First time home buyer programs in Hawaii are fewer than in most states, and the ones that exist are specific. The Hawaii Housing Finance and Development Corporation (HHFDC) runs the state’s first-time mortgage. Each county runs or has run its own down payment program, with Honolulu’s the most active. The Department of Hawaiian Home Lands (DHHL) serves native Hawaiian beneficiaries. Under all of them sit FHA and VA, which do most of the work at Hawaii prices. This page covers each program as it stands in October 2026, with every limit taken from the agency’s own table and linked to it.
What first-time buyers face in Hawaii: price and leasehold
Two things separate a first purchase in Hawaii from one on the mainland. The first is price. HUD sets FHA limits from each county’s median sale price, and those medians are a fair picture of what a first home costs by island.
| County | Median sale price | 2026 FHA one-unit limit |
|---|---|---|
| Hawaii County | $510,000 | $586,500 |
| Honolulu County | $720,000 | $828,000 |
| Kauai County | $932,000 | $1,110,900 |
| Maui County | $1,130,000 | $1,299,500 |
The second is leasehold. Many of the condos a first-time buyer can afford on Oahu are leasehold: you own the unit but lease the land for a term that ends on a date in the lease. Lease rent is a real monthly cost, lenders set minimums for the years remaining, and the state program has its own leasehold rule, covered below. The Hawaii mortgage broker page explains fee simple versus leasehold.
HHFDC’s Hale Kamaʻāina Mortgage Program
Hale Kamaʻāina is HHFDC’s first-time buyer mortgage, funded by tax-exempt bonds and delivered through participating lenders: a 30-year fixed-rate first mortgage with an optional second mortgage for down payment help. Because the money comes from bonds, federal rules govern who can use it. As HHFDC defines them, a borrower must:
- Be a first-time homebuyer: neither you nor your spouse has owned or held an interest in a principal residence in the past three years, with exceptions for veterans and for purchases in federally designated targeted areas.
- Be a bona fide Hawaii resident, at least eighteen, and a U.S. citizen or resident alien.
- Have household income within the limit for your county and household size, and buy at or below the purchase price limit for your county.
- Complete homeownership counseling through a HUD-approved housing counseling agency, receive the federal Recapture Tax Notice, and occupy the home as your principal residence within 60 days of closing.
| County | 1 to 2 person household | 3 or more person household | Targeted area, 1 to 2 persons | Targeted area, 3 or more |
|---|---|---|---|---|
| Hawaii | $126,500 | $145,475 | $151,800 | $177,100 |
| Honolulu | $154,805 | $178,025 | $184,800 | $215,600 |
| Kauai | $163,080 | $190,260 | Not applicable | Not applicable |
| Maui | $177,600 | $207,200 | $177,600 | $207,200 |
Targeted areas are federally designated census tracts with higher limits. HHFDC also lists Kalawao County; see the source page. Source: HHFDC, Hale Kamaʻāina eligibility, income and purchase price requirements.
| County | Non-targeted area | Targeted area |
|---|---|---|
| Hawaii | $613,662 | $750,031 |
| Honolulu | $866,346 | $1,058,867 |
| Kauai | $1,162,348 | Not applicable |
| Maui | $1,359,682 | $1,661,833 |
Source: HHFDC, Hale Kamaʻāina eligibility, income and purchase price requirements.
Eligible properties are new or existing single-family homes, townhomes, planned unit developments and condominiums in Hawaii. Leasehold is allowed if at least 35 years remain on the lease and the lease rent is fixed for at least ten years from the loan date. Homes with accessory dwelling units are not eligible, and the loan cannot refinance a mortgage or buy the fee interest under a leasehold home you already own.
Down payment help is a second mortgage from HHFDC behind the first; to use it you cannot own other residential property in Hawaii or have taken an HHFDC down payment loan before. As of October 2026 HHFDC is amending its rules under Act 214 (2026) before posting updated second mortgage terms, so check the program page or ask me rather than planning around an old number.
Selling within nine years can trigger a federal recapture tax, but only if your income has also risen above the program limit and you have a gain on the sale. HHFDC’s Mortgage Credit Certificate program is closed to new applicants; existing holders can have a certificate reissued when they refinance through an MCC participating lender.
