What if you qualify for a Special Discount?

What about non-permitted structures on the Big Island?

September, 2015. The majority of lenders require all structures be permitted now- I think they are not happy having had to foreclose on homes that were not permitted and then sold them for less than loan amount. 
If my buyer is going for a VA Veteran’s loan, all items need to be permitted.
Cash buyers often come forward and buy non permitted properties AS IS and some ask seller to permit items.
Requiring seller to permit all items can cost seller A LOT of money because County of Hawaii JUST made all unpermitted items comply with current County Zoning. I am doing this kind of deal now and it is costing my seller $20,000 out of pocket BEFORE she closes escrow to make her home comply with County Planning.
I am telling all new home owners if they are to make improvements they MUST permit those improvements. It will pay $ off when they sell their home down the line. Every buyer turn into a seller one day.
Best advice is ask your lender when you are getting prequalified for a loan if they would loan on non-permitted items in a home. There may be loans available to buyers to permit items after closing and cost to permit those items included in the loan amount.

Should Vacation Homes in Hawai‘i be Taxed at Higher Rates?

Bill takes aim at investors in high-end Hawai‘i homes to increase funding for public schools.

By Rachel Ross
Published: 2017.04.14 09:17 AM
Online article here

Property taxes on investment homes—more often referred to as second homes or vacation homes—are a hot topic in Honolulu lately. In October of last year, the City and County’s Residential A classification, which taxes second homes valued at or more than $1 million at a higher rate, was deemed unconstitutional. That decision was then overturned in December. Residential A classified properties are taxed at 0.6 percent, nearly double the rate of standard residential homes, which are taxed at 0.35 percent. This tax generates approximately $39 million per year for the City and County of Honolulu.
 
And now, Senate Bill 683 is being negotiated by the state House and Senate, proposing an amendment to the Constitution to allow the state to establish a surcharge on tax on second homes and on transient accommodations. Sounds familiar. If it gets the necessary approval, it could go on the ballot in our next election.
 
In this case, the funds generated would have a direct impact on our children, as they would be designated to support Hawai‘i’s public schools. The threshold is higher for this surcharge—it would be put upon homes that are valued at $2 million or more that are not inhabited as the owner’s primary residence or have a homeowners exemption.
 
Not many are likely to argue about the need to increase funding for our public schools. However, critics of SB 683 and the Residential A designation argue that, if you nearly double the tax rate at a certain threshold, you’ll cause a spike in demand for the houses just below that level. A $900,000 house suddenly becomes a more than $100,000 better deal than a $1 million house. Research by UHERO, which posted an analysis in February, shows that about 43 percent of homes in Hawai‘i were rented in 2015. If owners of those properties see a rise in property taxes, they may well pass those costs on to their tenants, and the effective result would be a renter’s tax. Thus there are limits written into the bill stating that properties rented for up to $1,500/month would not be affected. The state Legislature is scheduled to adjourn on May 4.​

Big Island Lenders

This list comes from satisfied buyers and homeowners refinancing their homes.
​Brian L. Baptiste
Branch Manager
Platinum Mortgage, 
​a HighTechLending Inc. Company 
Phone: 808-883-1171
Cell: 808-960-7082
http://waikoloa.pmphi.com
Email: pmphi@hawaii.rr.com
MLO#275783 / Lender# 7147
 
Ho'olaea Andrade, #338003
Pacific Isle Lending Group LLC, #618737                                    
65-1227B Opelo Road Suite 1
Kamuela, HI 96743
Office: (808) 887-6003
Direct: (808) 960-0040
Email: hoo@pacificislelending.com
 
Charles Umemoto
Island Mortgage Source
500 Manono Street, Suite 103
Hilo, Hawaii 96720
Call: (808) 969-9988
NMLS Company #320040
 
Hawaii First Federal Credit Union
Parker Ranch Shopping Center
67-1187 Mamalahoa Highway
Kamuela, Hawaii 96743
Phone: (808) 885-7349
NMLS#408077

Home Inspectors

This list comes from satisfied buyers.
Bierman Home Inspection
www.bhihawaii.com/
Jake Bierman
Bierman Home Inspection Inc, Serving the Big Island of Hawaii, ASHI certified and E&O insured.
 
HouseMaster Home Inspections
Jeff Lux
Lux Inspections, LLC
http://www.bigisland.housemaster.com
 
Woodbury Inspection Group
Alex Woodbury
woodburyhawaii.com/about-us/
Woodbury Inspection Group Inc. are certified inspectors, providing home and commercial property inspection services throughout the Big Island of Hawaii.
*Disney Associates does not endorse any companies that appear on this page. These are provided as a courtesy.