The 30th family has been accepted into the Homestead Individual Development Account program, created to assist low income families to save for down payments on home purchases. The program designed and operated by the Council for Native Hawaiian Advancement in
The 30th family has been accepted into the Homestead Individual Development Account program, created to assist low income families to save for down payments on home purchases.
The program designed and operated by the Council for Native Hawaiian Advancement in partnership with Hawaiian Community Assets is one of the first statewide programs dedicated to Hawaiian Home Land projects that match $3 for every dollar a family saves. Families can receive up to $7,500 in match funds toward a down payment.
”Creating this product became a priority for CNHA based on consultation with our member organizations and the community,” said Robin Danner, CNHA President and CEO, in a press release. “It fills a clear need that makes homeownership possible; it just makes sense to help families achieve this important goal.”
CNHA assembled a team of staff members to develop the product, including strategies that teach families savings habits and offer financial literacy training. The design of HIDA also advances the priorities of the Hawaiian Homes Commission in building residential projects around the state. CNHA partnered with Hawaiian Community Assets, to identify and qualify families for the program.
Michelle Kauhane, executive director of Hawaiian Community Assets, states in the release that all of the slots have been filled, but applications will continue to be accepted should additional slots open up. “Savings programs like HIDA are important in today’s high-cost housing market,” Kauhane states. “Down payments are one of the first barriers that families face in qualifying for home loans. HIDA helps our loan officers to qualify families for the balance of the purchase price.”
The HIDA program is made possible through the Department of Housing and Urban Development and it’s Office of Native American Programs. The state of Hawai‘i is the recipient of HUD funds for Native Hawaiians, administered by the Department of Hawaiian Home Lands. Savings accounts for each family are opened at First Hawaiian Bank branches, with monthly deposits made toward the down payment goal set by each family. A total of 30 slots for low to moderate income families were opened beginning in February. One of the first families to enroll was the Aiwohi family, to save toward the purchase of their home in November being constructed by the Department of Hawaiian Home Lands in its Kaupea project. Colleen Aiwohi has always lived in apartments and truly appreciates the matching funds. “The HIDA program is going to be a big help for me when it comes to the down payment and closing costs,” Colleen Aiwohi states in the release. “My family is very excited to move into our first house.”
Hawaiian Community Assets and its home loan operation, Hawaii Community Lending, is one of the state’s only nonprofit mortgage brokers. Generating more than $10 million in home loans annually, HCL originates loans on fee simple and Hawaiian Home Land properties.
CNHA is an advocacy and community development nonprofit with 140 member community organizations in Hawai‘i and across the nation. CNHA serves Native Hawaiian organizations through policy, economic and community development services. For more information about HIDA, contact CNHA at 521-5011 or HCA at 587-7886.
