Hawaii Military Retirement: Best Cities, Housing Costs & Island Living Reality 2025

Hawaii offers veterans year-round perfect weather, unmatched natural beauty, complete military retirement income tax exemption, and full property tax exemption for 100% disabled veterans. But Hawaii also delivers the highest cost of living in the United States - median home prices exceed $1 million on Oahu, groceries cost 50% more than the mainland, and even "affordable" areas in Hawaii cost more than expensive cities on the mainland.

Choosing where to live in Hawaii matters enormously. Oahu offers jobs, VA healthcare, and services but brutal housing costs. The Big Island is more "affordable" (still expensive) with limited employment. Maui is stunningly beautiful and catastrophically expensive. Kauai is remote, rainy, and isolated from everything.

This guide ranks Hawaii's best areas for veterans with brutal honesty about housing costs, employment reality, and who can actually afford to live here.

Bottom Line Up Front

Best overall for veterans: Honolulu/Oahu (jobs, VA medical center, services, but expensive) Best for military connection: Central Oahu near bases (Mililani, Aiea, Pearl City) Most "affordable": Hilo, Big Island (still expensive, but cheapest major town in Hawaii) Best for outdoor lifestyle: Kona, Big Island or North Shore Oahu (if you can afford it) Most beautiful: Maui or Kauai (but prepare to be broke)

Median home price range: $700,000 (Hilo) to $1,200,000 (Oahu single-family) Cost of living: 77-90% above national average across all areas Reality check: Unless you're earning $100K+ household income, have 100% VA disability, or own a home outright, you'll struggle financially in ANY Hawaii location.

The Island Decision: Oahu vs. Neighbor Islands

Before diving into specific cities, understand the fundamental tradeoff:

Oahu (Honolulu County)

Population: 1,000,000 (70% of Hawaii's population) Veteran population: 60,000+ (majority of Hawaii's 89,000 veterans)

Pros:

• VA medical center (only one in Hawaii)
• Most jobs (JBPHH, Schofield, MCBH, civilian employers)
• Urban services and amenities
• Multiple military bases
• Most veteran community
• University of Hawaii Mānoa (flagship)

Cons:

• Most expensive housing ($1.2M median single-family home)
• Traffic congestion (real, not Hawaii-style joke)
• Crowded beaches and trails
• Urban density (Honolulu is a real city)

Neighbor Islands (Maui, Big Island, Kauai)

Population: 430,000 combined Veteran population: ~25,000-30,000 combined

Pros:

• More "authentic" Hawaii (less urbanized)
• Slower pace of life
• Less traffic
• More space
• Big Island has "affordable" options (relatively)

Cons:

• Must fly to Oahu for complex VA care ($200-$400 round-trip)
• Very limited employment outside tourism
• Geographic isolation from mainland (and Oahu)
• Higher shipping costs for goods
• Smaller veteran community

The fundamental question: Do you need regular VA care? Do you need employment? If yes to either, choose Oahu. If you're retired, 100% disabled, or work remotely, neighbor islands become viable.

Top Cities/Areas for Veterans in Hawaii

1. Honolulu/Urban Oahu - "The Gathering Place"

Overall Grade: A-

Why it ranks #1: Honolulu offers the best combination of veteran services, employment, VA healthcare, and urban amenities - but at catastrophic housing costs.

Veteran Population

• Oahu veteran population: 60,000+ (67% of state total)
• Military bases: Joint Base Pearl Harbor-Hickam, Schofield Barracks, Marine Corps Base Hawaii Kaneohe, Fort Shafter
• Veteran percentage: ~8-10% of adult population

This is Hawaii's largest veteran community by enormous margin.

