What are average closing costs in Hawaii?

Closing costs in Hawaii average 2.30% of the purchase price. On the state median of $841,700, that's approximately $19,359. Hawaii ranks Above average — driven by high home prices rather than high rates; title insurance scales with price nationally. Source: ClosingCorp 2021 / Urban Institute 2025.

What is title insurance and how much does it cost in Hawaii?

Title insurance protects the lender (and optionally you) against ownership disputes, liens, and title defects discovered after closing. In Hawaii, lender's title insurance averages $2,800. Owner's title insurance is separate: the national average premium is $1,337, about 0.42% of the purchase price on a $318,000 home (Fannie Mae-sourced figure as reported by First American). State variation is wide — combined lender's and owner's title-related fees run from $358 in Missouri to $3,496 in Pennsylvania (Urban Institute, published January 7, 2025), driven mainly by whether your state promulgates, files, or does not regulate title rates. Unlike other insurance, it's a one-time premium paid at closing.

Can closing costs be rolled into the mortgage in Hawaii?

You cannot roll closing costs into a purchase mortgage — lenders fund only the home's purchase price. However, you can negotiate seller concessions (the seller pays part of your closing costs), accept a slightly higher interest rate in exchange for a lender credit (cash toward closing costs, the opposite of paying points to buy your rate down), or apply down payment assistance funds toward closing costs. On a $673,360 loan in Hawaii, trading for a lender credit worth 1% of the loan typically raises your payment by about $1,683/mo.

When do I get the Closing Disclosure in Hawaii?

Federal law (TRID) requires your lender to provide the Closing Disclosure at least 3 business days before closing. It shows final loan terms, monthly payment, and itemized closing costs. Compare it carefully to your Loan Estimate — lenders are limited in how much certain fees can change between the two documents.

What closing costs are tax-deductible in Hawaii?

Most closing costs are not deductible. Exceptions: prepaid mortgage interest (the interest accrued between closing and your first payment), and mortgage points paid to buy down your rate may be deductible in the year paid or amortized over the loan term. Property taxes prepaid at closing are deductible up to the $10,000 SALT cap. Consult a tax professional for Hawaii-specific guidance.

Closing Costs

Closing Costs in Hawaii (2026): What You'll Pay at the Table

Closing costs in Hawaii average 2.30% of the purchase price — $19,359 on a $841,700 home. That's on top of your down payment, Hawaii has no state transfer tax, and optional attorney costs. Here's exactly what you'll pay in cash on closing day, the day ownership officially transfers to you.

Avg closing costs

$19,359

Origination + title + taxes + prepaids + recording fees, added up

As % of purchase price

2.30%

ClosingCorp 2021 / Urban Institute 2025

Transfer tax rate

None

State revenue authority

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Can you actually afford closing day?

Beyond your down payment, budget roughly $19,359 in cash for closing costs on the Hawaii median home — that's money due at the closing table, not financed into the loan.

Feels like a lot? See down payment assistance →

New to this? Quick definitions

Title insurance —: a one-time policy that protects against ownership disputes or liens on the property discovered after you buy it. The lender requires its own policy; yours (the owner's policy) is optional but recommended.
Escrow —: at closing, a neutral account (usually held by the title company) that holds funds like prepaid taxes and insurance until they're due — different from the ongoing mortgage escrow account your lender manages after closing.
Transfer tax —: a one-time tax some states and counties charge when a property changes hands, calculated as a percentage of the sale price.
Origination fee —: what your lender charges to process and underwrite the loan, typically 0.5–1% of the loan amount.
Points —: optional upfront fees you pay to lower your interest rate. One point costs 1% of the loan amount.
Seller concessions —: an amount the seller agrees to contribute toward your closing costs, negotiated as part of the offer.
Prepaid / prorated costs —: amounts like taxes or interest split by the exact day of closing, so each party only pays for the time they actually own the home.
Loan Estimate / Closing Disclosure —: the Loan Estimate is your lender's early quote of costs; the Closing Disclosure is the final, legally binding version you get at least 3 days before closing.

What's Included in Hawaii Closing Costs

Breakdown on a $841,700 purchase with 6.4% rate

Fee	Est. Amount	Notes
Loan origination fee	$6,734	Typically 0.5–1% of loan amount; negotiable
Appraisal	$550	Required by lender to confirm home value
Title search & insurance	$2,800	Lender's policy; owner's policy sold separately
Prepaid interest	$1,771	Interest from closing date to first payment (est. 15 days)
Homeowners insurance (escrow)	$1,549	First year premium + 2 months escrow reserve
Property tax (escrow)	$568	Typically 3 months prepaid into escrow
Recording & govt fees	$250	County recording of deed and mortgage
Total estimated closing costs	$19,359	2.30% of purchase price

Estimates based on $841,700 purchase. Actual costs vary by lender, county, and loan type.

