Anyone who has moved to Hawaii knows that the island has spectacular beauty. Its sun-soaked beaches, lush valleys, and kind locals that openly offer friendships and assistance when needed are its true treasures. Today, West Maui is one of the most famous destinations in the state for its outstanding community and vast properties.
Are you looking for a way to diversify your investment portfolio? Look no further than West Maui, Hawaii. Find out more about the pros and cons of investing in this area. Investing in a property in West Maui is a life-changing decision. This means you need to consider various factors before finally making a choice. It’s also essential to do extensive research and carefully review the island properties to ensure a wise real estate investment.
Perks of investing in West Maui real estate
West Maui is where you can experience year-round adventures and visit spectacular resorts. Most tourists want to spend more time on the island. Owning a property on the island is a smart choice for it allows you to enjoy its tranquility however and whenever you want. If these reasons are not enough to convince you, below are some more reasons why investing in West Maui is worth it.
Property steadily appreciates
The beauty of West Maui entices visitors to go back to the island as frequently as they want. Some will choose to invest in a vacation property to not stay in hotels or rent rooms every time they go back. That said, the property values tend to rise steadily as people are drawn to invest in the island’s properties.
The best beaches on the island are accessible
The golden West Maui beach is frequently cited as the primary reason tourists love to stay on the island. If you are a beach person who wants to visit the world’s best beaches anytime, consider investing in West Maui real estate. One of the top beaches on the island is Kaanapali beach which is famous for its miles-long expanse of immaculate white sands. You can also quickly go to Napili Bay, known for its turquoise water and fun water activities like snorkeling and stand-up paddleboarding.
Work in a paradise
Many have second thoughts about investing in a property on the island because of their job commitments. However, the COVID-19 pandemic demonstrated to everyone working from home for a long time that working anywhere is viable. Although West Maui is predominantly a holiday destination, the tranquility of the place entices visitors to settle on the island for good. Now, they can have more time to enjoy the island while keeping up with their work commitments.
West Maui has the best shopping and dining spots
West Maui has the best shopping and dining spots on the island. The island is frequently busy with residents and tourists seeking a great eating experience unique to Maui, including the Sansei Food Restaurant & Bar and The Burger Shack in Kapalua. In Lahaina, you can also visit Duke’s Beach House to enjoy live music and sip fruity island drinks. If you’re a shopaholic, you will indeed have a good time in the Whalers Village located on the Kaanapali beachfront.
It is generally a safe place to live
Maui Island welcomes millions of visitors each year, but armed soldiers are not required to secure the airport or police the city’s major streets. On the other hand, crime exists, but the crime rate is often lower than in other areas in the United States. That said, your safety is guaranteed on the island.
Capital gains tax deferral
Investing in a West Maui property could mean tax breaks and preferential tax treatment for the lucky owner. That said, there is a high chance that you may be able to deduct maintenance costs, mortgage interest, property taxes, insurance, and depreciation if you rent out your property. In this case, you’re hitting two birds with one stone. You generate income and also save money on taxes.
Cons of investing in West Maui Real Estate
Living in West Maui might seem too good to be true without the ‘buts’ and ‘ifs.’ Like other places, there are also drawbacks when investing in a West Maui property.
Job opportunities are limited
Finding a job you truly desire may be difficult unless you already have work. You will have a better chance of finding well-paying employment if you want to be in the tourism industry, as tourism is the island’s primary source of income. There are other careers to explore, but a tourism-related job will be easier to land.
Construction is often costly
If the property you bought does not include a house, building your own might take extra effort because of the materials that need to be shipped across the seas. If you wish to remodel your living room or kitchen, expect that you will need to pay more than in the U.S. mainland. On the other hand, being financially secure does not exempt you from having labor difficulties as contractors and construction workers are also limited. Expect that there will be delays due to uncontrollable shipping problems, as construction materials are frequently shipped to the Hawaiian Islands via shipping containers.
Utilities can be expensive and are not always dependable
The cost of electricity on the island rises regularly and is higher than in other parts of the country. However, West Maui has good sunny weather, so you can use solar panels to save on electricity bills. Solar panels can be costly, but you can save thousands of money in the long run.
The salty and humid air may cause property damages
While the humid air is good when soaking on the beach, it is detrimental to your property. Wood can swell or rot due to the humid air, and it can be challenging to open wooden gates and potentially damage walls and outdoor shelters. On the other hand, any metal will quickly rust, so it is often recommended to use stainless steel for longer-lasting construction.
Own West Maui Real Estate Now
If there is one sure thing here, that would be the fact that investing in a property in West Maui offers many rewards. Then again, you also have to note its disadvantages to manage your expectations and help you make the right decision. If you finally commit to buying a property, connect with us right away. We will help you choose the property of your dreams.
