Understanding Property Tax in Honolulu County. (The island of Oahu.)
Tax rates in Honolulu county
Residential/Apartment zoning, including condos and vacant land, is taxed at $3.50 per thousand of assessed value.
Hotel zoning, including condo hotels, is taxed at $12.90 per thousand of assessed value.
Residential Classification
Property tax rates in Honolulu are actually rather low. Residential zoned property is taxed at $3.50 per thousand of assessed value*. Thus a home valued at $500,000, with no exemptions, will pay 500 x 3.5 or $1,750 per year.
* Please note that assessed value is not current market value. Although the state says they use sale prices, they seem to be about 1 to 2 years behind.
Residential “A” Classification
As of July 1, 2014, vacant lots, lots with no more than 2 homes on them and condominium units, which do not have a owner occupied exemption, are zoned residential and have a tax value of $1,000,000 or more, will be taxed at the rate of $6 per thousand of assessed value.
Example: A property valued at $1,100,000 with an Owner Occupied Exemption, would be taxed at 1020 x 3.5 or $3,570 per year.
Without an exemption, the property would be taxed at 1100 x 6 or $6,600 per year.
Owner occupied exemptions
Owners under the age of 65 and live in their property, can claim an exemption of $80,000. Owners over 65 can claim an exemption of $120,000.
Thus a home valued at $500,000, with a $120,000 exemption would be taxed on $380,000, or 380 x 3.5 or $1,330 per year.
Exemptions must be applied for by September 30 to be effective starting the following July 1st. Owners must live in the unit for a minimum of 270 days per year.
Special Exemptions
If you are Blind, Deaf , Totally Disabled, or have Hansen’s Disease, you may qualify for an additional $25,000 home exemption.
For more information on property tax go to: Real Property Assessment Division
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