Q2 - 2025 Market Data
The Hawaii multifamily market showed a sharp rebound in activity during Q2-2025. However, pricing trends reflected a downward pressure on valuations. A total of 21 properties (5+ units) traded, generating $66.85 million in sales volume, a 220.7% increase over Q1. Despite the surge in transactions, valuations softened as the median price per unit fell 21.63% from $300K to $235K. At the same time, the median cap rate rose by 39 basis points to 4.56%, signaling that investors are demanding higher returns. This combination of lower pricing and rising yields created more attractive entry points, fueling the uptick in investor activity even as broader market uncertainty lingers.
Here's a table to illustrate the market data through the first half of 2025 Metric | Q1 2025 | Q2 2025 | Change (QoQ) | Properties Traded | 7 | 21 | â–² 200.0% | Total Sales Volume | $20.84M | $66.85M | â–² 220.7% | Median Price / Unit | $300,000 | $235,000 | â–¼ 21.63% | Median Cap Rate | 4.17% | 4.56% | â–² 39 BPS |
Download Sales Comps Below
Inventory Snapshot
The current inventory remains healthy, with a total of 58 multifamily properties (5+ units) currently on the market, representing $202.5 million in total consideration. The average days on market stands at 203 days, underscoring the longer sales cycle many assets are experiencing. The median asking price is $275,000 per unit, with a median cap rate of 4.14%, highlighting a continued gap between seller pricing and buyer expectations. On a positive note, there are 14 deals under contract totaling $44.8 million, showing that well-priced properties are gaining traction even in a more selective environment.
To receive our Hawaii Multifamily Inventory Sheet, which compiles all active listings as well as off-market opportunities into one convenient document, reach out to us directly to be added to the distribution list.
Owner’s Corner: Leasing Strategies to Maximize Occupancy & Cashflow
In today’s market, keeping your units occupied and your rents competitive isn’t optional, it’s essential. Here are several effective strategies that you can implement today!
1. Market Like a Pro
Use professional photos, virtual tours, video highlight reels, and multi-platform advertising to attract quality tenants.
2. Screen Tenants Thoroughly
Verify credit, income, background checks, and rental history to reduce turnover and risk.
3. Offer Irresistible Incentives
Move-in specials, flexible leases, loyalty perks, and gift cards for home improvement.
4. Leverage Smart Leasing Technology
Online apps, tenant portals, e-signatures & virtual tours streamline the tenant experience.
5. Prioritize Tenant Experience
Responsive maintenance, community events, and clear communication boost renewals & retention.
6. Attract & Keep the Best
Quality tenants and low turnover equate to stronger and more stable returns.
Multifamily leasing success hinges on more than just filling units. It’s about creating a seamless experience for prospects, a positive environment for residents, and a sustainable cash flow for owners.
At Excel Commercial Realty, we specialize in helping owners maximize income and property value. Let’s discuss how we can help you achieve your goals, contact us today!
Visit our Blog for More Tips & Best Practices
Check Out Our New Listing!
We’re excited to announce the sale of 1223 Wilder Avenue, Honolulu, HI. 96822, a 6-unit multifamily property consisting of a 5-unit apartment building and a 4bd/2ba House, listed at $2.8M – Click here to preview the property’s website!
We truly value your referrals. If you know someone that is considering buying or selling a multifamily property, please connect us, we’d be honored to help.
Multifamily in the News
City Selects Partner to Redevelop Waikiki Property as Affordable Housing
Honolulu’s Bill 7 Housing Fast Track Promise Falls Flat
From Apartments to Active Streets – A New Vision for Housing in Honolulu
Building Sale Could Force Honolulu Renters to Look for New Home
View Our Active Listings
1125 Hassinger Street
1223 Wilder Avenue
Networking Events
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If you're interested in discussing your strategy to maximize your asset's value, let's find a time to connect! | 
