As you prepare for your PCS move to Hawaii, you are probably overwhelmed with things to do. Two of the biggest headaches I remembered were Clearing CIF and dealing with transportation to get packed and moved out.
Dealing with transportation means that you will need a new home to place all of your personal belongings.
If you are making plans to purchase a home in Hawaii, you might want to consider some things that may save you some serious grief after your tour in Hawaii is over.
Your BAH rate will probably increase when you get here unless you are coming from another high cost area such as DC, San Francisco or Alaska. You will also be entitled to COLA whether you are single or married.
Should you really buy a home in Hawaii even if you can afford it with your BAH and COLA?
What are you going to do with that property after your 3 year tour is over? What if the value decreased or maybe stayed the same? Will you be able to afford the costs of selling of it at a loss? Maybe you will keep it and use it as an investment/rental property but are you prepared to pay 10% of the rent collected each month to a property manager? Will you have enough liquid assets to make your mortgage payment in between tenants? What about necessary repairs......do you have cash available to pay for those items?
Buying real estate is a great way to build wealth but it is not for everyone.
For more information on purchasing real estate in Hawaii, contact me anytime via email or telephone.
Good luck with your move to paradise!
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