As Hawaii’s ONLY non-profit mortgage broker and lender, HHOC Mortgage has relationships with a variety of local lenders and national mortgage companies, that allows us to offer a diversified selection of mortgage products to our clients.
DOWN PAYMENT ASSISTANCE LOAN PROGRAM
HHOC Mortgage (HHOCM) is a 501(c)(3) non-profit affiliate of the Hawaii HomeOwnership Center. It was formed to serve primarily low to moderate income families in obtaining financing for their first home purchase.
The DPAL Program provides a financing requiring only 3% down payment.
Benefits of the DPAL Program
- Low 3% down payment requirement
- Low monthly payment
- Mortgage interest is tax-deductible, set at 4.5% or matches the first mortgage rate (whichever is lower)
- No mortgage insurance
- No pre-payment penalty
Since 2009, as Hawaii’s only non-profit mortgage broker we’ve been offering the full spectrum of loan products with rebate pricing & lenders’ credits. We help minimize Borrowers’ cash outlay for closing costs.
Deferred Closing Cost Assistance Loan
This program offers a 15-year deferred loan with NO interest and NO monthly payments. The funds can be used towards your down payment, closing costs (including rate buy down).
Low to moderate-income (120% AMI or below), First-Time Homebuyers
- First-Time Homebuyer Education classes completed through Hawaii HomeOwnership Center
- Up to $15,000 loan matched on a 6:1 basis*
- HHOC Mortgage must originate the first mortgage
- Borrowers agree to use the property as their primary residence and sign a yearly occupancy affidavit
- Available to borrowers STATEWIDE
*Special restrictions do apply, call today for more details.
Conventional: Loans that are not guaranteed or insured by the federal government. Usually follow Fannie Mae or Freddie Mac guidelines. If borrower puts less than 20% down payment, mortgage insurance is required.
USDA: Offers 100% financing. There is a guarantee fee and a monthly mortgage insurance premium. Property needs to be within eligible area.
VA: Veterans Administration. Great program for veterans with low interest rates and lender rebates. 100% financing. Must have served active duty for 181 days, 90 days during wartime, or 6-years Reserves / National Guard. VA funding fee, but no monthly mortgage insurance costs.
FHA: Federal Housing Administration. Low minimum down payment of 3.50%. Upfront mortgage insurance (MIP) and monthly mortgage insurance. Offers low down payment and little to zero closing cost.
Frequently Asked Questions
Special loan for Veterans and other customers who meet the VA Administration eligibility program guidelines. 3, 15, and 30 year fix terms are available.
No down payment and up to 100% financing
USDA Guaranteed Rural Housing Loan
The USDA Guaranteed Rural Housing loan offers 100% financing to borrowers... Restrictions do apply; call us for more information. This program has total income limits per household, maximum housing & debt ratios and property location restrictions (USDA designated rural zone areas).
Who Originates the First Mortgage Loan?
The first mortgage must be originated through HHOC Mortgage, at the same time the Down Payment Assistance Loan (second mortgage) is originated. The first mortgage will be brokered to an approved Lender of the DPAL Program.
Where and When Can I Apply for the DPAL Program?
To determine if you are eligible, you should speak to our Loan Officer at HHOC Mortgage. If you are eligible, DPAL funds will be reserved once you’ve entered into a purchase contract.
What is the Maximum Loan Amount for the DPAL Program?
The maximum loan amount for the down payment assistance is $100,000, and subject to availability of funds.
Is The DPAL Program Available if I’m Purchasing Any Property in the State of Hawaii?
It is available for single family dwelling, condominium or townhouse properties purchased as a principal residence. Contact us for assistance and details.
Who is Eligible for the DPAL Program?
In general, you must meet the following criteria:
- Must be a first time homebuyer or have not owned residential property within the last three years.
- Must not exceed the income limits per household size for the appropriate county.
- Must meet the loan program guidelines
- Must complete (approx. 9 hours) of in-class or on-line homebuyer education with a HUD-Approved Counseling Agency
- Must complete one counseling session with Hawaii HomeOwnership Center.