Housing Market

Urban Honolulu (including Waikiki, Ala Moana, Makiki, Manoa):

• Median condo price: $496,500 - $536,000
• Median single-family home: $1,000,000 - $1,200,000 (if you can find one)
• Property tax rate: $3.50 per $1,000 (residential)
• Property tax with 100% disabled exemption: $300/year (regardless of value)
• Property tax without exemption (on $1M home): ~$3,780/year

Rental market:

• Studio apartment: $1,400 - $2,000/month
• 1BR apartment: $1,800 - $2,500/month
• 2BR apartment: $2,200 - $3,200/month
• 3BR house: $3,500 - $5,500+/month

Neighborhoods:

Downtown/Kakaako: Urban high-rise living, walkable, restaurants, nightlife

• Condos: $500,000 - $1,000,000+
• Rent (1BR): $2,200 - $3,500/month
• For: Young singles, high earners
• Against: Expensive, urban density, homeless population downtown

Manoa Valley: Near University of Hawaii, residential, green, rainy

• Homes: $1,000,000 - $2,000,000+
• Quiet, family-friendly, close to UH
• For: Families, UH students/staff
• Against: Expensive, very rainy

Kaimuki/Kahala: Residential neighborhoods, good restaurants

• Homes: $1,000,000 - $3,000,000+ (Kahala is ultra-wealthy)
• Mix of local culture and upscale living
• For: Established families with money
• Against: Very expensive

Makiki/Tantalus: Hillside homes, cooler, views

• Homes: $800,000 - $1,500,000+
• Older homes, character, trees
• For: Those who want cooler weather (still 75°F)
• Against: Narrow roads, older infrastructure

Cost of Living

• Overall index: 184 (84% above national average)
• Housing: Catastrophic
• Groceries: 150-156 (50-56% above average)
• Utilities: 204 (104% above average)
• Transportation: 140 (40% above average)

Real costs in Honolulu:

• Gallon of milk: $6.29 - $8.00
• Dozen eggs: $5.50 - $7.00
• Gallon of gas: $4.40 - $4.80
• Monthly electricity (1BR apartment): $150 - $200
• Internet: $70 - $100/month

Employment Opportunities

Joint Base Pearl Harbor-Hickam: Largest employer, 10,000+ civilian jobs Schofield Barracks: 5,000+ civilian positions Fort Shafter: U.S. Army Pacific headquarters Defense contractors: Booz Allen, Leidos, Lockheed, CACI State government: 60,000+ employees statewide, many in Honolulu Tourism/Hospitality: Waikiki hotels, restaurants (low-paying) Healthcare: Queens, Kaiser, Straub medical centers

Average salaries:

• Federal GS-9: $55,000 - $70,000 (+ locality pay)
• Federal GS-12: $80,000 - $100,000
• State government: $50,000 - $80,000
• Private sector (skilled): $60,000 - $100,000

VA Healthcare Access

• Spark M. Matsunaga VA Medical Center: 459 Patterson Road, Honolulu, HI 96819
• Phone: (808) 433-0600
• This is Hawaii's only VA medical center
• Honolulu Vet Center: (808) 973-8387

Best VA access in Hawaii - if you need regular VA medical care, Honolulu is essentially your only realistic option.

Quality of Life

Climate: Perfect year-round

• Winter: 70-75°F
• Summer: 80-85°F
• Year-round beach weather
• Trade winds keep it comfortable
• Waikiki/South Shore drier, Manoa/Windward wetter

Beaches:

• Waikiki (crowded but iconic)
• Ala Moana Beach Park
• Magic Island
• Short drive to North Shore, Windward beaches

Outdoor recreation:

• Diamond Head hike (touristy but beautiful)
• Manoa Falls
• Countless beaches
• Surfing, snorkeling, diving
• Year-round outdoor activities

Culture:

• Most diverse city in America
• Asian, Pacific Islander, Hawaiian, military blend
• Excellent food (Japanese, Korean, Filipino, Thai, Hawaiian)
• Museums, arts, entertainment
• Professional sports (University of Hawaii, minor league baseball)

Urban amenities:

• Major retailers (Ala Moana Center, Costco, Target, etc.)
• International airport (direct flights to mainland, Asia)
• Public transportation (TheBus, though limited)
• Hospitals and healthcare
• Everything you need available

Downsides:

• Traffic (H-1 freeway congestion rivals mainland cities)
• Crowds at popular beaches/hikes
• Homeless population in downtown areas
• Urban crime (property crime, car break-ins)
• Cost of everything

