Why are condo HOA fees so expensive in Hawaii? (Kapalua: oceanfront, rent)

[JustTryingMyBest]

We usually rent at the Kapalua Bay Villas when we visit Maui. I looked into purchasing one of these units. Not only was it expensive (avg 1 mil) the HOA fees are about $1k/month. What gives? Even much less expensive condos have relatively high HOA fees.

[KonaKat]

Because the maintenance on oceanfront properties, or even near the ocean, is about triple what you might see on the mainland in a climate that does not include constant humitidy, termites, and the ravages of sea air. Also, electricity is very expensive in Hawaii, about .41 to .45 per KWH. Labor costs to maintain are high. Insurance on oceanfront or near oceanfront properties is also much higher than if you are at a higher elevation or not near the ocean as in the mainland non-coastal communities. Anything electronic must be repaired and replaced much more often because of the corrosive nature of salt air and high humidity.

[bllefkay]

Originally Posted by KonaKat

Because the maintenance on oceanfront properties, or even near the ocean, is about triple what you might see on the mainland in a climate that does not include constant humitidy, termites, and the ravages of sea air. Also, electricity is very expensive in Hawaii, about .41 to .45 per KWH. Labor costs to maintain are high. Insurance on oceanfront or near oceanfront properties is also much higher than if you are at a higher elevation or not near the ocean as in the mainland non-coastal communities. Anything electronic must be repaired and replaced much more often because of the corrosive nature of salt air and high humidity.

Old post but new response:

Granted maintenance fees are higher when near the ocean because of the corrosion environment but the main reason of high cost is price gouging - it's just like California, wages are way too high, sorry industry workers!

[KonaKat]

Originally Posted by bllefkay

Old post but new response:

Granted maintenance fees are higher when near the ocean because of the corrosion environment but the main reason of high cost is price gouging - it's just like California, wages are way too high, sorry industry workers!

If you think our wages here in Hawaii are high, (especially compared to our cost of living) you are sadly misinformed. It may be "price gouging" but the wages of everyone is certainly not a main reason.

[Huckleberry3911948]

ditto its how the local government makes its money off the rich property owners.
horrible HOA and property fees. a strange place hi.
no crops grow there any longer just weeds. a strange social system, service class phillipino, rich class white and some geek military and a few natives. thats it. im sorry if i offend any natives. please correct my post but this is what i see every time i go.

[whtviper1]

Originally Posted by Huckleberry3911948

ditto its how the local government makes its money off the rich property owners.
horrible HOA and property fees. .

Property tax is among the lowest in the nation in Hawaii and HOA fees are set by the condo association not the local government. Associations with a pool are especially higher due to maintenance and insurance.

[CyberCity]

The OP asked their question 4 years ago, so the resurrection of this thread might not be of much use to them. But for the benefit of others who read it now:

HOA fees are related to the cost of maintaining and improving the common condo and/or association property. If you are interested in buying, ask to see the budget of the HOA. That documentation will show where and how the dues money is spent. It is not a big mystery that is not available to association members, there will be a budget.

[Huckleberry3911948]

Originally Posted by whtviper1

Property tax is among the lowest in the nation in Hawaii and HOA fees are set by the condo association not the local government. Associations with a pool are especially higher due to maintenance and insurance.

the cost of the new required smart meters for a home owner were in excess of 30k in kauai when i was there last year. the hoa fees where i stayed which indeed had a pool were over 750 a month and i was told that was low end. the fees of the hoa are reflected in the fees the city charges not the property taxes the city charges.

[Jungjohann]

Originally Posted by Huckleberry3911948

the cost of the new required smart meters for a home owner were in excess of 30k in kauai when i was there last year.

What the heck are you talking about? 30,000 bucks for a single home owner?

[whtviper1]

Originally Posted by Huckleberry3911948

the cost of the new required smart meters for a home owner were in excess of 30k in kauai when i was there last year. the hoa fees where i stayed which indeed had a pool were over 750 a month and i was told that was low end. the fees of the hoa are reflected in the fees the city charges not the property taxes the city charges.

I know you must be loving life in S. Cal - but your statements are really incorrect. HOA fees are what is required to maintain and insure the property - and also have a proper reserve for maintenance in the future. They aren't city fees (unless they bundle in water/garbage, etc). HOA fees aren't derived much differently arrived at in Hawaii than they are in S. Cal except we have higher costs to maintain the property than a typical S. Cal condo complex.

And if a complex needed smart meters - that isn't any different than a fee one would incur on the mainland if it is a requirement also (doesn't PG&E require that now also?)

I don't get where your statements are coming from.