Hawaiʻi County's Office of Housing and Community Development announced its home improvement loan program as a way for low and moderate-income homeowners to repair and improve their homes without as heavy a financial burden.
The loans range from $2,500 up to $50,000, each with a 3% simple interest rate. The money to support this program comes from Hawaiʻi County’s affordable housing production fund.
Kehaulani Costa, the housing administrator of the county’s Office of Housing and Community Development, stressed that this is a preservation project that will help keep families in the islands.
“This is to help families age in place, stay in place, and maintain the health and safety of their home. Especially for our older folks, this is a critical opportunity for them,” Costa said.
The eligibility income limits are calculated by the household’s total income. For an average family of four, the total household income has to be below $96,720.
The county’s HILP improvement inspector will inspect each property and come up with a list of priority repairs that each homeowner needs to address with the loan.
One service that falls under the loan coverage is a cesspool to septic conversion, which Costa said is often a very expensive project.
Cesspools are underground systems that discharge human waste and sewage, possibly contaminating groundwater. There are roughly 50,000 cesspools just on Hawaiʻi Island.
“This is another way for people to take advantage of this so that they can either expand or maintain the unit they’re in. It's all about keeping the existing housing we have,” Costa said.
Loans are deferred for the first 15 years, then will need to be paid back in full. However, for people with disabilities or for those 62 years and older, they may be eligible for 50% loan forgiveness.
There is a $50 application fee that will be returned if the applicant isn’t chosen for a loan. Those looking to apply can download the online version here.