Pros:

• Largest veteran community in Hawaii
• Best job market in state
• VA medical center (only one)
• Urban services and amenities
• Year-round perfect weather
• International city with island vibe
• Direct flights to mainland
• Most military bases
• University of Hawaii flagship campus

Cons:

• Catastrophic housing costs ($1M+ for single-family home)
• Highest cost of living in USA (84% above average)
• Traffic congestion
• Crowded
• Property crime
• Expensive everything
• Condos require HOA fees ($400-$800+/month)

Bottom line: Honolulu is the default choice for Hawaii veterans who need VA care, jobs, or urban services. The costs are brutal, but employment opportunities and veteran infrastructure justify it. Choose Honolulu if you're working at military bases, need regular VA care, or want city amenities with island lifestyle.

Who can afford Honolulu?

• Federal employees ($80K+ with locality pay)
• Dual income households ($120K+ combined)
• 100% disabled veterans with paid-off condo
• Remote workers earning mainland/tech salaries
• Military retirees with working spouse

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2. Central Oahu (Mililani, Pearl City, Aiea, Ewa Beach) - "Military Town USA"

Overall Grade: B+

Why it ranks #2: Suburban living with military base proximity, slightly lower housing costs than Honolulu, strong veteran community - still very expensive but more family-friendly.

Veteran Population

• Central Oahu veterans: 15,000-20,000
• Proximity to bases: 10-30 minutes from JBPHH, Schofield, Fort Shafter
• Very high veteran percentage: Military culture dominates

Housing Market

Mililani (planned community, popular with military):

• Median home: $900,000 - $1,000,000
• Rent (3BR house): $2,800 - $3,800/month
• HOA fees: $200-$400/month (most homes)

Pearl City:

• Median home: $800,000 - $950,000
• Closer to Pearl Harbor, older homes
• More affordable than Mililani

Aiea:

• Median home: $800,000 - $900,000
• Near Pearl Harbor, hillside location
• Good schools

Ewa Beach/Kapolei (West Oahu):

• Median home: $800,000 - $1,000,000
• Newer development areas
• HOA communities common
• Growing rapidly

Property taxes: Same as Honolulu ($3.50 per $1,000)

Cost of Living

• Similar to Honolulu (80-85% above national average)
• Slightly cheaper groceries (Costco, Walmart nearby)
• Must drive everywhere (suburban sprawl)
• Gas: $4.40 - $4.80/gallon

Employment

Most residents work at:

• JBPHH (10-20 minute commute)
• Schofield Barracks (15-30 minutes)
• Honolulu (30-45 minutes via H-1 freeway)

Local employment: Limited to retail, schools, services

VA Healthcare Access

• Honolulu VA Medical Center: 20-30 minutes
• Close enough for regular appointments

Quality of Life

Climate: Hotter than Honolulu (less trade winds), sunnier Schools: Generally good (Mililani, Aiea known for schools) Beaches: 15-30 minutes to west side or Waikiki Traffic: H-1 freeway congestion to/from Honolulu

Pros:

• Family-friendly suburban communities
• Strong military/veteran culture
• Good schools
• Slightly cheaper than Honolulu
• Close to military bases
• Planned communities (Mililani) with parks, pools
• Easy freeway access

Cons:

• Still very expensive ($800K-$1M homes)
• Suburban sprawl (need car for everything)
• H-1 traffic to Honolulu
• HOA fees add $200-$400/month
• Hot (less ocean breeze than coast)
• Less character than older Honolulu neighborhoods

Bottom line: Central Oahu is the "military family" choice - suburban, safe, good schools, close to bases, strong veteran community. Choose here if you're working at military bases and want family-oriented suburban living. Still expensive but slightly more affordable than Honolulu proper.

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3. Windward Oahu (Kaneohe, Kailua) - "Tropical Paradise"

Overall Grade: B+

Why it ranks #3: Most beautiful area on Oahu with Marine base proximity, but extremely expensive and rainy.

