Ka Wai Ola - Office of Hawaiian Affairs, Volume 19, Number 6, 1 June 2002 — OHA HOMEOWNERSHIP PROGRAM [ARTICLE+ILLUSTRATION]

OHA HOMEOWNERSHIP PROGRAM

provides millions in mortgage financing for Hawaiians

By Ryan Mielke Hawaiians throughout Hawai'i ean now take advantage of a new program designed to provide 100 percent financing that will eliminate the need for a down payment and minimize closing costs, two barri~ ers that have prevented many Hawaiians from attaining homeowner~ ship, thanks to approval of the OHA Homeownership Program by the OHA Board of Trustees May 29. OHA trustees, U.S. Senator Daniel Akaka, representatives from Fannie Mae, Bank of Hawai'i and First Hawaiian Bank were at OHA May 29 to usher in the new program and laud the collective focus on helping Hawaiians buy homes. "Today is a his-

toric day," said OHA Chairvvoman Haunani Apoliona, during the ceremony. "Today, we brought to our beneficiaries a program that not only provides an avenue to own their own home but shows that OHA ean, in partnership with business and eommunity organizations, make a difference in their lives. OHA's mission is to bet~ ter the conditions of Hawaiians. Today, we went a long way toward making that happen." The OHA Homeownership Program provides up to $135 million in financ~ ing for Hawaiians and informational workshops. īn order to make the pro~ gram a reality, Bank of Hawai'i, First Hawaiian Bank and Fannie Mae partnered with OHA and found a creative way to bring homes to Hawai'i's

indigenous people. "We're excited about teaming up with OHA and Fannie Mae to help Native Hawaiians achieve their dreams of becoming first-time homeowners," said Mike O'Neill, ehainnan, chief executive officer and president of Bank of Hawai'i. "Hawai'i is where our home is, and this innovative partnership will help meet a critical need in our community — improving the lives and eeonomie conditions of many fam~ ilies of Hawaiian ancestry. We'll work closely with OHA on all aspects of this program to ensure its success." Don Horner at First Hawaiian Bank echoed the willingness to not only eontinue their efforts to help Hawaiians, but also continue a tradition of eommunity partnership. "We were a pio-

neer in working with OHA to make home loans to those living on Hawaiian Home Lands, so we're delighted to be expanding our partner~ ship with OHA," said Horner, vice chairman of First Hawaiian Bank. "It's a new way to continue our 140year commitment to Hawai'i," Fannie Mae was approached early in 2002 by OHA staff and Trustee Rowena Akana to discuss a possible program that today eame to fruition. "This program is the first of its kind for OHA," said Trustee ,Akana. "Since 1993, OHA's home loan program was restricted to Hawaiian homesteaders and self~help housing projects. OHA recently bought half-ownership in a manufacturing plant, 'Quality Homes,' whieh ean produce homes that are steel constructed for as low as $50,000 eaeh, This new home loan program now adds a new dimension to OHA's commitment to homeownership. I am very proud to have been instrumental in making this dream a reality, The end~ less benefits that will be derived from this project cannot be measured at this time. Surely it will have a great posi~ tive impact on the whole State's eeonomy, by providing jobs for many people, in so many related industries." Fannie Mae, the nation's largest source of financing for home mort~ gages, will commit to purchase $135 million in loans originated by the lenders through the program. While Fannie Mae has created similar financ~ ing options in limited pilot markets, the OHA Homeownership Program will be the largest customized zero~ down mortgage product whereby Fannie Mae will purchase both the first and second mortgage in excess of 100 percent loan-to-value. See HOMEOWNERSHIP on page 4

Working together — Doug McWillicirns, Fcinnie Mae; OHA Trustee Rowenci Akonei; Corbeft Keileimei, VP, First Heiweiiiein Bcink; Sen. Dciniel K. Akeikei; OHA Chciirperson Heiuneini Apolionei; einel Mike O'Neill, CEO, Bcink of Heiweii'i eeime together in ei historiccil pcirtnership thcit will benefit cis mciny cis 600 Heiweiiiein fcimilies.

HOMEOWNERSHIP from page 1 "This exciting new program enables working families in Hawai'i to afford homeownership by receiving full mortgage financing to buy a home, along with an additional three percent second loan to pay for down payment or closing costs," said Doug McWilliams, customer account manager for Fannie Mae, ,An. intensive information effort began May 29 to let Hawaiians and the media know about the OHA Homeownership Program, Both Hawai'i banks have set up special telephone mimbers for potential participants in the program, Hawaiians interested in applying for a loan and for information on the workshops ean eall toll-free Bank of Hawaii at 1-888-828-7996 or First Hawaiian Bank at 1-866-342-6420. ■

Nū Hoi )