Considering a move to Hawaii?
While many dream of living the beach life in Hawaii, the cost of living in the Aloha State can be daunting. As the most expensive state in the US with a cost-of-living index of 188.4, Hawaii can drive away even the biggest dreamers. There are pockets of affordability with property taxes being one.
Why it matters: Areas with lower home prices and overall low property taxes allow you to find a home within your budget for work, retirement, or pleasure.
What’s ahead: This list of affordable cities gives you the stats to decide what Hawaii location is best.
1. Hilo – Rainforest gateway with island enterprise
Pop: 44,186 | Median Home Value: $455,100 | Median Household Income: $78,713
Cost of Living Index: 131.9 (31.9% above national average)
Property Tax Rate: 0.3%
Median Property Tax: $1,267
Major Industries: Tourism, agriculture, government, education – anchored by Mauna Kea observatories
Mean Commute Time: 20 min
Amenities: Hawaii Island, rainforests, waterfalls, farmers market, ‘Imiloa Astronomy Center
Why it’s #1: Hilo delivers island living through a diverse, government- and tourism-driven economy not just scenery.
2. Waianae – Oahu’s laid‑back coast with deep roots
Pop: 13,614 | Median Home Value: $487,200 | Median Household Income: $84,766
Cost of Living Index: 171.5 (71.5% above national average)
Property Tax Rate: 0.28%
Median Property Tax: $1,266
Major Industries: Tourism, healthcare, logistics, retail & energy
Mean Commute Time: 41 min
Amenities: Surf beaches, Native Hawaiian culture, Mount Cristo Rey, local cuisine
Why it’s a win: Waianae marries rural charm with community pride fueling growth in energy and service sectors.
3. Kailua – Beach town with commuter convenience
Pop: 19,713 | Median Home Value: $649,400 | Median Household Income: $86,743
Cost of Living Index: 131.9 (31.9% above national average)
Property Tax Rate: 0.28%
Median Property Tax: $1,808
Major Industries: Tourism, retail, education, healthcare
Mean Commute Time: 22 min
Amenities: Kailua Beach Park, wind‑ and water‑sports, bustling town center
The draw: Kailua offers resort‑style amenities and year‑round tourism jobs without Honolulu’s price tag.
4. Wailuku – Historic Maui hub with local flavor
Pop: 17,697 | Median Home Value: $781,700 | Median Household Income: $93,958
Cost of Living Index: 160.2 (60.2% above national average)
Property Tax Rate: 0.12%
Median Property Tax: $870
Major Industries: Government, education, tourism, healthcare
Mean Commute Time: 21 min
Amenities: Paukukalo Beach, old Maui town, art galleries, Maui Historical Society
Why it’s special: With steady public‑sector and hospitality employment, Wailuku balances history and stability.
5. Kapaa – East Kauai shores with relaxed rhythms
Pop: 11,652 | Median Home Value: $821,500 | Median Household Income: $89,440
Cost of Living Index: 154.6 (54.6% above national average)
Property Tax Rate: 0.22%
Median Property Tax: $1,677
Major Industries: Tourism, retail, education, agriculture
Mean Commute Time: 25 min
Amenities: Coastal trails, Nounou (“Sleeping Giant”) hikes, shopping, farmers markets
The allure: Kapaa captures island lifestyle, backed by steady tourism and agricultural income.
6. Kahului – Maui’s commercial core with island access
Pop: 28,219 | Median Home Value: $832,200 | Median Household Income: $92,062
Cost of Living Index: 160.2 (60.2% above national average)
Property Tax Rate: 0.12%
Median Property Tax: $926
Major Industries: Air service, wholesale, tourism, healthcare, government
Mean Commute Time: 22 min
Amenities: Kahului Airport, botanical gardens, galleries, Maui Arts & Cultural Center
Why it shines: With transportation, retail, and health-care hubs, Kahului thrives beyond resort tourism.
7. Kihei – West Maui’s sunny surfside suburb
Pop: 21,423 | Median Home Value: $871,600 | Median Household Income: $87,568
Cost of Living Index: 160.2 (60.2% above national average)
Property Tax Rate: 0.15%
Median Property Tax: $1,213
Major Industries: Tourism, retail, education, construction
Mean Commute Time: 21 min
Amenities: Coastal town, snorkeling, whale watching, community park, beachfront eats
Why it’s great: Kihei blends vacation vibes with tourism economy and vibrant beachfront living.
8. Ewa Beach – Honolulu‑adjacent suburb with island affordability
Pop: 16,415 | Median Home Value: $698,200 | Median Household Income: $124,958
Cost of Living Index: 171.5 (71.5% above national average)
Property Tax Rate: 0.28%
Median Property Tax: $1,814
Major Industries: Retail, military, healthcare, education
Mean Commute Time: 39 min
Amenities: Honolulu suburb, community parks, beaches, shopping, proximity to Oahu job centers
The takeaway: Ewa Beach delivers family-friendly suburban life with easy access to Hawaii’s job core.
9. Kapolei– Oahu’s “Second City” built for families
Pop: 21,411 | Median Home Value: $720,600 | Median Household Income: $129,260
Cost of Living Index: 171.5 (71.5% above national average)
Property Tax Rate: 0.27%
Median Property Tax: $1,805
Major Industries: Government, military, retail, education, healthcare
Mean Commute Time: 32 min
Amenities: Honolulu suburb, regional parks, golf, water park, theaters, trails
Why it works: Kapolei combines new‑town planning with schools, services, and diverse employment.
10. Wahiawa – Central Oahu’s garden‑door community
Pop: 18,658 | Median Home Value: $716,800 | Median Household Income: $86,883
Cost of Living Index: 171.5 (71.5% above national average)
Property Tax Rate: 0.28%
Median Property Tax: $1,862
Major Industries: Military, agriculture, government, healthcare
Mean Commute Time: 33 min
Amenities: Wahiawa Botanical Garden, Wahiawa Freshwater State Recreation Area, mountain trails, local farms
Why it’s a contender: With base jobs and green space, Wahiawa balances stability and serenity.
The Bottom Line
Hawaii’s affordable towns are more than scenic: they’re vibrant economic centers powered by tourism, agriculture, education, healthcare, and infrastructure.
If you’re seeking island life without the luxury price tag, these 10 cities give you community, career options, and cultural richness all under the aloha sky.
Other Hawaii Resources
The Best State and National Parks in Hawaii
10 Healthiest Cities in Hawaii
Best Tiny Home Builders in Hawaii
The Healthiest States to Live In
How to Build a House in Hawaii
10 Most Affordable Cities in Hawaii
Your Guide to Closing Costs in Hawaii
Julie Gordey
A lifelong educator, Julie Gordey, is a retired school administrator. After years of focusing on education, this University of Texas graduate now travels and enjoys freelance writing for BDX and NewHomeSource.com.