Hawaiʻi Department of Commerce and Consumer Affairs
DCCA condominium and real-estate resources
A state resource page does not replace current project documents or professional review.
Open official source ↗Hawaiʻi term
Fee simple buys the land right. Leasehold buys time on someone else’s land.
Two units in the same building can have different land rights. Fee simple means you own the unit and the appurtenant land interest described in the documents. Leasehold means the land is leased for a remaining term, with rent and expiration risk that a listing price can hide.
Reviewed September 3, 2026
Direct answer. Read the tenure on the deed and condominium documents, then price remaining term, lease rent, renegotiation, and lender treatment before using price per square foot.
Comparable facts
Tenure comparison
Do not compare raw prices until remaining term, lease rent, and lender treatment are visible.
Fee simpleOwnership includes the land rights described in the deed and condominium map.
LeaseholdUnit interest lasts for a remaining term, with rent and expiration risk.
Not DHHLDepartment of Hawaiian Home Lands leases are a separate program.
Plain language
The comparison that matters
- Fee simple: the ownership interest includes the land rights described in the deed and condominium map. You still have taxes, AOAO rules, and mortgages.
- Leasehold: you own the unit interest for a remaining lease term. Lease rent, expiration, surrender, and renegotiation terms can change value and financing.
This is not the same topic as Department of Hawaiian Home Lands leases. Those are a separate legal program and should not be collapsed into a generic leasehold explainer.
Plain language
Questions to put in writing
- What is the exact remaining term, and is there an option to extend or purchase the leased fee?
- What is the current lease rent, when does it reset, and how is the reset calculated?
- What happens to the unit interest at expiration?
- Will the buyer’s lender finance this remaining term, and on what conditions?
- How have recent comparable leasehold sales been treated versus fee-simple sales in the same project?
Plain language
Do not compare raw prices
A cheaper leasehold listing can still be the more expensive ownership path after rent, financing limits, and resale. Use the true monthly cost calculator and current documents—not a rule of thumb.
Official starting points
Verify the current rule, not this summary.
Common questions
FAQ
Is leasehold always a bad purchase?
Not automatically. It is a different asset. The decision turns on remaining term, rent resets, lender treatment, and your exit plan. Those facts have to come from current documents.
Does a listing that says fee simple replace a title report?
No. Confirm tenure on the deed, condominium documents, and preliminary title report. Listing language is a lead, not a determination.