County down payment programs: Honolulu, Maui, Hawaii and Kauai
City and County of Honolulu: Down Payment Loan Program
Honolulu’s Department of Community Services runs a Down Payment Loan Program with federal HOME funds: a zero-interest loan with no loan fees, repaid over 20 years, for buyers who do not own a primary residence and whose household income is under the city’s limit. You complete a city-approved homebuyer course before approval and live in the home for the life of the loan, and the property must pass a city inspection and federal checks such as lead-paint review for pre-1978 homes. Funds are first-come, first-served, and your first mortgage lender applies for you.
| Item | Amount |
|---|---|
| Maximum loan | $40,000 |
| Income limit, 1-person household | $86,250 |
| Income limit, 2-person household | $98,600 |
| Income limit, 3-person household | $110,900 |
| Income limit, 4-person household | $123,200 |
| Income limit, 5-person household | $133,100 |
| Income limit, 6-person household | $142,950 |
| Income limit, 7-person household | $152,800 |
| Income limit, 8-person household | $162,650 |
Income limits are subject to periodic revision by the city; the brochure lists limits through a 10-person household. Source: City and County of Honolulu, Department of Community Services, Down Payment Loan Program brochure.
Maui County: First-Time Home Buyer’s Down Payment Assistance Program
Maui County’s Housing Division runs a down payment and closing cost grant for low- to above-moderate income first-time buyers on Maui, Molokai and Lanai. Applications are taken during an announced window and selected by lottery, a HUD-approved homebuyer class is required, and the grant is secured by a county lien. Funding comes and goes with the county budget; no round was posted when this page was written, so I have printed no figures. Current terms are on the Housing Division page.
Hawaii County
The County of Hawaii’s Office of Housing and Community Development funds homebuyer help mainly through its Affordable Housing Production program, which awards money to projects and nonprofit partners for down payment assistance, rather than running a standing loan of its own. If you are buying in Hilo, Kona or Puna, check the county housing site and ask the island’s HUD-approved counseling agencies what is open.
Kauai County: Homebuyer Program
The Kauai County Housing Agency offers low-cost loans to first-time buyers when funding is available and keeps a waitlist for affordable for-sale homes. You must be at least eighteen, within the Kauai median household income limits, and a first-time buyer, which the county defines as not holding majority ownership in a principal residence for three years before closing; Kauai residents get preference. Start with a homebuyer class through a HUD-approved agency, then register for a Home Buyer Number on the Kauai Homebuyer Program page.
DHHL loans for native Hawaiian beneficiaries
The Department of Hawaiian Home Lands administers the Hawaiian Homes Commission Act of 1920, which provides 99-year homestead leases to native Hawaiians, defined by the Act as descendants of not less than one-half part of the blood of the races inhabiting the Hawaiian Islands before 1778. Applicants must be at least eighteen and document ancestry through birth records; awards come off a waitlist.
Because the land is leased from the trust, every loan on Hawaiian home lands must be guaranteed. In practice lessees use FHA Section 247 insured loans or HUD Section 184A guaranteed loans, along with VA and USDA where they fit, through lenders with a working agreement with DHHL. Not every lender offers them. DHHL also runs NAHASDA Down Payment Assistance for first-time buyers of turnkey single-family homes on Hawaiian home lands; you complete a homebuyer class and qualify for a first mortgage, the funds go to the transaction rather than to you, and part is repaid if you sell or move out within the first several years.
| Item | As stated by DHHL |
|---|---|
| Base assistance | Up to $25,000 |
| Additional assistance with certain requirements | Up to $20,000 |
| Income limit | Up to 100 percent of area median income, adjusted for household size |
| Eligible home | Turnkey single-family home on Hawaiian home lands, primary residence |
| Lender | Must be FHA and/or HUD 184A approved, or have an agreement with DHHL |
Source: DHHL NAHASDA Down Payment Assistance Program FAQ (September 2024).
FHA and VA: the loans that do most of the work in Hawaii
Most first-time buyers in Hawaii close on an FHA or VA loan, sometimes paired with a program above. FHA takes 3.5 percent down with a credit score of 580 or higher, allows the whole down payment as a gift, and lets a seller pay up to 6 percent of the price toward closing costs. The trade-off is mortgage insurance, upfront and monthly, that lasts for the life of the loan with less than 10 percent down. FHA lends on leasehold with enough term left and on condos in FHA-approved projects; the Hawaii FHA page has the limits and rules.
