One broker makes it his mission to help buyers overcome affordability challenges
While potential homebuyers face the affordability challenges caused by high mortgage rates, both current and future homeowners are also struggling with rising home insurance costs.
Those costs are climbing nationwide but in areas where severe weather and natural disasters are a more common threat, they're skyrocketing.
Steve Marks (pictured top), president and CEO of Ohana Mortgage Solutions, said Hawaii is one of those places where mortgage rates and insurance costs combine to squeeze homeowners.
“I think the affordability conversation, which is a national conversation, is especially true in Hawaii,” Marks told Mortgage Professional America. “In Hawaii, I believe that in this state, people spend on average the highest percentage of their income on housing already. Whether it's rent or mortgage, people are spending more on housing than anywhere else in the country.”
Because affordability is challenging in states like Hawaii and large metropolitan cities in the lower 48 states, Marks said many people are unable to afford a home throughout their lives.
“It's really difficult for first-time homebuyers to crack into home ownership,” Marks said. “There's a reality, if you're renting, it's very easy to get stuck renting your entire life here. My mission as a mortgage broker largely stems from how I can help as many people as possible who are renting transition into home ownership.”
Inventory and insurance
Hawaii is the fourth smallest state in terms of land area and the 11th-least populous. However, it is the 13th most densely populated state in the union. Even as other parts of the country see housing inventory increase, it is much more limited in Hawaii.
“There is new housing that's going up in certain places, in more far-flung areas, you're getting housing developments,” Marks said. “I'm on the west side of Oahu, so away from Honolulu, and there is more housing on this side of the island getting developed. That said, it's the same affordability issue.”
Not only does the lack of inventory and more expensive construction costs affect affordability, but rising insurance costs also affect it. Due to the risks posed by hurricanes and other tropical systems, premiums continue to increase.
Marks said all areas in the US susceptible to hurricanes seem to be more under the gun lately.
“We’ve had several major hurricanes blow through in the last few years,” he said. “It seems like that's an increasing phenomenon. That's not just going away. It looks like climate change is creating more of these weather events. In Hawaii, we're having similar hurricane insurance issues.”
Like in Florida, Hawaii has seen these rising insurance costs affect condo markets and housing developments governed by HOAs.
“A lot of these insurance companies on condos are having to increase master policy premiums for hurricane insurance,” Marks said. “In some cases, they're doubling or tripling in premium cost. What happens then is that it goes to the HOAs, and the HOAs have to increase maintenance fees. If your condo hasn't had a major maintenance fee increase in the last year or two, it's coming.”
Dave Krueger, a mortgage broker at Montana Family Mortgage, describes the situation as "very difficult" for new buyers, with many being "pushed out of the market." https://t.co/c4xkwnCLUm
— Mortgage Professional America Magazine (@MPAMagazineUS) July 26, 2025
This rise in costs doesn’t just affect current condo owners or homeowners. Buyers must do their homework with real estate agents to determine if the property they’re interested in is about to have a major insurance premium increase.
“Buyers, as they're looking for condos, they're looking at $600 to $800 a month condo fees, and those are going up,” he said. “Sellers are selling because they know their condo fees are going to go up by $400 or $500, but it's not public news yet. But the owners all know. It’s like, ‘I better sell now, because the moment that goes up, it means my home value is going down.’
“So a lot of homes and a lot of condos that are on the market right now have this little ticking time bomb issue that buyers need to know about.”
Taking on Goliath
One of the reasons Marks has enjoyed his time as a member of the Association of Independent Mortgage Experts (AIME) was the feeling of brokers being the underdog in the mortgage industry.
“I remember this feeling, and it continues, maybe to a lesser extent now that it's gotten bigger,” he said. “There's always just this sense of, we're the little guys, and we're here to help each other, because we're up against some big monsters in our industry that often don't play it the right way. And how we band together to be, in a sense, the good guys.
“To be the ones who are able to be the consumer-friendly option and be the David that's taking on Goliath. I have always just appreciated that kind of mission of AIME. I feel like the spirit of that really does continue.”
He said the organization is a great way for brokers all over the country to feel connected in a common mission, whether they’re in a large city, the heart of the Midwest, or on an island of the country’s 50th state.
“There's a lot of folks within AIME that just give and give and aren't there to try to get, so I love that,” Marks said. “I love being connected to a larger movement when I'm a little business owner of this kind of small mortgage shop on the west side of Oahu. And I get to be a part of this larger movement. That's great. Ultimately, I think it’s great for consumers.”
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