Key Investment Benefits

• Low crime incidence, quality of education and longevity of life, the state is consistently rated as one of the best US states to live.
• Hawaii has a progressive health care system, forefront of national research in astronomy, ocean and earth sciences.
• Year-round climate supports a variety of outdoor activities including hiking, golf, tennis, plus ocean sports. Surfing is a way of life in Hawaii. With magnificent rain forests, volcanic craters, national parks, waterfalls, pristine beaches - Hawaii is a popular tourist designation. It is even possible to ski and snowboard on the White Mountain.
• With property prices lower than previously it is a fantastic time to purchase in Hawaii.

The Hawaiian Islands consist of 8 major islands. The main islands of Hawaii are Oahu, Maui, Kauai, Hawai’i, Molokai and Lanai. The main islands land area is 6,425 square miles, with Hawai’i being the biggest, followed by Maui, Oahu, Kauai, Molokai, Lanai, Niihau and the uninhabited Kahoolawe.

Hawaii is an entire continent in itself - from desert-like plains to lush rainforest, from snow-capped Mauna Kea volcano to the pasture lands of Waimea. Its western coast enjoys beautiful sunny weather, while the Hilo side is a tropical greenhouse with towns, waterfalls and valleys.

The Island of Hawai’i was formed by five large volcanoes, the highest of which is Mauna Kea (13,796 feet above sea level), followed by Mauna Loa (13,677 feet above sea level), Hualalai at 8,271 feet, Kohala at 5,480 and Kilauea at 4,093. Kilauea Volcano (the world’s most active) is constantly adding acres of lava to the youngest island in the Hawaiian chain. Its size has earned it the nickname the ‘Big Island’. Approximately 137,000 people live on the 4,038-square-mile island of Hawai’i. The most heavily populated areas are Hilo on the East Side and Kona on the West Side. Hilo is the island’s seat of government, gateway to the Hawaii Volcanoes National Park and home to the University of Hawaii.

Between the two sides of the island are acres of ranch and farmland. The ranching tradition goes back more than 150 years on the Big Island, with the inception of Parker Ranch the largest privately owned ranch in the United States.

Any description of the Big Island would be remiss if it did not include the word diversity. Out of the 12 climates of the world, the Big Island boasts 10 - from the frigid top of Mauna Kea mountain to the arid Ka`u dessert and nine other climactic zones in between. Lush tropical rain forests give way to sweeping vistas of ranch land and stretches of shoreline highlighted by white sand beaches. Hawaii does not observe daylight saving time. Hawaiian Standard Time is in effect year-round.

The island’s industry is as diversified as the climate, including exotic crops such as macadamia nuts, Kona coffee, avocado, papaya, bananas and ginger root. Truck farming, cattle ranching, poultry and egg farms, honey and dairy operations round out the island’s agricultural offerings.

A steadily growing high tech industry offers wind farms, geothermal and ocean thermal energy, aquaculture, and hydroponics. The top of Mauna Kea is accepted as the world’s best site for astronomical observations. The telescopes, in full operation, are allowing observation by optical, infrared, and millimetre/sub millimetre wavelengths.

Known as the "Melting Pot of the Pacific," many people of different races and cultural backgrounds call the Big Island home. No single race prevails and the mixed ethnic portion of the population is always growing. This ethnic variety is a source of pride for the people of Hawaii.

It is this diversity of backgrounds and cultures that make Hawaii so special. Generosity, friendliness, and compassion, the love for music, dance and celebrations all play an integral part in the life of an islander. In the island's climate, tension is abated, rushing is obsolete, and thus the expression of doing things "Hawaiian Style" is created. Flowers and leis are given to friends or relatives upon arrivals or departures on trips or for other special occasions - birthdays, weddings, births, promotions, anniversaries, graduations, or anything that moves the spirit. Bringing small gifts or offerings are common gestures when visiting another's home. All of these are reflections of Hawaii's "Spirit of Aloha."

As the different races settled in Hawaii they looked for a way to communicate with each other and what emerged was a unique language known as "Pidgin English”. Pidgin combines words from many and the tone in which Pidgin is spoken often has as much to do with its meaning as the words. There are also words that are pure slang and used for emphasis, but overall, most of it consists of shortcuts or saying more with fewer words.

Weather
Hurricanes and tropical storms pass by the Hawaiian Islands during the typical hurricane season, which is from June 1st to November 30. Some pass at varying distances. Some strike one or more islands.

Government
Hawaii is run no differently than the other 49 states with a senate, house of representatives and city/county councils. There are four county seats: Oahu, Kauai, Maui and Hawaii counties. The federal government has a strong presence in Hawaii, largely because of the military and the land it controls. The Hawaiian islands are the only major land mass for thousands of miles in either direction, so it's likely to remain of national strategic importance.

Cost of Living
The cost of living is considered high in comparison to the other states. But, there are redeeming features to living in Hawaii. Because of the pleasant year-round climate, there is no need to purchase additional winter clothing. In some ways, living in Hawaii can cost you less than living on the mainland.

Taxation
Each county establishes, assesses, and collects its property taxes. Except for licenses, permits and fees, other tax collections are the responsibility of the State, which operates a centralized tax system. There is a 4% Gross Excise Tax on goods and services. Hawaii has a state income tax; however, there are no personal or inventory taxes.

Hawaii Homes
Hawaii homes are generally smaller than homes on the continental U.S. and are designed for a different style of living. Because of the limited amount of land, residential lots average about 6,000 square feet. Outdoor-living is a predominant feature of many Hawaiian homes, with lanais, patios, and informal areas for eating and entertaining.

