Things are expensive enough these days. They are even more expensive in Hawaii. This includes the price of real estate and buying a home. As a result of Hawaii being an expensive state to live in, let alone purchase a home in, the Hawaii Housing Finance and Development Corporation has developed programs to assist Hawaiian first time home buyer residents with home buyer mortgage programs and down payment assistance. Prospective home buyers must apply and qualify for a mortgage through a participating lender.
Does The State Of Hawaii Have Loan Programs For First Time Homebuyers?
Whether you live on Maui, Hawaii, Oahu or Kauai, the Hawaii Housing Finance and Development Corporation (HHFDC) has special first time home buyer programs to assist Hawaiian residents achieve the American Dream of Owning a home. The Hula Mae Program is a cutting edge mortgage loan that was created by the Hawaii State Legislature in 1979 for families of moderate to low incomes.
The Hula Mae Program offers eligible home buyers with mortgage loans that have interest rates below the street rate mortgage rates. This allows buyers to qualify for more house or just to even qualify at all. This special financing is for owner occupied property. No second home or investor financing is offered though the HHFDC's programs.
How Does The Hula Mae Program Work?
The Hawaii Housing Finance and Development Corporation has the job to oversee the Hula Mae home buyer mortgage program. The HHFDC works along side private lending companies that have aligned on offering the program to the public. Participating banks and lenders will review your loan application to determine if you are eligible for the program or not. Once your loan application is review and approved, it will be sent to HHFDC.
What Types Of Property Can You Buy With The Hula Mae Loan?
The first criteria for the property is that it must be located in the state of Hawaii. The property must be either a single family, townhouse or condominium to be eligible. No mobile homes are allowed. Leasehold property is eligible as long as there is at least 35 years left on the term of the lease and the rent must be fixed for no less than 10 years.
Where Can I Get More Information On the Hula Mae Mortgage?
If you are interested in getting more information on the Hula Mae loan you can go to the following lending institutions.
- American Savings Bank
- Bank of Hawaii
- First Hawaiian Bank
- Wells Fargo Home Mortgage of Hawaii
- HomeStreet Bank
- Countrywide Home Loans
- Hawaii HomeLoans Inc.
Is The Hula Mae Program Offered On All Of The Hawaiian Islands?
The Hula Mae Mortgage Program is offered on all of the Hawaiian Islands including Hawaii, Kauai, Maui and Oahu.
What If I Do Not Have Enough Money For A Down Payment?
If you do not have a down payment for a home, the state of Hawaii does have a downpayment program. The Downpayment Loan Program is run by the HHFDC and was developed to provide eligible home buyers with down payment loans. The funds for this program can only be used for down payments. Closing costs must come from other funds. To be eligible for this program you must contribute at three percent of your own funds.
This program may be temporarily suspended throughout the year for various reasons. Please check with your local lender if you are interested in applying for this program.
One other option you may want to check if you are in need of down payment assistance is the local housing agency on your Island in your city or county. Check the HUD.gov website for a list of agency offices and locations.
To get additional information about down payment assistance programs, or to find out more about mortgage programs please complete the information below:
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