Veteran Population

• Windward Oahu veterans: 8,000-10,000
• Marine Corps Base Hawaii Kaneohe: 10,000+ active duty, major veteran employer

Housing Market

Kaneohe:

• Median home: $900,000 - $1,100,000
• More affordable than Kailua
• Mix of older homes and newer developments
• Views of Koolau Mountains, Kaneohe Bay

Kailua:

• Median home: $1,200,000 - $1,400,000
• Most expensive area on Oahu for median homes
• Beach town atmosphere
• Extremely desirable (Kailua Beach, Lanikai Beach)

Rental market:

• Kaneohe (3BR house): $2,800 - $3,800/month
• Kailua (3BR house): $3,500 - $5,000+/month

Cost of Living

• Higher than Honolulu (limited shopping, must drive to Honolulu or Kaneohe)
• Groceries: Limited options, more expensive
• Gas: Same island-wide

Employment

Marine Corps Base Hawaii: Primary employer Windward Community College: Education/admin jobs Local jobs: Limited (healthcare, retail, tourism) Most residents: Commute to Honolulu (30-45 minutes via Pali or Likelike Highway)

VA Healthcare

• Honolulu VA: 25-35 minutes (via Pali or Likelike)
• Windward Community College hosts some veteran services

Quality of Life

Climate: Rainy (windward side of mountains)

• 100+ inches rain annually (Kaneohe)
• Lush, green, tropical
• Trade-off: Rain for beauty

Beaches:

• Kailua Beach (consistently ranked world's best beach)
• Lanikai Beach (iconic turquoise water)
• Kaneohe Bay (sandbar, snorkeling)

Lifestyle:

• Beach town vibe in Kailua
• Laid-back, outdoor-focused
• Small-town feel despite proximity to Honolulu
• Popular with military families (MCBH)

Pros:

• Most beautiful area on Oahu
• World-class beaches (Kailua, Lanikai)
• MCBH proximity for Marines/veterans
• Small-town feel
• Outdoor recreation paradise
• Good schools

Cons:

• Extremely expensive (Kailua $1.2-$1.4M median)
• Rainy (100+ inches annually)
• Limited shopping/services (drive to Honolulu or Kaneohe)
• Traffic through Pali/Likelike tunnels
• Tourist crowds at beaches (Kailua especially)

Bottom line: Windward Oahu is for Marines/veterans who fell in love with the area while stationed at MCBH and can afford it. Kailua is for wealthy retirees. Kaneohe is slightly more accessible. Choose here if you prioritize natural beauty, beach lifestyle, and military connection - and can afford $1M+ homes and rain.

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4. Hilo, Big Island - "Most Affordable Major Town"

Overall Grade: B

Why it ranks #4: Most affordable major town in Hawaii with VA clinic and University of Hawaii campus - but very rainy, limited jobs, and isolated.

Veteran Population

• East Hawaii veterans: 3,000-4,000
• Smaller community: But strong due to limited population

Housing Market

• Median home: $700,000 - $800,000 (cheapest major town in Hawaii)
• Condos: $300,000 - $500,000 (actually exist here, unlike Oahu)
• Rental market:
  • 2BR apartment: $1,500 - $2,000/month
  • 3BR house: $2,000 - $2,800/month

More affordable than Oahu - but still expensive by mainland standards.

Property tax: $11.10 per $1,000 (higher rate than Oahu, but lower home values offset this)

Cost of Living

• Overall: 75-80% above national average
• Lower than Oahu but still very expensive
• Groceries: More expensive than Oahu (smaller market, longer shipping)
• Utilities: Similar to Oahu

Savings vs. Oahu: ~$400-$600/month in housing, but $100-$200/month higher groceries/goods

Employment

Very limited:

• University of Hawaii at Hilo (main employer)
• County government (Hawaii County)
• Healthcare (Hilo Medical Center)
• Retail and services
• Tourism (limited)

No military bases: No federal civilian jobs

Realistic options:

• Retired
• Remote work
• Work at UH Hilo
• Healthcare

Unemployment: Higher than Oahu

VA Healthcare

• Hilo VA Clinic: 45 Mohouli Street, Hilo, HI 96720
• Phone: (808) 935-3781
• Services: Primary care, mental health, lab

For complex care: Must fly to Honolulu (45-minute flight, $150-$300 round-trip)

Quality of Life

Climate: Very rainy

• 130+ inches rain annually
• Cool for Hawaii (70-75°F typical)
• Overcast frequently
• Lush, tropical, waterfalls

If you have seasonal affective disorder, Hilo will destroy you.

