Affordable Housing 603 Units Available
Kuilei Place will give first-time homebuyers attainable housing options with an extraordinary quality and a convenient Location. The building will have 60% dedicated towards Affordable Housing under the HHFDC 201H (Hawaii Housing Finance and Development Corporation) program. The Kobyashi Group LLC has been a pivotal advocate for helping supply affordable housing and has generously set aside 603 of the 1005 units to go to first-time qualified homebuyers. The remaining 402 units will be sold at Market Value and will open for owner occupants and investors.
Affordable Price Ranges - $370,600 - $813,300
Seminars: February 19, 25 and March 19 and 25 (Email or text me at 808.753.7048 if you are interested in attending)
Affordable Application Due Date -
April 16, 2023
Hold Period and Shared Appreciation Equity
The second running restriction is the SAE known as Shared Appreciation Equity. This is a fixed percentage which is tied to your unit. A few months prior to closing there will be an appraisal done on the unit. To figure out the SAE, you would get the appraised value (from the appraisal) then subtract the purchase price (of which you contracted the unit for). Then you would divide that amount by the appraised value. The SAE would then be tied to the unit in perpetuity and it is triggered whenever you sell, transfer title, or rent the unit. In the future if you sell it for $100,000 over what you paid for the unit, then you would get the $100,000 and multiply it by the SAE. Then that money would go to HHFDC to fund future affordable housing programs. Then as the seller, you would keep the remaining profit. Look below for a quick example.
Which Units Are Affordable?
As for the Diamond Head facing units (see picture on the right or the second picture if on a mobile device), there will be two stacks of two-bedrooms that will be sold as affordable housing units and it will be from floors 1 to 43. Then there will also be a few one-bedroom units on the Diamond Head side of the building that will be sold as affordable housing units. These units will be from floors 2-15 for floor plan 13 (floor plan type 1.4) and floors 2-16 for floor plan type 05 (floor plan 1.1). All units in green are affordable housing units.
All remaining units will be Market priced units. Keep in mind that the Market units are only found on the Diamond Head side of the building.
FREQUENTLY ASKED QUESTIONS
The Hawaii Housing Finance and Development Corporation (HHFDC) is the primary agency charged with overseeing affordable housing, financing, and development in Hawaii.Their website is http://dbedt.hawaii.gov/hhfdc/
1. Allows eligible and qualified applicants to purchase at below market prices
2. Homebuyers have an opportunity to live in town at a brand new development that fits their budget
3. There are no asset limits
4. Gifting and co-signing provide an opportunity for homeownership.
5. No household limitations (subject to the City and County of Honolulu ordinances)
6. SAE is a percentage of appreciation and can be paid off at any time after close
1. Sign up to receive updates on when the Application Packet will be released
2. Fill out the Application Packet and meet with a Lender for pre-qualification
3. Return the completed packet to the Sales Center
4. HHFDC First Review – Review of applications to determine eligibility
5. Public Drawing
6. HHFDC Second Review – Assignment of Property Selection Number (PSN)
7. Unit Selection & Contract Signing
Affordable Housing is for buyers earning 140% and below of the Area Median Income.
The HHFDC will determine eligibility based on the information you provide in your Application Packet, including the following:
1. US Citizen or permanent resident alien
2. At least 18 years of age
3. Resident of the State of Hawaii who currently resides in the State of Hawaii
4. Shall physically reside in the unit purchased
5. Does not own a majority interest (more than 50%) in a fee simple or leasehold property anywhere in the world
6. Has sufficient gross income to qualify for the loan to finance the purchase
The buyer will need to provide $500 at contract signing and the remainder of 5% minus the $500 after 30 days.
The owner is required to be an owner occupant for 10 years. The buyback program gives the HHFDC the first option to purchase the property in the event of a sale or transfer during the first 10 years of ownership. Owner occupancy is a requirement during this period. The restriction automatically terminates at the end of 10 years from the recording date.
SAE is Shared Appreciation Equity. This is the sharing of the property’s net appreciation with the HHFDC in exchange for the buyer’s opportunity to purchase at below market prices. The SAE percentage is calculated prior to closing and once determined, does not change.
The SAE must be paid when the property is sold, transferred or rented. Owners also have the option of paying it off at any timeafter closing.
Kuilei Place will be slightly different from previous projects in the past. This time around, buyer's may be gifted up to 35% of their total purchase price.
The HHFDC will require documentation to support the buyer’s application. Some examples are: current year tax returns, W-2, 2 months of paystubs, and a letter of pre-qualification from a Lender. Lenders will have different requirements to determine loan pre-qualification.
The formula is: Original Fair Market Value (determined by appraisal prior to closing), minus Original Purchase Price, divided by Original Fair Market Value, and rounded to the nearest one percent.
Yes, you may select from any available unit that you are eligible (determined by HHFDC) and qualified (as determined by Lender)to purchase.
Nope! The developer pays for our compensation at the time of closing and it is completely free for you as the Buyer. It is also to your advantage since we specialize in new project construction and have personally represented developers in the past. We will give you unbiased answers and give you our own in-depth advice as well as personal opinions. Just remember, the sales team works for the developer and their obligatory interest is to serve the developer, not you as a buyer. We are here to help YOU, not the developer.
APPROVED PROJECT LENDERS
Are you ready to buy?
Jonathan Pang (R), Brad Dang (R), and Coldwell Banker Realty DOES NOT represent the Developer/Seller but are Buyer's Agents in respect to any sale within Kuilei Place. The Seller/Developer is The Kobayashi Group LLC and is represented by Compass Hawaii.
As a buyer's agent, Jonathan and Brad will be there to help you every step of the way and will look after your best interests. Jonathan and Brad are both full-time Realtors in the state of Hawaii and specializes in new project construction on Oahu. Having a knowledgable and competent project lender is in your best interest, and the best thing is that it doesn't cost you a thing.
Jonathan's has most recently helped the Howard Hughes Association as a sales team member for Aalii in Ward Village. He has successfully helped hundreds of clients buy new construction in various projects across the island.
Brad has been a sales team member for Kamehameha School's lease-to-fee conversion and was part of the Ilikai sales team. He has also helped clients buy into new construction projects across Oahu.
The Seller and Developer, Kobayashi Group LLC, is represented by Compass. Jonathan Pang (R), Brad Dang (R), and Coldwell Banker Realty. does not represent the Developer/Seller but are Buyer’s agents with respect to any sale in Kuilei Place or any other area. All images, maps, and videos are visuals to help understand the vicinity and are subject to change due to the developer.
Coldwell Banker Realty fully supports the principles of the Fair Housing Act and the Equal Opportunity Act. Real estate agents affiliated with Coldwell Banker Realty are independent contractor sales associates and are not employees of Coldwell Banker Realty
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