Tax savings Oʻahu homeowners miss

Owning a home here can save you money at tax time. But a lot of people miss some of it.

Here are the big ones, in plain words.

First, a quick note on itemizing

Most of these only help if you itemize. That means you list your deductions instead of taking the standard one.

Your CPA can tell you which way works better for you.

Mortgage interest

You can deduct the interest you pay on up to $750,000 of home loan debt.

State and local taxes (SALT)

This includes your property tax. For 2026, the most you can deduct is $40,400.

That cap shrinks if your income is above about $500,000.

Mortgage insurance

Mortgage insurance premiums are deductible again, starting in 2026.

Energy credits: what changed

The federal home energy credits (25C and 25D) ended after December 31, 2025. So do not count on them for new projects.

Hawaiʻi still has its own solar credit. It is 35 percent of the system cost, up to $5,000 per system.

Honolulu's home exemption

If you live in your home, this takes $120,000 off your assessed value. If you are 65 or older, it is $160,000.

Those amounts rise to $140,000 and $180,000 on July 1, 2027.

It is not automatic. You have to file for it, and the deadline is September 30.