THE CONVERSATION
Your home is your castle and it's important you maintain it. However, maintaining it can be costly. Here are three things to help you tighten your grip on your home's operating expenses.
Insurance
At least once a year, you should review your insurance policy with your insurance agent. This would include, but not limited to:
Has your insurance provider made any changes in coverage since last year
Should you raise the deductible?
Do you need to raise the amount of coverage for liability, personal possessions, and or the structure?
Do you need flood, earthquake, and or an umbrella policy?
Due to the Lahaina fire, there is a chance your premium could increase. Even though this tragic event happened on Maui, you can feel the financial spillover.
Property Tax
If you purchased a home, make sure you file your home exemption -- this is free money! Due to the COVID home market boom, property taxes increased significantly for many homeowners.
If you feel your property tax is not accurate, you can file an exemption with the city. If you do this, I can provide you some sold comps to support your claim.
Utilities
Utilities can be a financial pressure point. The more you use, the more you get charged. Perhaps, it might be good to use:
LED lightbulbs.
Energy efficient appliances and HVAC.
Water efficient toilet.
When it comes to home maintenance, like a leaky toilet or faucet, make sure you fix it immediately. A small leak can cause big (financial) damage.
TIDBITS
Managing risks for associations can be challenging. Insurance is very important because it safety net to help homeowners or associations to rebuild after a loss or natural disaster. Due aging condos, rise in claims, and natural disasters, some condos are limiting payout coverage for hurricane destruction. This creates a shortfall in coverage.
For example, a mortgage lender shared with me that Keola La'i has an estimated replacement cost of $36 million. However, their master insurance policy has a maximum payout of $10 million. This leaves a $26 million short fall. The homeowners now have to pay gap coverage for their percentage of ownership in the condo. Due to this, if you are purchasing via a mortgage, some lenders will not finance.
If your home belongs to a HOA, your board of directors should order a replacement cost appraisal every few years. This appraisal should account for the cost of labor and materials. In addition, the board might even budget for "surge pricing."
HOME MAINTENANCE
This could be the easiest home maintenance repair I've blogged about. My GE fridge lightbulb burnt out and I went down to Target to pickup a replacement.
If this happens to you, make sure you buy a lightbulb made for an appliance. I cannot stress this enough.
Lastly, if you open your fridge, there might be a QR code. Scan it with your phone and double check what type of lightbulb do you need.
DECEMBER MARKET STATS
Prices have stayed relatively the same in 2023. Recently, mortgage rates have declined since November. What will happen in the new year?
OPPORTUNITIES
Masumoto's Okazuya & Restaurant - $195,000 - Price Improvement!
Welcome to Matsumoto Okazuya, a hidden gem in the culinary paradise of Honolulu, Hawaii! This turnkey restaurant business presents a rare and exciting opportunity for entrepreneurs and food enthusiasts to step into a well-established, beloved eatery with a rich history and a loyal customer base. Conveniently situated in the heart of Kalihi, Matsumoto Okazuya benefits from a prime location with high foot traffic and excellent street frontage visibility. Take the reins of Matsumoto Okazuya, continue its tradition of culinary excellence, and embark on a rewarding journey as a respected member of the Honolulu dining scene. Inquire today to secure your place in this thriving food industry! Base rent: $1,500/month, CAM: $1,076/month, GET: $111.97/month. Next rent step up is from January 1, 2024 to December 31, 2024. Lease expires on 12/31/2025. Sale is for Matsumoto's Okazuya-Restaurant LLC, its FF&E, recipes, and assumption of lease only. The real property is not for sale.
47-714 Hui Kelu Street #16-1605 - $705,000 - Lowest Priced Listing In Club View Gardens
Welcome to Club View Gardens. Nestled within the Temple Valley, this 3-bedroom, 2-bathroom split level townhouse invites you to experience the tranquility of island living. Boasting over 1,400 square feet of living space, this spacious two-story townhouse is a testament to spacious design and thoughtful craftsmanship. As you enter, your gaze will be drawn upward to the vaulted ceiling, which bathes the room in natural light and imparts a sense of airy grandeur. The main level of this unit is thoughtfully designed, featuring the primary bedroom and bathroom, offering both convenience and privacy. The remodeled kitchen is a chef's delight, with sleek cabinetry, countertops, and appliances. One of the highlights of this property is the enclosed lanai, a serene oasis that bridges the gap between indoor and outdoor living. With picturesque views of the surrounding greenery, this space invites you to enjoy your morning coffee or host gatherings with family and friends. Located in the heart of Kaneohe, you'll have easy access to shopping, dining, schools, and outdoor recreational activities. Schedule a showing and make this your home today.
4823 Kolohala Street - $2,700,000 - Value Added In Kahala
Seize your opportunity to own a single level home on a large, level lot in one of Kahala's prime locations! This 5 bedroom + 3 bath house has been well-maintained over the years, tastefully upgraded throughout while keeping its original charm. The property comes with an in-ground pool, a fully sprinklered yard with landscaping, and "maid's quarters" with a separate entry. Located on a quiet street just minutes from beaches, Kahala Mall, Waialae Country Club, Kahala Hotel, schools, and more, this is the place to be. If your goal is to be in Kahala, then this is the home you have been looking for!
Stay safe and healthy. Happy Holidays!
-Ryan Oda
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