Closing Costs in Hawaii 2026: Buyer & Seller Guide
In Hawaii the seller, unless it is a government body, pays a state conveyance tax of 10 cents to $1.25 per $100 of the full price. The rate jumps at each price band and is higher when a condo or house buyer can’t claim a county homeowner’s exemption. Nonresident sellers can have 7.25% withheld.
The conveyance tax: one state law, two rate schedules
The tax comes from Hawaii Revised Statutes chapter 247. It is a state tax with one schedule for every county, and the payment goes to the state Bureau of Conveyances in Honolulu with Form P-64A. The rates in § 247-2 were last changed by Act 59 of 2009; the Department of Taxation’s 2025 instructions for Form P-64A use them for every transaction dated July 1, 2009 or later. The department’s summaries of tax laws passed in the 2024, 2025 and 2026 sessions list no change to chapter 247 rates.
Paragraph (2) of § 247-2 covers one case only: “the sale of a condominium or single family residence for which the purchaser is ineligible for a county homeowner’s exemption on property tax.” Every other transfer, including land and commercial property, uses paragraph (1).
| Property value | Paragraph (1), per $100 | Paragraph (2), per $100 |
|---|---|---|
| Less than $600,000 | $0.10 | $0.15 |
| $600,000 to under $1,000,000 | $0.20 | $0.25 |
| $1,000,000 to under $2,000,000 | $0.30 | $0.40 |
| $2,000,000 to under $4,000,000 | $0.50 | $0.60 |
| $4,000,000 to under $6,000,000 | $0.70 | $0.85 |
| $6,000,000 to under $10,000,000 | $0.90 | $1.10 |
| $10,000,000 or more | $1.00 | $1.25 |
The whole price is taxed at the band’s rate
These are not marginal brackets. The tax is the “actual and full consideration” multiplied by one rate, and that consideration includes “any liens or encumbrances” on the property at the time of sale, so taking over the seller’s loan does not shrink the base. The minimum tax is $1, and Form P-64A rounds the result to the nearest ten cents. Worked examples, treating the price as the property’s value:
| Price | Paragraph (1) | Paragraph (2) |
|---|---|---|
| $595,000 | $595 | $892.50 |
| $605,000 | $1,210 | $1,512.50 |
| $850,000 | $1,700 | $2,125 |
| $1,500,000 | $4,500 | $6,000 |
Under paragraph (1), moving $10,000 across the $600,000 line more than doubles the tax, from $595 to $1,210.
Who pays, and when
Section 247-4(a) puts the tax on “the grantor, lessor, sublessor, assignor, transferor, seller, conveyor.” The one exception: when the United States, the State or a county is the seller, the buyer pays. It is due within 90 days of the transaction and before the deed is stamped with the tax seal, and § 247-6(e) bars the Bureau from recording a taxable deed until the certificate is filed. At least one seller and one buyer must sign Form P-64A. A late filing costs 5% of the tax per month or part of a month, up to 25%; a return filed on time but not paid within 60 days of the due date draws a 20% penalty; and interest runs at 2/3 of 1% per month.
Transfers the tax skips
- Your mortgage: § 247-3(2) exempts “any document or instrument that is given to secure a debt or obligation.”
- Deeds between spouses, reciprocal beneficiaries, or parent and child for nominal consideration (§ 247-3(4)); deeds for $100 or less (§ 247-3(5)); and deeds between divorcing spouses made under the divorce court’s order (§ 247-3(12)).
- Moving property into your own revocable living trust or back out to you (§ 247-3(14)), and a transfer on death deed under chapter 527 (§ 247-3(17)).
For the family, nominal-consideration, divorce and revocable-trust transfers you still file a certificate (§ 247-6(b)), on Form P-64B. Leasehold is taxed too: a lease or sublease with five or more years left runs through chapter 247, with the rent discounted to present value at 6% plus anything paid for improvements.
HARPTA: 7.25% held back when the seller is not a Hawaii resident
Under § 235-68(b), the buyer must “deduct and withhold a tax equal to 7.25 per cent of the amount realized” when the seller is a nonresident, and must file the return within 20 days after the transfer. If the amount realized is $850,000, that is $61,625. The section was last amended by Act 122 of 2018, for dispositions on or after September 15, 2018.
Two affidavits end the duty to withhold. Under § 235-68(d), the seller gives the buyer a sworn statement, with a taxpayer ID number, that the seller is a Hawaii resident or that a nonrecognition provision or treaty means no gain or loss is recognized (with a description of the transfer and the supporting law and facts); it does not protect a buyer who actually knows it is false. Under subsection (f), an individual seller swears the home was the seller’s principal residence for the year before the transfer and the amount realized does not exceed $300,000. A seller expecting no gain, or too little in proceeds to cover the withholding, can apply for a withholding certificate, but the application alone does not release the buyer (§ 235-68(e)).
