Condo Property Regime or CPR is one of the most common property types you will encounter when house hunting on Oahu. While we have covered the basics of CPR ownership previously, this guide dives deeper into what you need to evaluate before committing to a CPR purchase.

The due diligence process for a CPR property differs significantly from buying a standalone single-family home. When you identify a CPR property you are interested in, request and carefully review the condominium documents. These include the declaration, bylaws, house rules, financial statements, reserve study, and recent meeting minutes. These documents reveal the health and management quality of the association.

Pay close attention to the reserve study, which estimates the remaining useful life of major building components and projects future repair costs. A healthy reserve fund typically covers at least 70 percent of the projected costs. If the fund is significantly lower, expect the possibility of special assessments in the future.

Insurance is another critical factor in CPR purchases. The association maintains a master insurance policy that covers the building structure and common areas. However, you will need your own HO-6 policy to cover the interior of your unit, personal belongings, and liability. Understand where the association's coverage ends and yours begins, as this varies by building.

Lender requirements for CPR properties can be more stringent than for single-family homes. Many lenders require that the project be on an approved list, have a minimum owner-occupancy ratio, and maintain adequate insurance and reserves. Working with a local lender who understands Hawaii CPR requirements can prevent financing surprises.

Consider the management company and board of directors as well. A well-run association with professional management protects your investment. Look for responsive management, regular maintenance, and a board that communicates effectively with owners.

Kristy and Austin Home Group has helped hundreds of buyers navigate CPR purchases on Oahu. We know which CPR communities offer the best value, strongest management, and greatest potential for appreciation. Contact us to start your CPR property search today.