Comments on: Should I Buy a Hawaii Leasehold Property? http://www.hawaiilife.com/articles/2009/05/should-i-buy-a-hawaii-leasehold-property/ Hawaii Real Estate Market & Trends Fri, 10 Feb 2012 07:03:08 +0000 hourly 1 http://wordpress.org/?v=3.2.1 By: theresa andrade http://www.hawaiilife.com/articles/2009/05/should-i-buy-a-hawaii-leasehold-property/comment-page-1/#comment-5443 theresa andrade Sat, 28 Aug 2010 00:27:31 +0000 http://www.hawaiilife.com/articles/?p=508#comment-5443 thank you for the data. I am currently looking for another home and my family lives in Hawaii and I in Virginia. I saw a very nice property for sale than began to read the fine print on lease hold. ??came to mind and this site helped me understand that it would not be something I am interested in. I would like my family to be able to live there for a very long long time. thank you for the data. I am currently looking for another home and my family lives in Hawaii and I in Virginia. I saw a very nice property for sale than began to read the fine print on lease hold. ??came to mind and this site helped me understand that it would not be something I am interested in. I would like my family to be able to live there for a very long long time.

]]> By: Ali http://www.hawaiilife.com/articles/2009/05/should-i-buy-a-hawaii-leasehold-property/comment-page-1/#comment-776 Ali Fri, 19 Jun 2009 03:01:34 +0000 http://www.hawaiilife.com/articles/?p=508#comment-776 Hello, My parents in VA got totally ripped off. They wanted to buy a nice affordable piece of property in Hawaii for the tax breaks (they don't have a mortgage) and to go visit during the winters since they are retired. They bought a condo at the Waikiki Banyan Hotel from a real estate lady 2 months ago... then decided to buy another one at the same place from the same realtor a month later. Then they realized they couldn't afford the payments (they took out over $100k in credit card debt plus a home equity loan).. and then they learned that these condos are LEASEHOLD. They were not told this from the realtor before they bought either of them. They want to sell one of them right now.. and plan to hang on the other one with hopes that the value will go up in the future and they can sell later for a profit. My immediate concern is for them to sell 1 of them now since they are in financial trouble. They are thinking of using the same realtor who was not open and honest with them to sell the 2nd condo since she's willing to take a 4% commission. I personally believe she is a crook and my parents should not be doing any more business with her. Do you have any advice? Do you know anyone that would be willing to help sell their condo for less than 4% commission? Or should my parents demand that the realtor sell it for them for 0 commission since she deceived them? Thanks in advance for your help. ~Distraught daughter in CA Hello,

My parents in VA got totally ripped off. They wanted to buy a nice affordable piece of property in Hawaii for the tax breaks (they don’t have a mortgage) and to go visit during the winters since they are retired. They bought a condo at the Waikiki Banyan Hotel from a real estate lady 2 months ago… then decided to buy another one at the same place from the same realtor a month later. Then they realized they couldn’t afford the payments (they took out over $100k in credit card debt plus a home equity loan).. and then they learned that these condos are LEASEHOLD. They were not told this from the realtor before they bought either of them. They want to sell one of them right now.. and plan to hang on the other one with hopes that the value will go up in the future and they can sell later for a profit. My immediate concern is for them to sell 1 of them now since they are in financial trouble. They are thinking of using the same realtor who was not open and honest with them to sell the 2nd condo since she’s willing to take a 4% commission. I personally believe she is a crook and my parents should not be doing any more business with her. Do you have any advice? Do you know anyone that would be willing to help sell their condo for less than 4% commission? Or should my parents demand that the realtor sell it for them for 0 commission since she deceived them? Thanks in advance for your help.
~Distraught daughter in CA

]]> By: Matt Beall, PB http://www.hawaiilife.com/articles/2009/05/should-i-buy-a-hawaii-leasehold-property/comment-page-1/#comment-657 Matt Beall, PB Wed, 27 May 2009 22:57:56 +0000 http://www.hawaiilife.com/articles/?p=508#comment-657 Thanks for your post David. Personally, I've owned leasehold properties in the past, and represented buyers and sellers of leasehold property as well. The most important thing is to clearly understand that leasehold properties are depreciating assets, with the lease clearly spelling out the lease "rent" and it's period(s). The bonus is that Leasehold, compared to Fee Simple, is often FAR more affordable. For some buyers, that affordability is everything. So, I definitely wouldn't rule it out altogether... but it certainly will appeal to a small group of buyers. Thanks for your post David. Personally, I’ve owned leasehold properties in the past, and represented buyers and sellers of leasehold property as well. The most important thing is to clearly understand that leasehold properties are depreciating assets, with the lease clearly spelling out the lease “rent” and it’s period(s). The bonus is that Leasehold, compared to Fee Simple, is often FAR more affordable. For some buyers, that affordability is everything. So, I definitely wouldn’t rule it out altogether… but it certainly will appeal to a small group of buyers.

]]> By: Susanna Kunkel http://www.hawaiilife.com/articles/2009/05/should-i-buy-a-hawaii-leasehold-property/comment-page-1/#comment-655 Susanna Kunkel Wed, 27 May 2009 10:45:25 +0000 http://www.hawaiilife.com/articles/?p=508#comment-655 David, thanks for the helpful update. On Kauai, we only have a few properties that offer leasehold, but it does confuse people. Kiahuna Plantation in Poipu continues to sell leasehold units successfully, as well as Kapaa Sands on the Eastside. Personally, I've never been comfortable with representing leasehold, and am grateful none of my clients have pursued these opportunities. Call me old fashioned, but real estate for me has always been tied to the land...one way or another. Aloha, Susanna David, thanks for the helpful update. On Kauai, we only have a few properties that offer leasehold, but it does confuse people. Kiahuna Plantation in Poipu continues to sell leasehold units successfully, as well as Kapaa Sands on the Eastside. Personally, I’ve never been comfortable with representing leasehold, and am grateful none of my clients have pursued these opportunities. Call me old fashioned, but real estate for me has always been tied to the land…one way or another.
Aloha,
Susanna

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