Why is rent so high in Kihei now? (spring break, how much)

[winkosmosis]

Originally Posted by davephan

Have you thought about getting a second job? When I worked in a low-pay poor working conditions job years ago, either people went to school part time with just the one low-pay job or they had a second job if they didn't go to school. It's a lousy life if you have to work 2 or even 3 jobs. Working day and night, seven days a week. You might be able to afford to live where you want to live. Although you wouldn't be there much of the time because you're stuck working all the time. So then you're living in paradise, but you can't enjoy it. It seems self defeating to me.

That's why I think living in Hawaii during you're working years is tough. There aren't many high paying jobs there, unless you can bring you're mainland job with you. Even then, the cost of living is very high in Hawaii, so that would make it hard to save enough for retirement. If you don't save enough for retirement, then you might have to work till you die or move off the island to afford retirement in a cheaper place on the mainland.

For me, working on the mainland for a lot more money and living well below our means allows us to save a lot of money for retirement. It is investing in our future, so we will be able to afford to live in Hawaii when we retire. In our case, that's only a little over five years away. We could retire today if we limited ourselves to staying in Minnesota, plus snowbirding in Florida. Working the extra five years gives us the freedom to be able to pay the price to live in Hawaii, if we choose to spend the extra money that it takes to live there.

I don't see that type of long term planning with a lot of people. When you are younger, you need to get an education in the right field that pays well. Not necessarily something you like to do. That investment of about 4 or 5 years working hard in school, not just shuffling through school, sets you up for a good life in the future. Living well below you means for a couple decades sets you up to become a millionaire. You have then made the sacrifices in your life, which gives you the freedom to live in paradise.

That's an interesting outlook that a lot of people have, but I don't see Maui as a retirement destination, I see it as a good place to live and work.


I also have my photography business and I'd mainly like to get into vacation photography, because tourists have a lot of money to spend, and the more we can get them to leave on the island the better. Yes I know that's what is happening when they stay at those illegal vacation rentals, but the difference is that with photography they aren't competing with local people for a limited resource.

[Investor Five]

Originally Posted by winkosmosis

How did you find that? I had to navigate to Kihei tables myself and the best I could find was mean earnings... $71k. I find that hard to believe. We have to be misreading the data. Unless everybody making less has been priced out of Kihei (like I have)

Edit: Oh wait it's MEAN not median. That means the $71k number is skewed by the few millionaires and billionaires here.

More than a few millionaires on the islands, wink. In fact, Hawaii is in the top five states for millionaire households per capita.

There were more than 33,000 millionaire households throughout the state last year according to this recent piece:

http://www.cnbc.com/id/101338309

[winkosmosis]

Originally Posted by Investor Five

More than a few millionaires on the islands, wink. In fact, Hawaii is in the top five states for millionaire households per capita.

There were more than 33,000 millionaire households throughout the state last year according to this recent piece:

http://www.cnbc.com/id/101338309

Wow. But I'm guessing it's not that many in Kihei. Wailea or Kapalua sure

[davephan]

Originally Posted by winkosmosis

Wow. But I'm guessing it's not that many in Kihei. Wailea or Kapalua sure

If you cruise around the Wailea area and see the big golf course developments areas (with mostly condos), some gated areas, including private homes. Those areas usually seem to have the signs with the butterfly on their development sign. Many of the condos are 1 - 4 million range! I'm guessing that many of the people that own them, it isn't their primary home.

I see your point that Maui is a good place to live, but not a good place to work. Too many people are living on the edge of society and saving zero for retirement. Working several part time jobs or a full time job plus a part time job, while saving nothing sets you up for a long term failure when you reach your retirement years. By the time you reach your 50s, it's almost impossible to ever financially recover your future retirement life. I think if you put off saving till age 60, you're future of retirement in absolute poverty is essentially certain. I strongly recommend you think about your long term future. It's on the distant horizon now, but it is coming.

