Affordable Home Prices + Low Interest Rates = Great Time To Buy
Leonard A. Loventhal
Senior VP Loan Manager
This is a great time to buy a home…not just because there are homes priced at affordable levels in many Hawaii neighborhoods or because interest rates remain at historic lows, but also due to the fact that the available options to finance a home have increased over the last couple of years.
If you are in the market as a first time, second home, or investment buyer, Honolulu HomeLoans (HHL) should have a mortgage option to fit your financial needs. Our loan officers are trained and experienced in assisting customers ranging from young families on a tight budget to buyers in the market for a luxury home. Whatever the size of the loan, the focus of our company has always been and will continue to be helping our customers obtain the home of their dreams.
If you are a first time home buyer, we can offer very low down payment options. For example, you may be able to put as little as 3 percent down when purchasing either a condominium or single family dwelling. It wasn’t long ago that you had to put at least 5 percent down if you were getting a conventional mortgage loan.
The other option for a low down payment is taking an FHA loan whereby you only need to put down 3-1/2 percent of the purchase price. However, a big drawback of an FHA loan is the high cost of monthly mortgage insurance. The insurance premium for FHA loans has continued to increase over the last couple of years, while monthly mortgage insurance premiums for conventional loans have actually declined in some instances.
Another advantage of working with HHL is that while other mortgage companies may observe more stringent underwriting guidelines than those of Fannie Mae and Freddie Mac, Honolulu HomeLoans does not. . . we are able to sell loans directly to Fannie Mae and Freddie Mac without adding more restrictive underwriting guidelines. This means that in some scenarios working with Honolulu HomeLoans can give you greater financing flexibility and more options when purchasing your home.
Additionally, HHL offers the State of Hawaii’s Hula Mae loan with below market interest rates for eligible and qualified first time home buyers. This program can offer you the ability to purchase a home with only a very small down payment. For more details on this program and eligibility requirements we invite you to speak with one of our loan officers.
Currently our HHL Home Buyer Advantage program offers a 25% discount on points, an appraisal credit of up to a $650, and a $250 City Mill gift card when your loan closes. Some loan programs do not qualify for our Home Buyer Advantage program.
We offer competitive pricing and products, and all our loan officers are experienced, licensed loan originators. They will be happy to meet with you at your convenience to discuss the best financing option for your particular needs.