Real Estate Agent Hiro from Maui.
I would like to introduce this Lease Hold property today.
What's Lease Hold?
Lease Hold means you are the beneficial owner of a property as long as your lease is active. The term of the lease can be different depending on the property. You can rent the property out, short term or long term, or you can enjoy living in the unit. After your lease expires, it's not going to be yours. Then, what happens?
There are possible cases:
1. You might have another 30 year lease.
2. You might be able to purchase it as fee simple property with a good price.
3. The land owner might take the property back.
This particular property has a monthly land rent of $432 and maintenance fee of $482.55. There are 23 years left on the lease.
I had never thought lease hold properties were attractive since there was a chance that the owner could take over after the lease expired. Furthermore, isn't it going to be harder to sell as with fewer lease years left on property?
However, once I visited the property in person, I discovered some positive points.
There is a 5 star ocean view and price is really attractive compared to other ocean front fee simple units. This is an ocean front & ocean view condo in Maui $199,000!!
It comes furnished so you can put this in rental market right away.
It is super close to a beautiful swimming pool and BBQ area. How about ocean view BBQ?
Excellent location as Kihei, Lahaina, Kahului are all within 20 minutes. Multiple choices of white sandy beaches. Many sea turtles live right off the shore. ( I saw at least 20 this day. I got so excited just like a tourist.)
Please ask me about Maui's Real Estate including Lease Hold properties.