Ka Wai Ola - Office of Hawaiian Affairs, Volume 19, Number 10, 1 October 2002 — Fannie Mae update [ARTICLE]

Fannie Mae update

Due to the success of OHA's Homeownership Loan Program and workshops that assistNative Hawaiians in buy~ ing homes on a zero~down basis, OHA has created another loan product to offer more NatKe Hawaiians the opportunity to attain homeownership. The new OHA 1 00 loan, soon to be available at Eank of Hawai'i and First Hawaiian Eank, will cover 100 percent of costs toward home purchase. OHA 100 loans allow a lower credit threshold for borrowers, as compared to the OHA 103 loan program unveiled earlier this year that provides 103 parcent fmancing . Under the new program, if the borrower is able to contribute three percent of the home purchase price towards a down payment, a lower credit score will be allowed. The first mortgage coveis 97 percent of the value of the home, and OHA will guarantee the second mortgage of up to three percent for closing costs. OHA 100 resulted from recent discussions between Fannie Mlae officials, OHA Trustees Rowena Akana and Oz Stender and OHA staff, furthering OHA's goal to increase housing and homeownership opportunities for Native Hawaiians.