HOA Dues Seem Expensive?

HOA Dues ~ What You’re Actually Paying For

First, you’re not only paying for landscaping and a community pool. HOA fees on the Big Island often include:

• Building insurance (and it’s not cheap in Hawaiʻi)

• Exterior maintenance (salt air is brutal)

• Water, sewer, trash

• Cable and internet (yes, really)

• Security, pest control, reserve contributions, and more

And no, the palm trees don’t trim themselves.

If you’re looking at resort-area condos—especially in Mauna Lani, Waikoloa Beach, or Mauna Kea—you’re also paying for amenities like gated entry, fitness centers, beach clubs, and top-tier maintenance. These aren’t your average walk-up buildings. You’re buying into a lifestyle, and that lifestyle comes with a monthly invoice.

What About Kona?

Condos in Kona are often older—many were built in the 1970s and ‘80s, and ’90s. That means they’re entering the “replace everything” era: roofs, plumbing, electrical, you name it. When reserve funds aren’t sufficient (and many aren’t), owners get hit with special assessments. Some buildings have been hit with large assessments per unit over the past few years.

Older buildings, higher risk, more maintenance = higher dues or surprise bills.

The Insurance Factor: Yikes

You might’ve heard the whispers (or the yells) about the insurance crisis in Hawaiʻi. It’s real. Over the last year or two, many HOAs saw their insurance premiums spike by 200–500%. Coastal, wood-frame, or older buildings are particularly vulnerable, and yes—that includes a lot of condos on the Big Island.

While a few rates are starting to settle, it’s far from over. Many associations have had to restructure coverage: layering different policies, increasing deductibles, or even requiring unit owners to carry their own interior insurance.

If you’re wondering why your dues suddenly jumped by a few hundred dollars—start with the insurance tab.

Are HOAs Making a Profit?

Nope. HOAs are nonprofit corporations.
They’re legally bound to collect enough to cover shared expenses and build reserves. If there’s leftover money at the end of the year, it doesn’t go into someone’s pocket—it typically goes:

• Into reserve funds for future repairs

• Toward lowering next year’s dues

• Or to pay for known upcoming expenses

So if you see a line item called “surplus,” don’t panic—it’s not a profit, it’s planning. And good planning prevents surprise assessments down the line.

The Bottom Line

HOA fees are high here because everything costs more here—materials, insurance, labor, maintenance. Add in salt air, sun, and isolation, and you’ve got a recipe for some serious upkeep.

When you’re comparing properties, don’t just look at the fee—look at what it covers, what condition the building is in, how strong the reserves are, and whether the amenities match your lifestyle.

And hey, when you can lock and go, your roof doesn’t leak, your landscaping’s lush, and someone else handles the termites? It starts to make a little more sense.