Culture:

• Most "local" Hawaii (least touristy major town)
• Slower pace
• Old Hawaii feel
• Diverse (Hawaiian, Japanese, Filipino, Portuguese)
• University town (UH Hilo)

Outdoor recreation:

• Volcanoes National Park (45 minutes)
• Waterfalls everywhere
• Black sand beaches
• Snorkeling, diving
• Rainforest hikes

Services:

• Adequate (Walmart, Target, Safeway, Costco)
• Limited selection vs. Honolulu
• Hilo International Airport (limited flights)

Pros:

• Most affordable major town in Hawaii
• VA clinic locally
• University of Hawaii Hilo (GI Bill)
• Authentic Hawaii culture
• Volcanoes National Park proximity
• Slower pace of life
• Less touristy
• Natural beauty

Cons:

• Very rainy (130+ inches annually)
• Limited employment (no military bases)
• Must fly to Oahu for complex VA care
• Geographic isolation (2,500 miles from mainland, 200 miles from Honolulu)
• Overcast weather
• Older infrastructure
• Limited shopping/entertainment

Bottom line: Hilo is for retired veterans or remote workers who prioritize affordability (relatively), authentic Hawaii culture, and don't mind rain. Choose Hilo if you're retired/remote, 100% disabled with healthcare covered, and want the cheapest major town in Hawaii. Don't choose Hilo if you need employment or complex VA care.

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5. Kailua-Kona, Big Island - "Sunny Side Paradise"

Overall Grade: B-

Why it ranks #5: Sunny weather and retirement destination, but extremely expensive, very limited employment, and isolated.

Veteran Population

• West Hawaii veterans: 2,000-3,000
• Popular with retirees: High percentage of older veterans

Housing Market

• Median home: $850,000 - $1,100,000 (similar to Oahu but with less)
• Same house in Hilo: Half the price
• Kona "sunshine tax": Pay double Hilo prices for sunny weather

Rental market:

• 2BR condo: $2,200 - $3,000/month
• 3BR house: $3,000 - $4,500/month

Tourist rentals: Reduce long-term rental inventory (vacation rental market)

Cost of Living

• Overall: 85-90% above national average
• Higher than Hilo: Pay premium for sunshine
• Groceries: Very expensive (smaller market, tourist-driven prices)
• Gas: Most expensive in Hawaii ($4.80+/gallon)

Employment

Extremely limited:

• Tourism (hotels, restaurants, activities) - low-paying
• Retail - low-paying
• Real estate
• Healthcare (limited)

No major employers: No military, no university, no major government offices

Realistic for veterans:

• Retired only
• Remote work
• Tourism/hospitality (low wages)

Don't move to Kona if you need employment.

VA Healthcare

• Kailua-Kona VA Clinic: 73-5618 Maiau Street, Kailua-Kona, HI 96740
• Phone: (808) 329-0774
• Services: Primary care, mental health, lab

For complex care: Fly to Honolulu (45-minute flight)

Quality of Life

Climate: Sunny and dry

• 10-15 inches rain annually (opposite of Hilo)
• Warm year-round (80-85°F)
• Sunny 300+ days/year
• Perfect beach weather

Beaches:

• Excellent snorkeling and diving
• Kealakekua Bay (dolphins)
• White sand beaches
• Lava rock coastline

Culture:

• Tourist-driven
• Retirement community
• Expensive restaurants and shops
• Cruise ships (100,000+ visitors annually)

Outdoor recreation:

• Snorkeling/diving (world-class)
• Fishing
• Coffee farms (Kona coffee region)
• Mauna Kea summit (skiing in winter!)