With Hawaii's climate there is no need for heating or air-conditioning, though you come across homes with fireplaces at higher elevations. You can find properties with features similar to mainland homes, but prices will be higher.

Real Property Taxes
Real Property taxes in Hawaii are relatively low compared to most mainland standards. Property is currently assessed at 100% of its fair market value, with adjustments for homeowner tax exemptions. Taxes are computed by multiplying the assessed valuation, less exemptions, by the applicable tax rate. Tax rates vary depending on the type of property involved. Personal property, e.g. cars or boats is not subject to property tax.

Airports
There are two state-run commercial airports on the Big Island, as well as one military airport at Pohakuloa. There are also a few small, semi-private ones. Hilo International Airport is located in East Hawaii and Kona International Airport serves West Hawaii. Kona earned its international status in 1995 when the first direct flight from Canada landed in Kona. There are now direct flights from Japan and it is expected there will soon be flights from Korea too.

Like most people in the state, Big Island residents frequently catch local commuter airlines to get from island to island. There are two major interisland carriers that serve the state: Aloha Airlines and Hawaiian Airlines.

Condominiums
Condominiums are a popular form of real estate ownership in Hawaii. Each buyer acquires an individual ownership interest in a separate apartment unit, a share of ownership in the common facilities, and participates in an Association of Apartment Owners Meeting. An owner can obtain separate financing for his own unit, and shares in the operating cost of the building(s) through the payment of a monthly maintenance fee.

Sizes and floor plans vary greatly, but the _typical_ one-bedroom condominium is about 600 to 900 square feet, two-bedrooms about 800 to 1,200 square feet and three-bedroom about 900 to 1,500 square feet.

Townhomes
Townhouse projects may be operated as condominium units or in a similar manner under other forms of legal organization, such as Planned Unit Developments. Owners become members of an Owner’s Association and share the operating expenses of the project through the payment of monthly fees.

Financing
Financing the purchase of real estate in Hawaii is accomplished much the same way as in other states. Loans are available from a variety of sources, including Banks, Saving and Loans, Mortgage Companies and other financial institutions. In addition to principal and interest charges, most lenders will require the borrower to make payments for property taxes, insurance and lease rent (where applicable) on a monthly basis.

THE UNITED STATES TODAY
Country Facts
Area: The total area is over 9.8 million sq km
Population: (October 2009 est.) is 306 million
Capital City: Washington, District of Columbia
People: The United States is a multicultural country with people from all over the world who have now made the USA their home. The Ethnic Groups are: White 81.7%, Black 12.9%, Asian 4.2% Amerindian and Alaska native 1.0%, Native Hawaiian and Other 0.2%.
Language: The main language is English although Spanish is spoken by a sizeable minority.
Religion(s): Protestant 52%, Roman Catholic 24%, Mormon 2%, Jewish 1%, Muslim 1%, Others 10%, no religious affiliation 10%
Currency: Dollar: 1 US Dollar is made up of 100 cents.
Major Political Parties: There are two main political parties: the Democratic Party and the Republican Party, both organised at State and Federal level.
Government: Constitution-based Federal Republic with a strong democratic tradition.
Head of State: President Barack Obama (January 2009); Vice President Joe Biden (January 2009).
Foreign Minister: Hillary Rodham Clinton (January 2009).
Membership of international groups/organisations: UN, NATO, NAFTA.
 

Basic Economic Facts
GDP: Purchasing power parity - $14,334 trillion (2008)
GDP per head: Purchasing power parity - $47,025 trillion (2008)
Annual GDP Growth: -0.5% (3rd quarter 2008)
Inflation: -1.9% (November 2008)
Labour force: 154.5 million (includes unemployed May 2008)
Unemployment: 7.2% (December 2008)
Budget: Revenues $2.523 trillion (2008), expenditures $3.150 trillion, including capital expenditure
Major Industries: Leading industrial power in the world, highly diversified and technologically advanced; petroleum, steel, motor vehicles, aerospace, telecommunications, chemicals, electronics, food processing, consumer goods, lumber, mining, defence
Major Trading Partners: The US is a global trader with global markets. Its main trading partners are Canada, Mexico, China, Japan, UK and Germany.
Exports: $1.149 trillion (2007 est)
Exports - commodities: capital goods, automobiles, industrial supplies and raw materials, consumer goods, agricultural products
Imports: $1.985 trillion (2007 est)
Imports - commodities: crude oil and refined petroleum products, machinery, automobiles, consumer goods, industrial raw materials, food and beverages
Debt - national: $10,554 trillion (December 2008)
Exchange rate: £1 = approx US Dollar 1.47 (April 2009)
 

Current Economic Situation
The global economic downturn, the sub-prime mortgage crisis, investment bank failures, falling home prices, and tight credit pushed the United States into a recession by mid-2008. To help stabilize financial markets, the US Congress established a $700 billion Troubled Asset Relief Program (TARP) in October 2008. The government used some of these funds to purchase equity in US banks and other industrial corporations. The US Congress has also passed the American Recovery and Reinvestment Act. President Obama signed the Act into law on 17 February 2009. The economic stimulus contained in the Act totals an historic $787bn, or around 5.5% of GDP. Through one-third in tax cuts and two-thirds in increased spending, it is designed to provide support to the economy over several years, to help ease what economists expect to be one of the longest and deepest recessions in the post-war period. Most forecasters expect the package to add around one percentage point to growth in 2009 and 2010. But it will also push the budget deficit over 9.5% in 2009 and 8% in 2010.

Source: www.fco.gov.uk