Where your closing costs go (one-time, at closing)

Loan origination fee$6,734 (47%)

Appraisal$550 (4%)

Title search & insurance$2,800 (20%)

Prepaid interest$1,771 (12%)

Homeowners insurance (escrow)$1,549 (11%)

Property tax (escrow)$568 (4%)

Recording & govt fees$250 (2%)

Mistakes buyers make

Saving only for the down payment and forgetting closing costs are a separate cash need — on the Hawaii median home that's an extra $19,359.
Accepting the first title insurance quote instead of shopping 2-3 providers.
Not asking which fees are negotiable — origination fees, attorney costs, and title fees often have room to move.
Waiting until the Closing Disclosure to review fees for the first time, instead of comparing it against the earlier Loan Estimate.

Pro tips

Ask for a Loan Estimate early from at least 3 lenders — it's free and lets you compare fees side by side before you commit.
Negotiate seller concessions as part of your offer, especially in a slower market — it can offset a meaningful chunk of your $19,359 closing cost estimate.
Get your Closing Disclosure at least 3 business days before closing and compare every line item against your Loan Estimate.
Ask your lender and title company directly which fees are fixed and which are shoppable — don't assume everything is set in stone.

Closing Costs Calculator — Hawaii

Pre-loaded with Hawaii's transfer tax rate and median purchase price of $841,700

Closing Costs Estimator

Hawaii rates pre-loaded

Purchase Price

Down Payment — 20% ($168,340)

0%50%

Loan Type

Estimated Closing Costs

$12,600

1.5% of purchase price

Loan origination fee (est. 1%)$6,734

Appraisal$500

Title insurance — lender's policy (est. 0.5%)$3,367

Recording fees$200

Prepaid interest (est. 15 days)$1,799

Estimates only. Actual costs vary by lender, title company, and county.

Full Calculator →

Hawaii Real Estate Transfer Tax

Hawaii has no state transfer tax — a meaningful closing cost advantage

No transfer tax in Hawaii

Conveyance Tax: $0.10 per $100 on properties under $600K (0.10%); $0.20 per $100 on $600K-$1M (0.20%); $0.30 per $100 on $1M-$2M (0.30%); $1.00 per $100 above $10M, paid by the seller; the buyer owes $0 in transfer tax under current law. An additional 0.10% surcharge applies on non-owner-occupied residential properties, also seller-paid.

Source: Hawaii revenue authority

Attorney at Closing: Not Required in Hawaii

Hawaii uses title companies and escrow officers

An attorney is not required at closing in Hawaii. A title company or escrow officer handles the closing process. You may still hire an attorney for contract review — typically $300–$800 — but it's optional.

Estimated Closing Costs by City in Hawaii

Based on each city's median price and Hawaii's closing cost rates

Closing cost estimates — Hawaii cities

City	Median Price	Title Insurance	Est. Total
Honolulu	$950,000	$2,800	$21,850
Kailua	$1,250,000	$2,800	$28,750
Hilo	$420,000	$2,800	$9,660
Lahaina (Maui)	$1,100,000	$2,800	$25,300
Source: ClosingCorp 2021 / Urban Institute 2025 — estimated at 2.30% of purchase price

APR Calculator — True Cost of Your Loan

APR folds in closing costs so you can compare loans with different fee structures. Pre-loaded with Hawaii's median loan amount of $673,360 at 6.4%.

APR Calculator

Compare loans with different fee structures by seeing the true annual percentage rate — pre-loaded with Hawaii's median loan amount of $673,360.

Open Calculator →

Should You Buy Points to Lower Your Rate?

Each point costs 1% of the loan ($6,734) and reduces your rate by roughly 0.25%. This calculator shows your break-even month.

Mortgage Points Break-Even Calculator

Find your break-even month — pre-loaded with Hawaii's $673,360 median loan at 6.4%.

Open Calculator →

How to Reduce Closing Costs in Hawaii

Shop lenders — fees vary widely

Origination fees and points differ by lender. Get Loan Estimates from at least 3 lenders on the same day so you compare apples to apples. A 0.5% difference on a $673,360 loan is $3,367.

Negotiate seller concessions

In a buyer-friendly market, sellers may agree to cover 2-3% of closing costs. On a $841,700 Hawaii home, a 2% concession is $16,834 — nearly your entire closing cost budget.

Compare title insurance quotes

In most states, you can choose your own title company. Call 2-3 providers — rates are often filed with the state but there can be flexibility in bundled services.

Close near end of month

Closing at month-end minimizes prepaid interest (you only owe interest from closing date to month-end, then your first payment isn't due for ~6 weeks). On $673,360 at 6.4%, each day saved is $118.

Mortgage Payment Calculator — Hawaii

After closing costs, here's what your monthly payment looks like on $841,700 in Hawaii

Mortgage Estimator

Hawaii rates pre-loaded

Home Price

Down Payment — 20% ($168,340)

3%50%

Interest Rate

Loan Term

Monthly Payment

$5,144

estimated all-in payment (PITI)

Loan amount$673,360

Principal & Interest$4,212/mo

Property Tax (1.07% rate)$751/mo

Home Insurance$182/mo

Total Monthly PITI$5,144

Total interest (30 yr)$842,926

Tax and insurance estimates use national averages. For Hawaii-specific numbers, see the full breakdown below.

