MORTGAGES
Find the Program That Fits Your Goals
Your personal situation and timeline determine which loan is best. Use this as a starting point to understand common programs in Hawai’i.
Conventional
Conventional
FHA Loan
FHA Loan
VA Loan
VA Loan
USDA Loan
USDA Loan
Clarity on Credit
A stronger score opens better rates. Here is how to boost your score quickly.
Even one 30-day late payment can drop a score 50-100 points. Set up auto-pay for minimums.
Keep your credit card balances below 30% of your limit. Under 10% provides the maximum lift.
A 3-month streak of on-time payments and low balances often results in noticeable score jumps.
Ready to Start? Your Document Checklist.
- Government-issued Photo ID
- Most recent 30 days of Pay Stubs
- Most recent 2 months of Bank Statements (All Pages)
- Most recent 2 years of W-2s and Federal Tax Returns
- Social Security Number (for credit authorization)
Mortgage Terms Decoded
- Principal: The amount you borrow before interest.
- Amortization: The schedule of how your loan is paid down over time.
- LTV (Loan-to-Value): The percentage of the home's value being financed.
Frequently Asked Questions
Purchase mortgage: A new loan used to buy a home.
Refinance: A new loan that replaces your existing mortgage, often to lower your rate, change your term, or access equity (cash-out).
Common options include:
- Conventional loans
- FHA loans
- VA loans (for eligible Veterans & service members)
- USDA loans (for eligible areas)
- Jumbo loans (for higher-priced homes)
- Adjustable-Rate Mortgages (ARMs)
Each program has different benefits, requirements, and down payment options.
It depends on the loan program:
- VA / USDA: 0% down (for eligible borrowers)
- FHA: As low as 3.5% down
- Conventional: Often 3–5%+ down
A larger down payment can lower your monthly payment and may remove mortgage insurance.
PMI (Private Mortgage Insurance): Common on conventional loans with less than 20% down.
MIP (Mortgage Insurance Premium): Required on most FHA loans.
These protect the lender if the borrower defaults. VA and USDA loans usually don’t have monthly mortgage insurance, though they may have a funding or guarantee fee.
Rates are influenced by:
- Credit score and credit history
- Debt-to-income ratio
- Loan type and term
- Down payment
- Property type
- Overall market conditions
A lower rate generally means a lower monthly payment and less interest paid over the life of the loan.
Closing costs are the fees and expenses needed to finalize your loan, such as:
- Lender and underwriting fees
- Appraisal
- Title and escrow fees
- Taxes and prepaid items (interest, insurance)
They typically range from about 2–3% of the loan amount, though certain programs or lender credits may help reduce your out-of-pocket costs.
Refinancing may be worth exploring if:
- Interest rates have dropped
- You want to lower your monthly payment
- You want to shorten your term (e.g., 30-year to 15-year)
- You want to switch from an ARM to a fixed-rate loan
- You want to tap into home equity with a cash-out refinance
It’s important to compare the closing costs with the potential savings and your long-term plans.
VA loans are backed by the U.S. Department of Veterans Affairs and designed for eligible Veterans, active-duty service members, some Guard/Reserve members, and certain surviving spouses. Benefits often include:
- 0% down payment (for eligible borrowers)
- No monthly mortgage insurance
- Flexible credit guidelines for primary residences
Many active-duty clients also use their BAH towards their monthly mortgage payment. Lenders may count BAH as part of your qualifying income, which can help with eligibility and affordability.
The “best” loan depends on:
- Your credit score and history
- How much you have for a down payment or equity
- Your monthly comfort range
- How long you plan to keep the home
- Whether you’re eligible for VA, USDA, or other specialized programs
My role is to walk you through side-by-side options and show you the numbers in plain language so you can choose what feels right for your life, not just what you’re approved for.
Ready to Take the First Step?
Your roadmap to the islands starts with a single conversation.
Whether you are a local family building a legacy, a service member PCSing to O’ahu, or an investor expanding your portfolio, we are here to provide the clarity you need to move forward with confidence.