Ala Moana Beach Park came alive with the powerful and emotional annual Shinnyo Lantern Floating Festival. Thousands of residents and visitors participated in the deeply moving ceremony, honoring loved ones and sharing hopes for peace as thousands of personalized paper lanterns were released onto the tranquil waters at sunset.

The 27th annual event blended Hawaiian and Buddhist traditions, featuring resonant taiko drumming, a traditional oli, graceful hula, and blessings. Participants inscribed heartfelt messages on lanterns, creating a breathtaking display of floating lights as they drifted towards the horizon.

The Shinnyo Lantern Floating Hawaii has become a cherished Memorial Day tradition, offering a unique space for reflection, remembrance, and community connection.

In a move hailed as a national first, Hawaii’s Governor Josh Green signed legislation on Tuesday implementing a new tax on hotel rooms and vacation rentals. The additional levy aims to generate funds specifically dedicated to addressing the growing challenges posed by climate change, including shoreline erosion and the increased risk of wildfires.

The signing comes nearly two years after the devastating wildfire in Maui that claimed 102 lives and decimated the town of Lahaina, underscoring the urgent need for proactive measures to mitigate climate-related disasters.

Officials project that the 0.75% increase to the existing transient accommodations tax (TAT) will generate approximately $100 million annually. These funds will be strategically allocated to crucial projects across the state. This includes replenishing the iconic beaches of Waikiki, bolstering infrastructure through measures like hurricane clips for roof reinforcement, and actively managing flammable invasive grasses that contributed to the rapid spread of the Lahaina fire.

Speaking at the bill signing ceremony, Governor Green emphasized the necessity of these actions for the state’s future. He highlighted the creation of a new state fire marshal position, expected to be filled within the next two months, as a direct response to the lessons learned from the Maui tragedy. Furthermore, Governor Green suggested that other states and nations facing similar climate-related threats will need to adopt comparable strategies.

The new tax, effective January 1st, will add a modest 0.75% to the daily room rate. Governor Green illustrated this by noting that a $400 hotel room would see an additional cost of approximately $3 per night.

Hawaii already has a significant tax on short-term accommodations. The current state TAT of 10.25% will rise to 11% with this new legislation. Combined with other state and county taxes, visitors to the islands will face a total levy of nearly 19% on their accommodations, positioning Hawaii with one of the highest such tax rates in the United States.

This landmark legislation signifies Hawaii’s commitment to proactively addressing the impacts of climate change and investing in the long-term resilience of the islands and its communities. The funds generated will be vital in safeguarding Hawaii’s natural beauty and ensuring the safety and well-being of its residents.

The Oʻahu real estate market experienced a slowdown in April as sales activity softened amidst an increase in available listings and active inventory. According to data released by the Honolulu Board of REALTORS®, both single-family home and condominium sales declined year-over-year.

Single-family home sales saw an 8.0% decrease, with 241 closed sales in April. Condo transactions also dropped by 8.4%, totaling 395 sales. Year-to-date figures show a continued decline from 2024 levels, with single-family home sales down 5.3% and condo sales down 2.3%.


Key Market Statistics (April 2025 vs. April 2024):

Single-Family Home Resales

	Number of Sales	Median Sales Price
April 2025	241   -8.0%	$1,170,000   +6.4%
April 2024	262	$1,100,000

Condominium Resales

	Number of Sales	Median Sales Price
April 2025	395   -8.4%	$505,000   -4.4%
April 2024	431	$528,000

Source: HiCentral

The median sales price for single-family homes rose 6.4% year-over-year to $1,170,000, also showing a 0.9% increase from March. Conversely, the median price for condos dipped 4.4% year-over-year to $505,000, though it saw a 1.0% month-over-month uptick. Properties are also spending more time on the market; the median days on market for single-family homes increased to 29 days (from 17 a year ago), and for condos, it rose to 43 days (from 29).

Sales declines were observed across most price points in the single-family market, with the $700,000 to $999,999 range experiencing the most significant drop (28.1%). For condos, the largest decrease was in the $400,000 to $499,999 range (33.3% down), while the $200,000 to $399,999 condo range saw an increase of 31.0%.

Affordability remains a key concern for many condo buyers, influenced by financing costs and rising monthly maintenance fees. The 30-year fixed-rate mortgage averaged 6.76% as of May 1, with the first-quarter average at 6.83%, according to Freddie Mac.

Buyers benefited from an expanding selection of listings in April. New single-family home listings increased by 4.9% year-over-year to 366. New condo listings rose significantly by 29.7% year-over-year to 851 units, with nearly 60% of these priced at $599,999 and below.

Active inventory also grew across both markets. The month ended with 805 single-family homes available for sale (up 30.3% from April 2024) and 2,512 condos (up 59.4%).

A notable shift in market dynamics is the decrease in properties closing above the original asking price. For single-family homes, 27% closed above asking, down from 33% in April 2024. In the condo market, only 9% of transactions sold above the original asking price, a decrease from 15% a year ago.