Governor Abercrombie issued a statement Friday that he has signed Senate Bill 1025 into law.
Now known as Act 135, the law increases access to home loans, by updating the Hula Mae Single Family Mortgage Loan Program to allow broader program participation by potential single family homeowners, especially for eligible borrowers’ principal residences. The law also adds down payment, closing cost and other assistance as a program feature and makes various housekeeping and conforming amendments.
“This bill will make owning a home more than just a dream for many island families,” said Gov. Abercrombie. “Homeownership strengthens families and builds communities. It also fosters economic prosperity and generates economic growth, which benefits us all.”
The current median price for a single family home on O‘ahu is $630,000. According to a post from the University of Hawaii Economic Research Organization, only at mortgage interest rates well below 3% does the median home become affordable to the median household.