Have you heard about the Native Hawaiian home loans program?! This special program can help you purchase, build, rehabilitate or refinance your home easier if you are a Native Hawaiian.
In this article, we’re going to discuss what this program is, who is eligible for it, and how it can help you!
What is the Native Hawaiian Home Loans program?
Also known as Section 184A, the Native Hawaiian Housing Loan Guarantee Program helps native Hawaiians with their housing costs. The program is designed to help promote homeownership, property improvements, and new construction for eligible families who want to own a home on the Hawaiian Islands.
Among other things, this program can help you:
- Get financing easier thanks to flexible underwriting rules
- Pay as little as 1.25% as a down payment
- Skip mortgage insurance altogether
This program was created as part of the Hawaiian Homelands Homeownership Act of 2000. It allows the US Department of Housing and Urban Development (HUD) to fully guarantee the unpaid principal and interest on an eligible loan.
Basically, this program makes it easier to find a lender who is willing to work with you. Section 184 is a loan guarantee program, so it basically tells the lender that they will be paid for the loan even if you are unable to make payments on it. Since the lender doesn’t need to worry about losing their investment, they’re more willing to work with low income borrowers!
What can these loans be used for?
The loans offered through the Native Hawaiian home loans program can be used for the following:
- Purchase an existing home
- Build a new home
- Rehabilitate an existing home
You can even combine rehabilitation and purchase loans, if you want to buy an older home and fix it up at the same time. For example, you could choose to use a 184A loan to pay off your existing mortgage and also add a new room to your house at the same time.
What are the loan limits?
The Native Hawaiian Home Loans program has maximum loan limits. These limits are established by the HUD office and renewed every year to make sure that they keep pace with the cost of living.
As of 2023, the current Maximum Loan Limits for this program are as follows:
| County | 1 Unit | 2 Units | 3 Units | 4 Units |
| Hawaii | $477,250 | $610,950 | $738,500 | $917,800 |
| Honolulu | $747,500 | $956,950 | $1,156,700 | $1,437,500 |
| Kauai | $845,250 | $1,082,100 | $1,308,000 | $1,625,500 |
| Maui | $828,000 | $1,060,000 | $1,281,300 | $1,592,350 |
Who is eligible for Section 184A loans?
In order to be eligible for a Section 184A loan, you must meet the following critieria:
- You must be a Native Hawaiian.
- You must be eligible to reside on Hawaiian home lands.
Hawaiian home lands are specifically designated areas that the government has placed in trust for the benefit of eligible Native Hawaiians.
The property that you want to buy must also meet specific eligibility criteria. For example, the property must meet these requirements:
- The property must be single-family housing (1-4 units).
- The property must be residential.
- The property must be financed with a fixed-rate loan for up to 30 years.
How does the Native Hawaiian home loans program work?
Although the Section 184A program is a little complicated from a lender’s standpoint, it’s actually pretty straightforward for consumers. You don’t need to worry about how HUD reimburses lenders or all the paperwork involved because your lender will take care of all of that for you.
From a consumer standpoint, the most important thing you need to know is that you have to work with a lender that offers loans through this program. If your lender doesn’t work with Section 184A loans, you won’t be able to use this incredible program!
The government only works with specific, approved lenders. It is important to make sure that you only work with a lender who can process these kinds of loans.
As of 2023, the following lenders have been approved to offer Native Hawaiian home loans under Section 184A:
| Lender Name | Phone Number | Address |
| 1st Tribal Lending | (855) 288-3123 | 5024 S. Bur Oak Place, Ste. 200 Sioux Falls SD 57108 |
| American Savings Bank | (800) 272-2566 | 300 N. Beretania Street Honolulu HI 96817 |
| Bank of Hawaii | (808) 693-1444 | 949 Kamokila Blvd., Suite 360 Kapolei HI 96707 |
| CMG Financial | (800) 501-2001 | 3160 Crow Canyon Road, Suite 400 San Ramon CA 94583 |
| Cardinal Financial Company | (980) 890-7554 | 4493 Moana Road, Unit A, Building A Waimea HI 96796 |
| Guardian Lending | (808) 353-1751 | 4186 Upa Road Koloa HI 96756 |
| HomeStreet Bank | (808) 447-1412 | 3660 Waialae Ave., Suite 207 Honolulu HI 96816 |
| MLD Mortgage Inc. | (808) 913-3704 | 140 Hoohana Street, Suite 320 Kahului HI 96732 |
When you apply for your home loan, make sure to tell the loan officer that you are eligible for this program. Ask them to process your home loan as a Section 184A home loan to make sure that you get all these advantages. Your lender will do all the paperwork for you, and may even be able to connect you with down payment assistance and other resources that can make your homebuying process even easier!
Why should I consider a Section 184A loan?
The Native Hawaiian Home Loans program makes it easier for eligible Native Hawaiians to purchase, build, or rehabilitate their homes. There are many benefits to this program.
Housing on the islands can be incredible expensive and cost-prohibitive, but this program can reduce the up-front costs by eliminating the need for mortgage insurance and drastically reducing the cost of your down payment.
Like the VA home loan program and other low income homebuyer assistance programs we’ve found, the Native Hawaiian home loans program has many benefits with relatively few drawbacks. They are intended to make homeownership easier and more accessible to people who are most at-risk of not being able to afford conventional loans.
Summary
The Native Hawaiian Home Loans program, also known as Section 184A, makes homeownership more accessible to Native Hawaiians who want to purchase a home in a designated Hawaiian home land area. This program can reduce the up-front mortgage costs and eliminate other barriers that make it difficult to get financing. This article explains who is eligible and how these programs work, and includes a list of lenders who offer these specialized loans.
Nicole Thelin
Nicole is the founder and lead researcher of Low Income Relief. After a personal experience with poverty and homelessness following her husband's sudden medical discharge from the U.S. Army, Nicole discovered the life-changing impact of community resources. This experience ignited her passion for empowering others to navigate similar crises. Nicole launched her writing career at age 16, working for various newspapers and publications. Her commitment to in-depth research and accessible content has been recognized by Google for Publishers and other industry leaders. For over 20 years, she has applied her investigative skills to uncover the most helpful, up-to-date information on benefits programs and community resources, ensuring Low Income Relief maintains the most extensive resource databases available.