[MauiPartTimer]

Originally Posted by davephan

I see your point that Maui is a good place to live, but not a good place to work. Too many people are living on the edge of society and saving zero for retirement. Working several part time jobs or a full time job plus a part time job, while saving nothing sets you up for a long term failure when you reach your retirement years. By the time you reach your 50s, it's almost impossible to ever financially recover your future retirement life. I think if you put off saving till age 60, you're future of retirement in absolute poverty is essentially certain. I strongly recommend you think about your long term future. It's on the distant horizon now, but it is coming.

This is good advice. I'm 49 and, since college, have lived primarily in California and worked while saving for retirement while trying to live a little bit below my means. It has worked out well and my wife will be able to retire (or semi-retire) to our condo in Kihei our early 50s. The key to the retirement saving was starting early...and understanding the power of company 401K matching and how saving a dollars pre-tax doesn't impact your take-home as much as you'd think.

[72andsunny]

Wink, all these people telling you to live in a place you don't love and work in a job you may not like so that you can one day afford Hawaii are full of crap. That is no way to live. They regret not "having had the opportunity" to bum around Europe in their twenties, and are always thinking things will be better in the future. Every minute of your life is important, don't get stuck wasting 30 years like they did.

I should note: I am considering leaving NZ because saving for retirement means working until you are 80. But really, I would rather work a day or two a week in my seventies and live in Godzone than retire at 60 in Minnesota.

[winkosmosis]

Originally Posted by davephan

If you cruise around the Wailea area and see the big golf course developments areas (with mostly condos), some gated areas, including private homes. Those areas usually seem to have the signs with the butterfly on their development sign. Many of the condos are 1 - 4 million range! I'm guessing that many of the people that own them, it isn't their primary home.

I see your point that Maui is a good place to live, but not a good place to work. Too many people are living on the edge of society and saving zero for retirement. Working several part time jobs or a full time job plus a part time job, while saving nothing sets you up for a long term failure when you reach your retirement years. By the time you reach your 50s, it's almost impossible to ever financially recover your future retirement life. I think if you put off saving till age 60, you're future of retirement in absolute poverty is essentially certain. I strongly recommend you think about your long term future. It's on the distant horizon now, but it is coming.

In general yes it's not good for making a living because of low pay, but for me I think Maui is the best place for my photography business. Plus I have a tech industry job here...

But you know how much money I saved working for an oil company in Houston? None. Cost of living is high, I had to buy my own health insurance, and pay my own taxes including full Social Security and Medicare, and I got laid off with no unemployment benefits (misclassified contractor), because I took time off after my dad died in September. Seems to me that Texas is a far worse place to work...

I Never managed to find a better job in Texas for the whole year I was there either. I interviewed several times, and the positions either got eliminated or I barely lost the position to someone slightly more experienced (that's what one company told me).

[Rido]

Originally Posted by winkosmosis

In general yes it's not good for making a living because of low pay, but for me I think Maui is the best place for my photography business. Plus I have a tech industry job here...

But you know how much money I saved working for an oil company in Houston? None. Cost of living is high, I had to buy my own health insurance, and pay my own taxes including full Social Security and Medicare, and I got laid off with no unemployment benefits (misclassified contractor), because I took time off after my dad died in September. Seems to me that Texas is a far worse place to work...

I Never managed to find a better job in Texas for the whole year I was there either. I interviewed several times, and the positions either got eliminated or I barely lost the position to someone slightly more experienced (that's what one company told me).

holy ****. when did you dad die? this past september or the september before?

what a horrible coincidence. mine died september 2012. btw I am on the island now with my truck.

[winkosmosis]

Originally Posted by Rido

holy ****. when did you dad die? this past september or the september before?

what a horrible coincidence. mine died september 2012. btw I am on the island now with my truck.

This past September-- so it was a good thing I got to be in Houston for a year and spend a little time with him. Although I hate Houston so much that I was out of town almost every weekend.

Sorry about your dad.

[Rido]

Originally Posted by winkosmosis

This past September-- so it was a good thing I got to be in Houston for a year and spend a little time with him. Although I hate Houston so much that I was out of town almost every weekend.

Sorry about your dad.

oh its fine. It was his time to go.

I am past the mourning stage. I still miss him.

I wish you luck, if you need anything let me know. I am on the island.