Housing Types 101

The neighborhood of Kakaako is thriving - with plans for dozens of new condominiums, retail outlets and restaurants in the near future. However, some local consumers look at the condo prices and think, "No way! I can't afford that." But what if you qualified for a lower price? 

We hear terms like "reserve housing" and "workforce housing,” but what does that really mean to the consumer? One of the great things about Kakaako is that there is diversity in the types of units offered. You may look at a condo and think it's out of your price range, but within each building there may be units set aside that are within your reach. 

So what are the different housing types and which one works best for me?

Market Housing
The sticker price is what you pay - sort of. There are fewer restrictions set in place regarding income and personal assets, but there’s always room for negotiation, right? 

Workforce Housing
Your combined annual household income has to be between 100-140% of the area's median income. In Honolulu, that's $82,600-$115,640. 

Reserve Housing
Your combined annual household income cannot exceed 140% of the area's median income. In Honolulu, that means $115,640 per year or less. 

Affordable Housing
You qualify if your combined annual household is under 100% of the area's median income. In Honolulu, that means $82,600 per year or less. Read more about affordable housing. 

However, this is just the tip of the iceberg. There are several other factors that determine whether or not you qualify for workforce, reserve and affordable housing. To find out if you're eligible, it’s best to discuss your housing options with your real estate agent so you are prepared to win in the competitive real estate market.

See what Scott had to say about the different housing types on Hawaii News Now.