April 2026 Market Data
In April 2026, five multifamily properties (5+ units) traded in Hawaii, generating $11.32M in total sales volume. The median price per unit came in at $198K, with a median cap rate of 3.79%, the lowest recorded in recent quarters and a notable departure from the 5.42% median that defined Q1 2026 closing activity.
The compression in cap rates is the defining data point of the month. Rather than signaling a broad shift in market sentiment, the 3.79% median likely reflects the specific composition of April's transactions. Assets in premium locations or with unique characteristics that commanded tighter yields. Viewed in context, April's activity reinforces a bifurcated market: well-located, stabilized assets continue to trade at aggressive pricing, while the broader inventory sits at extended days on market waiting for sellers and buyers to find common ground.
With no closed transactions recorded in March, April's five trades represent the full picture of Q2 activity to date. Volume and transaction count remain measured, consistent with a market where capital is selectively deployed, and buyers are disciplined on basis.
Download Sales Comps Below
Inventory Snapshot
The active multifamily supply continues to grow. As of this report, 77 multifamily properties (5+ units) are available across the state, encompassing 961 units and $285.16M in total asking volume. There are a total of 17 deals currently pending. The median price per unit holds at $293K with a median cap rate of 4.41%.
At 242 average days on market, the bid-ask gap remains the defining friction point in the market.
To receive our Hawaii Multifamily Inventory Sheet, which compiles all active listings and off-market opportunities into one comprehensive document, contact us directly to be added to the distribution list.
Owner’s Corner: How to Reposition Below-Market Rents Without Losing Good Tenants
Below-market rents are one of the most common value drivers we encounter in Hawaii multifamily and one of the most mismanaged. Many owners avoid rent increases out of fear of losing long-term tenants, accepting below-market income indefinitely rather than risk vacancy. The result is a property that is underperforming on income and undervalued at exit.
Repositioning rents does not have to mean losing good tenants. It requires a deliberate, phased approach.
- Know your market rents. The gap between in-place and market rents is your upside, and your buyer's first underwriting assumption.
- Phase increases strategically. Implement measured increases at each lease renewal rather than a single large correction. Long-term tenants are far more receptive to gradual adjustments than sudden ones.
- Communicate the value. A conversation acknowledging a tenant's tenure, paired with a reasonable increase, lands very differently than a notice in the mail.
- Invest in the property. Visible improvements make rent increases easier to justify and easier for tenants to accept.
Below-market rents are not just an income problem, they are a valuation problem. Every dollar of NOI left on the table is multiplied at exit.
For more tips on how to maximize your property's cash flow & value, visit our blog at hawaiimultifamilyadvisor.com/blog.
Multifamily in the News
Makiki Banyan Affordable Housing Project Opens
Networking Events
CCIM Hawaii – GMM – Shopping Center Trends
CCIM Hawaii – Lunch & Learn – Bureau of Conveyances
CCIM Hawaii – Sunset Sail
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