VA loans are a bigger share of the Hawaii market than almost anywhere else because of the bases on Oahu. With full entitlement there is no loan limit, no monthly mortgage insurance and no down payment; there is a funding fee, waived for veterans with a service-connected disability rating. VA lends on leasehold with conditions and on VA-approved condos, and works on Hawaiian home lands through DHHL. Conventional loans with 3 percent down exist too, and in Honolulu, Hawaii and Kauai counties the 2026 conforming limit is higher than the FHA limit, so strong credit sometimes reaches a higher price on conventional. I run both.
How to use first-time home buyer programs in Hawaii, step by step
- 01
Take the homebuyer class first
HHFDC, the counties and DHHL all require homebuyer education through a HUD-approved or program-approved agency, and the counties want the certificate before anything else.
- 02
Get pre-approved and match the program to the property
I pull credit, document income and tell you which programs you fit by county, household size and price. Leasehold, condotel and accessory dwelling units each knock out specific programs, so we check the property before you write an offer.
- 03
Reserve the program funds
Hale Kamaʻāina loans are reserved through a participating lender, and Honolulu’s loan is requested by your first mortgage lender once you are under contract. I check which of my wholesale lenders is set up for each program before we count on it.
- 04
Insurance, appraisal and escrow
Hurricane and hazard coverage are bound early, flood coverage if the home is in a FEMA flood zone, and on Hawaii Island I get an insurance quote before the appraisal in a high lava-flow hazard zone. Escrow then records the deed and both mortgages together.
Is this the right loan for you?
- 01
A first-time buyer on Oahu with household income under the Honolulu limit who needs the city’s down payment loan to close the gap.
- 02
A Hawaii resident in Hilo or Kihei within the Hale Kamaʻāina income and price limits who wants a fixed 30-year loan with down payment help.
- 03
A DHHL lessee or awardee buying a turnkey home on Hawaiian home lands with an FHA 247 or HUD 184A loan.
- 04
A service member or veteran stationed on Oahu using a VA loan with no down payment.
A recent example
An FHA purchase with Honolulu’s down payment loan in Mililani
A nurse buying her first home, a fee simple townhouse in Mililani, had steady income and modest savings. Her household income was under the city’s limit, so we paired an FHA first mortgage with the Honolulu Down Payment Loan Program. She took the city-approved class before we wrote the offer, the lender I placed the loan with checked fund availability the week she went under contract, and both loans recorded together through escrow.
How I shop this loan
First-time programs in Hawaii run through specific lenders, so the first thing I shop is access. Hale Kamaʻāina goes through HHFDC participating lenders; Honolulu’s loan needs a first mortgage lender willing to submit the city file; DHHL loans need a lender approved for FHA 247 or HUD 184A. I check which of my wholesale lenders can do each before we build a plan around it, and if the right program is one I cannot place, I say so and point you to the agency’s lender list. For the FHA or VA first mortgage itself, I compare pricing, credit and leasehold overlays, and turn times. Rates change daily, so I quote live.
The questions I get most
01What is the Hale Kamaʻāina Mortgage Program?
02What are the income limits for first-time home buyer programs in Hawaii?
03Does Hawaii have down payment assistance for first-time buyers?
04Who qualifies as a first-time home buyer in Hawaii?
05Is the Hawaii Mortgage Credit Certificate still available?
06Can I buy a leasehold condo with a first-time buyer program in Hawaii?
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Keep reading
- Hawaii Mortgage Broker for Buyers, Refis and InvestorsI am a mortgage broker licensed in Hawaii who shops your purchase, refinance or investor loan across multiple wholesale lenders, including the ones that understand leasehold, condotels and the islands’ higher loan limits.
- FHA Loans in HawaiiAn FHA loan in Hawaii is a government-insured mortgage with 3.5 percent down that works on fee simple and leasehold homes and FHA-approved condos, with 2026 county limits that run from the high five hundred thousands on Hawaii Island to just under 1.3 million on Maui.
- Connecticut mortgage broker: home
Written by
AJ Doerr
Loan Officer, NMLS #2051311. Mortgage broker in Milford, Connecticut, licensed in Connecticut, Florida, Hawaii, Massachusetts. Updated October 2026. About AJ.