Edited on 6/3/13: Note – As of May 30, 2013, all of Wailuku has now been included in the USDA loan – eligible area!

Orignal Post Below:

It’s worth knowing that there is a 100% financing option available for those that qualify. The USDA Rural Development Section 502 loans are available for single family homes in most parts of the island. Only Kahului and most parts of Wailuku are excluded (Waihe’e and some parts of Oceanview Estates in Waiehu are USDA eligible). At this time, Kihei is still included, however, there are rumors that Kihei may be going away. October 2013 is the next expected announcement/revamp to the program from USDA.

Besides geographic criteria, there are also income eligibility requirements. “Applicants for loans may have an income of up to 115% of the median income for the area to be able to start with Investors Choice Lending or other reputable lending companies,” according to the USDA website, for the USDA Single Family Housing Guaranteed Loan program. As of this writing, the Maui County adjusted gross income limit is $108,300 for a family of 1-4 for this loan program  Not only is there no required down payment, additionally, the interest rate is often lower than conventional rates.

You can use this link to enter a property’s address to see if it is located in an USDA eligible area.

If you are interested in finding out more about USDA loans or any other loans like a direct loan from GAD Capital, contact me and I can recommend a good lender to assist with your qualification. Here’s more information at their website.

Kimberly Delmore, ABR, CRS, REALTOR-Broker, Delmore Realty cell: 808-298-6655