Paradise Deferred – S. Elliott
If youve ever thought about getting away from it all and moving to paradise, youre not alone. The dream of perfect weather and carefree living has inspired many of us to toss out our ice scrappers and head for the islands, but living in paradise these days may require some patience, adjustment, and sacrifice. Honolulu is the seventh most expensive American city in which to live.
The median value of single-family owned and occupied housing in Hawaii is more than twice the national average.
Buying a home in Hawaii is an expensive proposition, but never more expensive than in the current lending market. Beautiful beaches, glorious weather and the laidback lifestyle make living in the islands a dream come true. But that dream is becoming a reality for fewer and fewer people who apply for loans, particularly in markets like Oahu where the median home price is over $400,000.
As a result of Wall Streets current cautious approach to real estate, Hawaii is suffering a disproportionate share of the fallout. Current reluctance to buy even well rated loans in the AAA range has had a profound short-term impact on the jumbo...