What defines a Condotel in Hawaii?
What’s a condotel and how does it affect getting a mortgage to buy one in Hawaii, and especially on Maui?
Also known as Condo-Hotel or Condo-tel, it’s a residential condominium project that’s run like a hotel, with individually owned units and each unit has a full kitchen. Owners are able to rent out the units on a daily or short term basis.
On Maui there are many many such condotels, predominantly in the resort areas. The lending rules that apply are different from ordinary condos that don’t allow daily rentals. Your down payment requirement will likely be larger than you expect. This is an important point to remember, and the reason to work with a local lender!
Read more details from a mortgage professional:
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Got questions about the market? Buying or selling real estate on Maui? That’s what I do. Let me help YOU.
Georgie Hunter R(S) e-Pro, Hawai’i Life Real Estate Brokers
26 Baldwin Ave, Paia HI 96779
E-mail or call/text: 808 283-0635