The U.S. housing market remains difficult for many Americans, with inflation, stagnant mortgage rates, low inventory, and high prices making homeownership increasingly challenging.

In response, some states are embracing creative solutions to boost home construction and affordability. Hawaii is one such state, with an architectural firm pioneering an innovative, eco-friendly approach: constructing homes using surfboards.

David Sellers, principal architect at Maui-based Hawaii Off Grid and founder of Surf Block—a building material derived from surfboards—tells Realtor.com® that this material could help alleviate Hawaii’s severe housing crisis.

Hawaii’s Housing Crisis

Hawaii’s breathtaking scenery and rich culture come at a high cost—literally. The state has one of the priciest housing markets in the country.

According to Realtor.com data, the median home price in Hawaii is $679,000, far above the national average of $400,500. Some areas are even more expensive, such as Kilauea’s 96754 ZIP code, where median home prices hit $4.1 million in December 2024.

Additionally, Hawaii is the costliest state for home construction. Today’s Homeowner reports that building a typical 2,100-square-foot home costs around $431,364 ($205 per square foot), compared to the national average of $332,376 ($158 per square foot).

With these high costs, Hawaii has one of the highest homelessness rates in the U.S. The U.S. Department of Housing and Urban Development’s Annual Homeless Assessment Report found that homelessness in the state surged 187% from 2023 to 2024. Compounding the crisis, the devastating 2023 wildfires in Maui left more than 5,000 people in emergency shelters.

Sellers has witnessed these struggles firsthand.

“Recent climate events have further exacerbated housing issues,” he says, adding that the Lahaina wildfires destroyed over 2,200 structures—96% of them residential.

“This disaster not only displaced thousands but also intensified the existing housing shortage, leading to increased competition and higher prices for available homes,” he explains.

Furthermore, climate change continues to threaten Hawaiian communities. Rising sea levels and coastal erosion are endangering many properties, particularly in low-lying areas like Honolulu and Waikiki.

Hawaii’s Government Responds

To address the crisis, Gov. Josh Green issued an executive order aimed at accelerating the construction of 50,000 homes within three to five years.

“This order suspends several state and county laws related to land use, historic preservation, and environmental review, streamlining the development process," Sellers explains. "It also establishes a 22-person panel, the Build Beyond Barriers Working Group, to oversee housing projects."

Following the Maui wildfires, the Federal Emergency Management Agency (FEMA) extended housing assistance for survivors until February 2026, offering rental subsidies to displaced residents.

The Council for Native Hawaiian Advancement launched the Host Housing Support Program, which provides stipends to households that shelter fire survivors.

“During the initial phase of this pilot program, qualifying host households can receive financial support of $500 per person each month, depending on the size of the displaced family they are accommodating. Hosts may receive a monthly stipend of up to $2,000,” the program’s website states.

Hawaii Off Grid and other architects, through the American Institute of Architects, also provided free pre-approved building plans to those who lost their homes in the fires, according to Sellers.

Additionally, the government is tackling climate-related housing risks. The Department of Commerce and NOAA have recommended $68.5 million in funding to enhance coastal resilience.

“These combined efforts reflect a multifaceted approach by the Hawaiian government and associated organizations to mitigate the housing crisis and support communities affected by climate events,” says Sellers.

Building Homes With Surfboards

Amid these challenges, Hawaii Off Grid is proposing a novel construction method: using recycled surfboards as building material.

Surf Blocks are insulated composite concrete forms (ICCFs) made from repurposed polystyrene foam waste, a byproduct of surfboard manufacturing.

“These blocks are utilized to create lightweight, cast-in-place, steel-reinforced concrete walls,” according to the company’s website.

Sellers highlights several advantages of Surf Blocks:

• Fire Resistance
  “Walls constructed with 'EPScrete,' the material used in Surf Blocks, have a four-hour fire rating, compared to 15 minutes for comparable wood-framed walls,” Sellers notes.
• Termite Resistance
  Unlike traditional wood-framed structures, Surf Blocks are immune to termite damage, a significant issue in Hawaii’s tropical climate.
• Sustainability
  By diverting polystyrene waste from landfills and reducing reliance on conventional building materials, Surf Blocks contribute to environmentally friendly construction.
• Cost Efficiency
  Surf Blocks’ lightweight design can reduce labor and transportation costs, and their durability lowers long-term maintenance expenses.

“Additionally, their durability and resistance to common hazards may result in lower maintenance and repair expenses over the lifespan of the building,” Sellers explains.

A Sustainable Future for Hawaii

Hawaii continues to explore other sustainable solutions to address its housing crisis and combat climate change.

David Gilliland, a Hawaii-based contractor and founder of The Paulele Hale Association (TPHA), says the state is actively testing new building materials.

TPHA—named after the Hawaiian words “Paulele” (to have faith in) and “Hale” (house)—develops homes with advanced fire- and wind-resistant features.

“TPHA has developed and deployed systems where homeowners can spray a proprietary exterior coating on a new or existing home, making it wildfire resistant to over 1,200 degrees and with colors that last for over 25 years,” Gilliland explains.

He adds, “Wind-design features are affordably integrated into standardized designs, allowing the structure to be stable in 150 mph wind or a severe earthquake.”

As Hawaii grapples with both an ongoing housing crisis and increasing climate challenges, innovations like Surf Blocks and TPHA’s resilient housing solutions could play a crucial role in shaping the state’s future.

Originally reported by Yael Bizouati-Kennedy in Realtor News.