Services:

• Limited (Costco, Target, but smaller selection than Hilo)
• Tourist-focused businesses
• Kona International Airport (limited mainland flights)

Pros:

• Sunny, dry climate (300+ days sunshine)
• Beautiful beaches and snorkeling
• Retirement paradise
• Less rain than Hilo
• Slower pace
• Coffee farms and local culture

Cons:

• Very expensive (similar to Oahu prices, less services)
• Virtually no employment opportunities
• Tourist-driven economy (low wages)
• Limited VA services (clinic only)
• Geographic isolation
• Limited shopping/services
• Traffic (one highway through town)

Bottom line: Kona is for wealthy retirees or remote workers who prioritize sunshine and beaches over employment and affordability. Choose Kona if you're retired, 100% disabled, or work remotely, and can afford $1M homes. Don't choose Kona if you need employment or are on fixed income without substantial savings.

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6. Maui - "Valley Isle Paradise (For Millionaires)"

Overall Grade: C+

Why it ranks #6: Stunningly beautiful but catastrophically expensive with very limited veteran services.

Veteran Population

• Maui County veterans: ~5,500
• Smaller community: Limited military presence (no active bases)

Housing Market

• Median home: $1,100,000 - $1,500,000 (among most expensive in USA)
• Condos: $600,000 - $1,000,000+
• Rental market: $2,800 - $4,500+/month for 2BR

Maui is for the wealthy. If you're a military retiree without significant additional income, you can't afford Maui.

Cost of Living

• Overall: 90% above national average (highest in Hawaii after Kauai)
• Housing: Catastrophic
• Groceries: Extreme (small market, barged in)
• Everything: Expensive

Employment

Tourism-dominated:

• Hotels and resorts (Wailea, Kaanapali, Kapalua)
• Restaurants
• Activities/tours
• Most jobs: $15-$20/hour

Limited professional jobs: Healthcare, real estate, county government

Federal employment: None (no military bases)

VA Healthcare

• Maui VA Clinic: 203 Ho'ohana Street, Suite 303, Kahului, HI 96732
• Phone: (808) 871-2454
• Services: Primary care, mental health, lab

For complex care: Fly to Honolulu (30-minute flight)

Quality of Life

Climate: Perfect

• Warm, sunny, trade winds
• Different microclimates (Kihei dry, Hana rainy)
• Year-round paradise

Beaches:

• World-famous (Kaanapali, Wailea, Makena)
• Snorkeling, surfing, diving
• Haleakala National Park

Pros:

• Stunningly beautiful
• World-class beaches
• Perfect weather
• Outdoor recreation paradise
• Smaller island feel

Cons:

• Catastrophically expensive ($1.1-$1.5M median home)
• Very limited employment (tourism only)
• No military bases
• Small veteran community
• Limited VA services
• Must fly to Oahu for complex care
• Recovery from 2023 wildfires (Lahaina)

Bottom line: Maui is for wealthy retirees. Don't move to Maui unless you have $1.5M+ home budget or substantial retirement savings. The beauty is unmatched, but the cost is prohibitive for typical military retirees.

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7. Kauai - "Garden Isle (Most Isolated)"

Overall Grade: C

Why it ranks #7: Beautiful but most isolated, expensive, rainy, and very limited veteran services.

Veteran Population

• Kauai veterans: ~2,500-3,000 (smallest)

Housing Market

• Median home: $900,000 - $1,300,000
• Limited inventory: Small island, limited development

Cost of Living

• Overall: 85-90% above national average
• Most isolated: Highest shipping costs
• Limited competition: Fewer stores, higher prices

Employment

Tourism only: Hotels, restaurants, activities No military: No bases, no federal employment County government: Limited positions

VA Healthcare

• Lihue VA Clinic: 4485 Pahe'e Street, Suite 150, Lihue, HI 96766
• Phone: (808) 246-0497

For complex care: Fly to Honolulu (25-minute flight, least frequent flights)

Quality of Life

Climate: Very rainy (except south shore)

• Lush, green, tropical
• Wettest spot on earth (Mt. Waialeale)

Pros:

• Stunningly beautiful
• Most rural, authentic Hawaii
• Napali Coast, Waimea Canyon
• Small-town community

Cons:

• Most isolated island
• Very limited services
• Expensive
• Very limited employment
• Smallest veteran community
• Limited flights to Honolulu/mainland

Bottom line: Kauai is for retirees who prioritize beauty and isolation over practicality. Most isolated major Hawaiian island - choose only if you're retired, wealthy, and want small-town Hawaii.

