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HCRC offers permanent mortgage loans at competitive terms and below market interest rates to meet the unique financing needs of affordable residential rental projects. Highlights of HCRC’s Multifamily Mortgage loan are as follows:
- Up to 20 year term with interest rates fixed for up to 20 years
- Up to 30-year amortization
- Debt coverage ratio minimum of 1.15x
- Loan amounts of up to $7,500,000
- Rates based on a spread over the Federal Home Loan Bank of Seattle index
Projects financed by HCRC provide much needed housing to seniors, low income families, and special needs individuals.
HCRC’s multifamily mortgage program can be used for
- Permanent take out, long-term mortgage financing for new construction, acquisition, and rehabilitation of affordable rental projects
- Refinancing of existing debt on affordable multifamily rental projects
- Financing acquisition or buyouts of partnership interest in Low Income Housing Tax Credit projects
All loans funded by HCRC must meet the basic criteria of economic viability and security, and affordability requirements. Priority is given to projects serving low– to very-low income families and larger families, as well as those that will maintain long-term affordability.
With its commitment to the creation and preservation of affordable housing, HCRC makes forward commitments for permanent loans on new development as well as loans to refinance existing projects and for acquisition and rehabilitation.
HCRC mortgages may be combined with gap equity financing and grants, and our experienced staff can work with developers, existing owners and potential investors in creating individual financial plans and in helping seek out additional resources to make affordable rental project an attractive and economically viable investment properties.
HCRC’s Multifamily Mortgage loan product is a collaboration with community minded financial institutions who participate in a loan pool enabling HCRC to finance affordable projects. Through its participation, our partner banks are demonstrating their commitment to strengthen communities throughout the state.
Our partner banks commit both financial and human capital to affordable housing development and to the community as a whole. In addition to providing loan capital, many of their employees also provide countless hours of community service by serving on our governing board and on our credit committee. These same individuals often serve on other nonprofit boards, further demonstrating their commitment to our community.
By participating in the HCRC loan pool, our partner banks are able to reduce their share of risk, increase Community Reinvestment Act (CRA) activity levels, and generate goodwill and positive public relations. A big Mahalo to HCRC's Consortium of Lenders:
Low cost loans to benefit low- and moderate-income homeowners in the County of Kauai for home repairs and/or the installation of solar hot water systems. Click for a program brochure. Highlights of HCRC’s Residential Rehab Loans are as follows:
- Loan Amounts from $2,500 to $50,000
- Interest Rates ranging from 1.5% to 3.0%, fixed
- Loan Terms up to 20 year
Examples of Eligible Repairs:
- Roof repair/replacement
- Installation of solar equipment
- Construction of additional bedrooms and/or bathrooms in overcrowded conditions
- Replacement of termite infested or dry rotted lumber
- Universal Access (disability) modifications
- Replacing substandard plumbing
- Correcting electrical deficiencies
- Repair windows, doors and screens
- Elimination of lead-based paint hazards
Examples of ineligible repairs:
- Air conditioning
- Den, family room, kitchen and additions of non-essential rooms
- New dwelling unit
- Completion of prior constructions
- Walls or fences (unless necessary to protect home)
Click on the link below to view a short video overview of our Residential Rehabilitation Loan Program taped by Hawaii Stream at the Contractors Association of Kauai’s Home Show on 4/8/11:
Funding for this program is provided by the U.S. Department of Housing and Urban Development (HUD), through the County of Kauai, from its Community Development Block Grant Program.
All loans are subject to funds available, and all applicants and dwellings are subject to the eligibility criteria of the Residential Rehab Revolving Loan Fund Program. Program guidelines are subject to change.