Ka‘uluokaha‘i Project Lease Financial Assessment Workshop

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Meet Our Financial Assessment Team

Frequently Asked Questions

Why are beneficiaries asked to complete a financial assessment?

• The financial assessment helps the Department of Hawaiian Home Lands (DHHL) and its developer understand what type of home the lessees can afford and allows them to plan and build homes that match the needs of the families who will live in them. 

Why do I have to do a financial assessment if I was already pre-qualified? 

• The pre-qualification letter that you submitted back in the summer of 2025 was for EKII-C. A mortgage pre-qualification is typically good for 30- to 90-days. Pre-qualifications expire because lenders want current information on: 
  • Credit score 
  • Income and employment 
  • Debt levels 
  • Interest rates and loan programs 

Pre-qualification is a snapshot in time. Income, debts, or interest rates may have changed since your pre-qualification letter. The financial assessment gives us a current and complete picture so DHHL can match you with the right type of home.

I was told that my pre-qualification can go to the next increment. I don’t understand why I need to do a financial assessment if I’m already pre-qualified. 

• Pre-qualification is only an initial estimate based on limited information. Even if you’re already prequalified, a financial assessment is needed to move to the next increment because it provides more detailed and accurate data. This information helps the developer understand buyers’ true purchasing capacity so they can plan and structure the community appropriately — such as deciding what types of homes to build, price ranges, and overall design. The assessment isn’t about questioning your pre-qualification; it’s about ensuring the data used for planning is reliable and reflective of real demand.

I’m on a fixed income, so I don’t think I can qualify for a loan. Why should I do this? 

• We encourage everyone to complete the assessment, especially kupuna and those on a fixed income. When we have this information, DHHL can look at different housing pathways, not just one. Being on a fixed income does not disqualify you. The assessment helps DHHL slow down, look carefully, and find the right path for your family. 

My credit is bad. I made mistakes years ago. I don’t even want to open that door again.

• Credit tells a story, but it’s not the wholestory. We see people who had medical bills, divorce, job loss, or who helped family and fell behind. That doesn’t mean DHHL gives up on you. Our programs are designed to work withpeople where they are. Sometimes it means repair over time. Sometimes it means a different housing option like rent-with-option-to-purchase. What matters is that we know your situation so we don’t close doors that could stay open. 

Why do you need information for everyone in the household if I’m the only one on the loan? Can you explain this in simple terms? 

• This helps DHHL plan the home and the community – water, utilities, parking, and schools depend on who lives there.

What if I’m unsure who will live with me in the future home? 

• That’s okay. You can list likely occupants and update later if things change. It’s better to plan conservatively. We just ask for your best estimate.

If I add more people, does that mean I get a bigger house? 

• Sometimes adding too many people may limit certain financing opportunities. Larger homes mean higher costs, which can limit financing options. We want to balance space with affordability so the home remains comfortable financially.

Can my non-Hawaiian spouse be on the loan? 

• Yes. Lease eligibility is separate; financing can include your spouse. 

I deferred this project. Why do I still need to do the assessment?

• Even if deferring, completing the assessment helps us design homes that fit the real needs of the people waiting – size, cost, and type. 

Will I be offered another project? Can I transfer to another project? 

• Your current lease is for Ka‘uluokaha‘i II-D, II-E, and II-F. It cannot be transferred to another project.

What if I want Hawai‘i Kai? 

• You may rescind your lease. If approved by the Hawaiian Homes Commission, you go back onto the waitlist based on your original application date. No guarantee exists.

How much will the house cost? 

• We don’t have final numbers yet. The assessment helps us estimate ranges so homes stay affordable.

Can I submit after the deadline?  

• Deadlines help us move projects forward. Missing them may limit options.

What if I don’t do the assessment?  

• If we don’t know what you can afford, we can’t build a home that meets your needs.

I only want a vacant lot or self-help. Why do I still need a financial assessment? 

• Even when you choose a vacant lot, you still need to qualify for a construction loan. That usually means having about a 20% down payment and the income to support the loan while the home is being built. For self-help, it’s similar. Even though you’re helping build the home, you still must qualify financially. The assessment protects you from starting something that becomes too heavy later.

Who sees my information? 

• Only authorized DHHL staff and trusted partners. Your information is kept confidential.

We’re planning to transfer later.

• Until a transfer is approved, the current lessee remains responsible. Completing the assessment helps avoid delays and keeps options open.