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Housing Cost Comparison Summary

Location	Median Home	Rent (2BR)	Property Tax (no exemption)	Best For
Honolulu	$1.2M	$2,500/mo	$3,780/yr	Jobs, VA care, services
Central Oahu	$900K	$2,800/mo	$3,150/yr	Military families, bases
Windward (Kailua)	$1.4M	$3,500/mo	$4,200/yr	Beach lifestyle, wealthy
Windward (Kaneohe)	$1.0M	$2,800/mo	$3,500/yr	MCBH, families
Hilo	$750K	$1,750/mo	$6,650/yr*	Affordability (relative)
Kona	$1.0M	$2,800/mo	$9,435/yr*	Sunshine, retirees
Maui	$1.3M	$3,200/mo	$6,050/yr**	Wealthy retirees
Kauai	$1.1M	$2,800/mo	$4,950/yr**	Isolation, beauty

*Big Island has higher property tax rate but lower home values **Estimates vary by specific location and county rates

100% disabled veterans: Property tax is $300/year regardless of location

Decision Matrix: Where Should You Live?

Choose Honolulu/Urban Oahu if:

• You need regular VA medical care
• You want maximum job opportunities
• You need urban services and amenities
• You want largest veteran community
• You can afford $1M+ homes or $2,500+/month rent
• You prioritize VA healthcare access above all

Choose Central Oahu if:

• You work at military bases (JBPHH, Schofield)
• You want family-friendly suburban living
• You want strong military/veteran community
• You can afford $800K-$1M homes
• You're willing to commute to Honolulu for services

Choose Windward Oahu if:

• You work at MCBH or can commute to Honolulu
• You prioritize natural beauty and beaches
• You can afford $1M+ homes (Kaneohe) or $1.4M+ (Kailua)
• You don't mind rain (100+ inches annually)
• You want small-town feel on Oahu

Choose Hilo if:

• You're retired or work remotely
• You want most "affordable" major Hawaii town
• You don't mind very rainy weather (130+ inches annually)
• You don't need complex VA care (or willing to fly to Oahu)
• You want authentic local Hawaii culture
• You can afford $700-800K homes

Choose Kona if:

• You're retired or work remotely with substantial income
• You prioritize sunshine and dry weather
• You can afford $1M+ homes
• You don't need employment
• You want retirement paradise
• You don't need complex VA care locally

Choose Maui if:

• You're wealthy (really wealthy)
• You're retired with substantial savings
• You can afford $1.1-$1.5M homes
• You don't need employment or VA services
• You want the most beautiful island

Choose Kauai if:

• You're retired and wealthy
• You prioritize isolation and rural beauty
• You can afford $900K-$1.3M homes
• You don't need services or employment
• You want the most isolated, authentic Hawaii

Who Can Actually Afford Hawaii?

Income Requirements by Household Type

Oahu (Honolulu/Central):

• Single veteran, renting: $80,000 - $100,000
• Single veteran, mortgage: $120,000 - $150,000
• Family of 4, renting: $120,000 - $150,000
• Family of 4, mortgage: $150,000 - $200,000+

Neighbor Islands (Hilo - most affordable):

• Single veteran, renting: $70,000 - $90,000
• Single veteran, mortgage: $100,000 - $130,000
• Family of 4, renting: $100,000 - $130,000
• Family of 4, mortgage: $130,000 - $180,000

Neighbor Islands (Kona, Maui, Kauai):