Recording: one statewide Bureau, two systems
Hawaii records deeds statewide at a single office, the Bureau of Conveyances in the Department of Land and Natural Resources (§ 502-1). Its fees are set by department rule under § 502-25(a), rather than by each county; the Bureau’s posted schedule, which is what you pay, is:
- Regular System: $41 per document up to 50 pages, $106 for 51 pages or more.
- Land Court: $36 per document up to 50 pages, $101 for 51 pages or more, plus $50 to issue a certificate of title.
A 2025 law, Act 296, lets the Hawaii Hurricane Relief Fund board turn on a temporary fee of up to $44 per recorded document for up to 36 months, subject to the commissioner’s approval; parcels in the agricultural land use district are exempt (§ 431P-20). As of September 24, 2026, the Bureau’s fee page lists no such fee.
Title insurance schedules and licensed escrow companies
Each title insurer in Hawaii adopts and prints its own “schedules of its currently effective premiums and charges” and must display them in its offices; a schedule may set different charges by county (§ 431:20-120). A change takes effect no sooner than five days after it is displayed, and an increase does not apply to a policy ordered before its effective date. The insurance code’s rate-regulation article covers property, casualty, surety, motor vehicle, workers’ compensation and marine insurance (§ 431:14-102(a)); title insurance is not on that list. What insurers must file with the commissioner, at least 30 days before use, is their policy forms and endorsements (§ 431:20-121).
A business that holds the money and deed in escrow for a fee is an escrow depository, and under § 449-5 it must be “a corporation licensed to do so by the commissioner” of financial institutions, including one working from out of state on Hawaii property. Section 449-3 carves out banks, trust companies and savings and loan associations, a party’s own real estate broker, and a Hawaii-licensed lawyer not working for a corporation in the escrow. The broker and lawyer exceptions hold only when no escrow fee is charged.
If you finance the purchase, the lender must get the Closing Disclosure to you at least three business days before consummation. On a loan secured by a timeshare, the deadline is consummation itself (12 CFR 1026.19(f)(1)(ii)(A)–(B)).
HHFDC’s Hale Kamaʻāina Mortgage Program for first-time buyers
The Hawaiʻi Housing Finance and Development Corporation runs the Hale Kamaʻāina Mortgage Program, which funds 30-year fixed-rate loans through participating lenders with tax-exempt bonds. HHFDC targets a rate at least 50 basis points below market. HHFDC is revising its down-payment second mortgage: its FAQ page (updated September 4, 2026) says Act 214 of 2026 requires amendments to the administrative rules before HHFDC can implement the updated Second Mortgage Loan terms. Ask a participating lender what down-payment help is available now.
Among HHFDC’s requirements: you and your spouse must not have owned or held any interest in a principal residence in the past three years (veterans and buyers in targeted areas may be excepted), you must be a Hawaii resident and complete counseling with a HUD-approved agency, and you must move in within 60 days of closing and stay for the life of the loan. The full list is on HHFDC’s eligibility page. Limits for non-targeted areas, as of June 13, 2026:
| County | Income limit, 1–2 people | Income limit, 3 or more | Purchase price limit |
|---|---|---|---|
| Honolulu | $154,805 | $178,025 | $866,346 |
| Hawaii | $126,500 | $145,475 | $613,662 |
| Maui | $177,600 | $207,200 | $1,359,682 |
| Kauai | $163,080 | $190,260 | $1,162,348 |
Targeted areas have their own limits; the program lists none for Kauai. The bond-rate benefit can be recaptured only if three things happen together: you sell within the first nine years, your household income has risen above the program limit by at least 5% year over year, and you have a gain on the sale.
Tools: down payment calculator, what can I afford? calculator, mortgage pre-approval, mortgage calculator, refinance guide. Hawaii pages: Hawaii real estate guide, homeowner insurance guide for Hawaii.
Other state pages: closing costs by state, California, Alaska, Massachusetts, New Jersey, Indiana.
Hawaii closing questions
Why is my condo purchase charged the higher conveyance rate?
Because § 247-2(2) applies to a condominium or single-family home when the buyer is ineligible for the county homeowner’s exemption on property tax. At $850,000 that moves the rate from 20 to 25 cents per $100, or $1,700 to $2,125.
I’m a nonresident selling a Honolulu condo. How much is held back?
7.25% of the amount realized, unless an exception in § 235-68 applies or the Department of Taxation issues a withholding certificate for a smaller amount. The buyer withholds it and files the return within 20 days.
Does refinancing trigger Hawaii’s conveyance tax?
No. A mortgage is a document “given to secure a debt or obligation,” which § 247-3(2) exempts. Recording the new mortgage still costs the Bureau’s per-document fee.
How can I tell whether my home is in Land Court?
Look at the document number on your deed. The Bureau says Land Court document numbers carry a T prefix, and the Land Court label sits in the top left corner, while Regular System labels are in the top right. A deed with labels in both corners was recorded in both systems.