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Hawaii Real Estate Investors

DSCR Loans in Hawaii

Highest prices in the US, strictest STR rules in the US, and grandfathered-license arbitrage that makes Hawaii a specialist's DSCR market.

DSCR loans in Hawaii areinvestment property mortgages that qualify on the property's rental income, not the borrower's W-2 or tax returns. Get Brick Capital services DSCR loans throughout Hawaii, including its major investor metros, with FICO floors as low as 660 standard, DSCR floors as low as 0.75 expanded, $50,000 minimum loans, and 28-day average closings.

Major Investor Metros in Hawaii

Honolulu / Oahu

High-price condo market with tight STR rules, Act 50 and 90-day minimum ordinances reshaped the landscape.

Maui

Luxury STR market recovering post-Lahaina with strict licensing and strong ADR.

Big Island (Kona)

More STR-friendly than Oahu with legitimate vacation rental zones.

Kauai

TVR-zoned properties with grandfathered STR licenses commanding premiums.

Hawaii Investor Market Overview

Hawaii is the most specialized DSCR market in the country. Prices are the highest in the US by a wide margin, and STR regulations vary sharply by island and even by zone. Oahu's Bill 41 and Act 50 dynamics restricted short-term rentals to specific resort zones and pushed most of the island to a 90-day minimum. Maui, Kauai, and the Big Island have their own regimes. TVR (Transient Vacation Rental) zoning and grandfathered licenses are the key to underwriting.

The result: buying a property with a legal, transferable STR license is worth a significant premium, and investors routinely target grandfathered units specifically. Hawaii is non-judicial on foreclosures, has state income tax, and has strong tenant protections. DSCR deals here tend to be larger balance and often sub-1.0 because absolute dollar rents, while high, still struggle against extreme prices.

Common Property Types

  • Oahu resort-zone condotels and licensed STRs
  • Maui TVR-licensed vacation rentals
  • Big Island Kona vacation homes
  • Kauai grandfathered TVR properties
  • Long-term rental SFRs on all four main islands

Investor Strategies That Work Here

  • Grandfathered STR license acquisition (license value exceeds structure value in some zones)
  • Sub-1.0 DSCR purchases with appreciation thesis
  • Condotel purchases in Waikiki and resort corridors
  • 1031 exchanges from mainland equity into HI appreciation

Why DSCR Lending Fits Hawaii

Hawaii's price tier makes conventional investment financing effectively impossible for most buyers. The DTI math doesn't work. DSCR is often the only available tool, and our sub-1.0 program (down to 0.75) is especially relevant because many HI deals cash-flow negative on paper despite strong STR revenue. We also underwrite licensed STRs on AirDNA-equivalent projections specific to the island's rule set, which most lenders won't touch.

Hawaii DSCR Loan FAQ

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