Excludes HOA fees. Rates and costs are estimates; actual costs vary.

Full Calculator →

National comparison

How does this compare to the rest of the country?

Our 2026 data study puts average US closing costs at $4,528 — 1.04% of sales price — for title, settlement, recording and transfer taxes. It also explains why that figure and the CFPB's familiar 2%–5% range differ by roughly threefold, and which states sit at the extremes.

Read: Closing Costs by State, 2026 →

Other Hawaii Rules That Land on Closing Day

Recording fees

Bureau of Conveyances (statewide): Regular System $41.00 per document up to 50 pages, $106.00 for 51+ pages; Land Court $36.00 per document up to 50 pages, $101.00 for 51+ pages. (Hawaii Department of Land and Natural Resources, Bureau of Conveyances, retrieved 2026-09-14)

How Hawaii arrives at the property tax bill

100% of fair market value, assessed annually as of October 1 (Honolulu, ROH § 8-6.1 / § 8-7.1); each county assesses separately (City and County of Honolulu, Real Property Assessment Division, retrieved 2026-09-14)

In Honolulu, the home exemption cuts the taxable value of an owner-occupied principal residence by $120,000 ($160,000 if 65 or older); amounts rise to $140,000/$180,000 effective July 1, 2027. Hawaii, Maui and Kauai counties set their own amounts. When to file: September 30 (Honolulu). (City and County of Honolulu, Real Property Assessment Division, retrieved 2026-09-14)

If the assessed value looks wrong, the appeal window is January 15 (Honolulu), heard first by the Board of Review (BOR) of the City and County of Honolulu. (City and County of Honolulu, Real Property Assessment Division, retrieved 2026-09-14)

Hawaii Property Insurance Association (HPIA)

Created by the 1991 Legislature for owners unable to buy homeowners coverage because of volcanic eruption risk in Lava Zones 1 and 2 on Hawaii Island; basic property coverage is now available to eligible property owners in all locations in the State (max dwelling limit $450,000). Applications must go through a licensed P&C agent. (Hawaii Property Insurance Association, retrieved 2026-09-14)

Frequently Asked Questions

What are average closing costs in Hawaii?: Closing costs in Hawaii average 2.30% of the purchase price. On the state median of $841,700, that's approximately $19,359. Hawaii ranks Above average — driven by high home prices rather than high rates; title insurance scales with price nationally. Source: ClosingCorp 2021 / Urban Institute 2025.
Does Hawaii have a real estate transfer tax?: Hawaii has no state-level real estate transfer tax. Conveyance Tax: $0.10 per $100 on properties under $600K (0.10%); $0.20 per $100 on $600K-$1M (0.20%); $0.30 per $100 on $1M-$2M (0.30%); $1.00 per $100 above $10M, paid by the seller; the buyer owes $0 in transfer tax under current law. An additional 0.10% surcharge applies on non-owner-occupied residential properties, also seller-paid. This makes Hawaii one of the more buyer-friendly states for closing costs.
Is an attorney required to close on a home in Hawaii?: No — Hawaii does not require an attorney at closing. A title company or escrow officer handles the closing process. You may still choose to hire an attorney for contract review, which is optional.
What is title insurance and how much does it cost in Hawaii?: Title insurance protects the lender (and optionally you) against ownership disputes, liens, and title defects discovered after closing. In Hawaii, lender's title insurance averages $2,800. Owner's title insurance is separate: the national average premium is $1,337, about 0.42% of the purchase price on a $318,000 home (Fannie Mae-sourced figure as reported by First American). State variation is wide — combined lender's and owner's title-related fees run from $358 in Missouri to $3,496 in Pennsylvania (Urban Institute, published January 7, 2025), driven mainly by whether your state promulgates, files, or does not regulate title rates. Unlike other insurance, it's a one-time premium paid at closing.
Can closing costs be rolled into the mortgage in Hawaii?: You cannot roll closing costs into a purchase mortgage — lenders fund only the home's purchase price. However, you can negotiate seller concessions (the seller pays part of your closing costs), accept a slightly higher interest rate in exchange for a lender credit (cash toward closing costs, the opposite of paying points to buy your rate down), or apply down payment assistance funds toward closing costs. On a $673,360 loan in Hawaii, trading for a lender credit worth 1% of the loan typically raises your payment by about $1,683/mo.
When do I get the Closing Disclosure in Hawaii?: Federal law (TRID) requires your lender to provide the Closing Disclosure at least 3 business days before closing. It shows final loan terms, monthly payment, and itemized closing costs. Compare it carefully to your Loan Estimate — lenders are limited in how much certain fees can change between the two documents.
What closing costs are tax-deductible in Hawaii?: Most closing costs are not deductible. Exceptions: prepaid mortgage interest (the interest accrued between closing and your first payment), and mortgage points paid to buy down your rate may be deductible in the year paid or amortized over the loan term. Property taxes prepaid at closing are deductible up to the $10,000 SALT cap. Consult a tax professional for Hawaii-specific guidance.