary responsibility to do so.

We know our market – the inventory, the neighborhoods, the history, the regulations and ordinances, the lenders and home inspectors. We know how to negotiate the transaction and prepare the paperwork to protect you. We have experience working with escrow and meeting contract deadlines so that you close on time. You can exploit our knowledge and relationships – and traditionally – it is the SELLER who pays us! So why in the world would you not work with an agent!