• Add 20-30% to Oahu numbers

Veteran Financial Profiles That Work

Profile 1: Federal Employee + 100% Disabled Veteran

• GS-12 salary: $85,000 + locality = $110,000
• 100% VA disability: $45,000
• Total: $155,000
• Property tax: $300/year (exemption)
• Can afford: Oahu with owned home or neighbor islands

Profile 2: Dual Income, Both Working Military Bases

• Veteran GS-9: $70,000
• Spouse GS-9: $70,000
• 70% VA disability: $18,000
• Total: $158,000
• Can afford: Central Oahu, possibly purchase home

Profile 3: Remote Tech Worker + Retired

• Military retirement: $35,000
• Remote tech job: $120,000
• 50% VA disability: $11,000
• Total: $166,000
• Can afford: Any location, flexible

Profile 4: E-7 Retiree + 100% Disability, Owned Home

• Military retirement: $30,000
• 100% VA disability: $45,000
• Total: $75,000
• Property tax: $300/year
• Home: Owned outright (no mortgage)
• Can afford: Oahu or neighbor islands if home paid off

Profile 5: O-5 Retiree + Working Spouse + Disability

• Military retirement: $55,000
• Spouse civilian job: $75,000
• 80% VA disability: $21,000
• Total: $151,000
• Can afford: Most locations

Veteran Financial Profiles That DON'T Work

Profile X: E-6 Retiree, Single, No Disability

• Military retirement: $25,000
• Cannot afford Hawaii without additional income

Profile X: E-8 Retiree, 60% Disability, No Additional Income

• Military retirement: $35,000
• 60% VA disability: $14,000
• Total: $49,000
• Cannot afford Hawaii unless home owned outright

Profile X: O-3 Retiree, Single, Working Tourism Job

• Military retirement: $30,000
• Tourism job: $35,000
• Total: $65,000
• Borderline - can afford Hilo with roommates, not Oahu

Key Takeaways

1. Oahu is the practical choice for most veterans needing VA care, jobs, or services

2. Every location in Hawaii is expensive - even "affordable" Hilo costs 75% more than national average

3. You need $100K+ household income minimum to live reasonably in Hawaii (more for families)

4. 100% disability exemption is game-changer - saves $3,000-$7,000+/year and makes Hawaii more viable

5. Neighbor islands require:

   • Retirement or remote work (limited local employment)
   • Willingness to fly to Oahu for complex VA care
   • Higher income than you think (isolation increases costs)

6. Housing costs dominate - even with tax exemptions, you must afford the mortgage/rent

7. Most military retirees cannot afford Hawaii on retirement income alone without substantial disability compensation, working spouse, or paid-off home

8. Choose Hawaii for lifestyle, not finances - paradise has a very high price

Final Recommendation

Visit Hawaii for 2-4 weeks before relocating. Rent an Airbnb, shop at local grocery stores, drive in traffic, experience daily life. The tourist experience is completely different from living here.

Rent for 1 year before buying. Hawaii real estate is expensive and illiquid. Make sure you can handle the costs, weather, and isolation before committing $1M+ to a home.

Run your personal budget ruthlessly. Don't assume you'll "figure it out" or "make it work." The math either works or it doesn't. Most veterans who move here without adequate income end up leaving within 2-3 years.

Consider alternatives. If you can't afford Hawaii, consider Guam (similar climate, lower costs, VA facility, military presence) or San Diego/Southern California (military presence, jobs, VA facilities, better affordability than Hawaii).

Hawaii is paradise, but paradise is expensive. Be honest about whether you can afford it before making the leap.

Additional Resources

• Hawaii Office of Veterans Services: (808) 433-0420 | dod.hawaii.gov/ovs
• Housing market data: Zillow.com/HI, Realtor.com
• Cost of living calculators: BestPlaces.net
• Federal jobs (USAJOBS): usajobs.gov
• VA facility locator: VA.gov/find-locations
• Hawaii tourism (visit first!): GoHawaii.com

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Information current as of January 2025. Housing prices fluctuate frequently - verify current market conditions before making decisions. Cost of living estimates based on multiple sources and may vary by specific lifestyle.