Lenders screw Pahoa

[janet]

Royal Hawaiian Gardens.

[JWFITZ]

Kathy is right: banks, or at least the ones that survived are done manufacturing "mortgage products" and are back to making loans, which require honest risk analysis and collateral.

Interesting thought experiment for those grousing about the banks. If you had, say, 100000 dollars to lend, even to someone with good credit, at this moment in history--for 30 years?--how much interest would it take to entice you to sign a contract and a check?

Not a rhetorical question, really, how much? 5.4 percent? You must be kidding. More like 12.

[Bullwinkle]

Here is that story:

http://www.starbulletin.com/business/200...tdown.html

[jdirgo]

Yep, came out today. Not as long as I would have liked because there were a number of other issues I would have like publicized. Like, the lava zone maps are based on 500 year projections, etc. Still, do what you can to publicize this -- I want Fannie Mae to answer this better than the one-sentence response they gave to the Star-Bulletin. AND I want Freddie Mac to know we won't put up with similar BS from them. As taxpayers, we just bailed them out, so discriminating against us WON'T be tolerated.

And thanks, KathyH, for the endorsement. You are right, I ALWAYS educate buyers about the lava zones. Insurance is more expensive, loans are less available, etc, etc. An informed buyer is a happy buyer. Ignorance is not bliss, at least not in the real estate industry.

John Dirgo, R, BIC, EcoBroker, ABR, e-PRO
Aloha Coast Realty, LLC
808-987-9243 cell
http://www.alohacoastrealty.com

[Guest]

John,

thanks you have sum up what I said when I started this thread. It seems that puna's tax monies are held in little reguard all across the board. How much real money has lenders really lost incomparision to the gilillons of dollars they have made in lower Puna? Insurance company are the same type of gougers and they are in bed together. "Power to the people".......Yea, right.

The Lack

[Aaron S]

I was reading the reader comments to the Honolulu SB article There was a couple comments that popped out at me about this issue :

“Whoa…a whole lotta mis-information here; too bad this “reporter” chose these particular individuals to interview. The recent memo from Fannie Mae is nothing new, Fannie has NEVER done loans in lava zones 1 or 2; perhaps these “experts” can shed light on this FACT?”

“Whoa…pretty mis-leading “reporting”. Question: Has Fannie Mae EVER made loans in Lava Zones 1 & 2? Answer: NO. The memo was just a re-wording/clarification of their long-time policy. These “experts” better get their facts straight and quit stirring the pot. “

I wonder if this comment is true. However it doesn’t matter if it is or isn’t. If a large mortgage company like Fannie Mae stops backing mortgages in this area it is very likely others will take similar action.

[Aaron S]

The Fannie Mae directive is posted here :

https://www.efanniemae.com/sf/guides/ssg...9/0919.pdf

[Obie]

I had already posted their original rule:

http://www.hud.gov/offices/hsg/sfh/ref/sfh1-18i.cfm

Looks like to me they are just restating their policy or they were ignoring it during them boom and now going back to it.

[Anna]

Does anyone know if Hawaiian Beaches and Hawaiian Shores is in Lava zone 2?

Aloha, Anna
http://sudnlyaware.wordpress.com

[Obie]

quote:

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Originally posted by Anna

Does anyone know if Hawaiian Beaches and Hawaiian Shores is in Lava zone 2?

Aloha, Anna
http://sudnlyaware.wordpress.com

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Here is the map:
http://hvo.wr.usgs.gov/kilauea/hazards/main.html

It is in lava zone 2.