The Office of the Governor oversees over 150 boards and commissions that are established by the state constitution, state statutes, or executive orders. Boards and commissions are designed to get input from a broad cross section of Hawaii’s residents, and consequently, the majority of members are volunteers. These boards and commissions include the state Real Estate Commission, state Land Use Commission, the University of Hawai‘i Board of Regents, the Stadium Authority, Aloha Tower Development Corporation, and many others. > Read the List of Boards & Commissions PDF >>
Clarifying the Seller’s Real Property Disclosure Law
Making the prohibition of Private Transfer Fees permanent
Senate Bill 502 establishes a uniform standard for disclosure for condominium projects, cooperative housing corporations, and other community associations and clarifies the types of documents that are required to be disclosed. Requires the disclosure of documents within ten days after the title report is received. Also, it allows for the electronic receipt of documents with the buyer’s consent.
Senate Bill 1166 and House Bill 935 increases the Conveyance Tax on certain real estate transactions and directs an additional ten per cent of Conveyance Tax proceeds to the Natural Area Reserve Fund for watershed protection and invasive species control. The conveyance tax rates were increased in 2005 and once again in 2009. HAR believes that while watershed protection may have value, the conveyance tax increases will again increase the already high cost of housing, living and doing business in Hawai‘i. > View Testimony
HAR has historically supported the expansion of Hula Mae Single Family mortgage loan program and Senate Bill 1025 will allow for broader program participation and adds a downpayment assistance program as a feature. Hula Mae Single Family mortgage loan program which will help promote homeownership for Hawaii’s working families.
HAR supports Senate Bill 328 which permits a landlord to hold a tenant’s security deposit for the purpose of paying for damages caused by a pet animal residing in the premises. Authorizes a landlord as a condition of a rental agreement to add to the security deposit an amount for a pet animal to reside in the premises; provided that no landlord shall require any additional security deposit amount for an assistance animal that is a reasonable accommodation for a tenant with a disability. Effective for rental agreements entered into on or after 11/01/2013. > View Testimony
House Bill 676 and Senate Bill 805 prohibits discrimination in real property transactions based on lawful source of income. The House Committee on Consumer Protection and Commerce passed the bill with amendments. > View Testimony
“Home sales volume and prices are poised to keep improving over the next two years, outpacing growth in the broader economy, but look for moderate inflation to appear starting in 2015, making it harder for today’s renters to become home owners, NAR Chief Economist Lawrence Yun told thousands of REALTORS® in a residential economic update.
Yun is forecasting 4.64 million home sales this year, 5.05 million next year, and 5.3 million in 2014. Home price appreciation will see a similar positive upward trend, with the median existing-home price reaching $176,000 at the end of this year, $185,000 next year, and $195,000 in 2014. By 2015, the national median home price is expected to have risen by 15 percent from today’s level.
Contributing to the growth are the slowly improving economy, job creation, and an increase in household formation after a hiatus during the downturn, Yun said. Rising rental rates are also contributing, as renters who are able to get financing in today’s tight credit market find it makes more financial sense to buy while home prices remain relatively affordable.
But inflation could pose a problem starting two years down the road, Yun said. Although inflation has remained tame today – at about 2 percent per year – starting in 2015 it could jump to between 4 and 6 percent a year. That will be a short-term boon to home owners, but that would make home ownership harder for the growing number of renters today who aspire to buy. Not only would prices rise, but mortgage rates would go up as well.
The continuing federal deficit is a big reason inflation could jump in the future. But another cause might be the Federal Reserve buying mortgage-backed securities to help keep rates low. At some point soon, the Fed will have to start unwinding its position. When it does, interest rates and inflation will rise. Rental rates are expected to keep heading up as well, and that’s the biggest part of the Consumer Price Index.”
In the latest economic forecast released by First Hawaiian Bank, Edition 2012-2013, Hawaii’s tourism industry continues to be robust while other economic sectors are getting brighter. That is the highlight of the annual forecast by First Hawaiian Bank. From job growth, unemployment rate, inflation, personal income, and real estate, the forecast provides an analysis on various industries that are important to Hawaii’s residents, business sectors, and communities.
Residents of more than 900 communities are about to find it more difficult to obtain mortgage loans. On September 30th, the Rural Housing Service will implement the 2010 census data which shows population increases that would make many current areas ineligible for rural housing programs. Yet given tight credit markets, it is unlikely the residents of these communities have seen increases in access to traditional conventional mortgages.
Congress has grandfathered communities under this program routinely since 1980. NAR is working with members of the House and Senate to find a solution again this year. Congressmen Jeff Fortenberry (R-NE) and Ruben Hinojosa (D-TX) are asking their colleagues to sign a letter to House Leadership asking them to maintain the availability of this program in these communities as part of any legislation moving before September 30, 2012. Please be sure to mention this issue to your Member of Congress if this provision impacts you. Below is a link to a background paper, the Congressional letter, and list of the impacted communities.
Hawaii communities being affected include Ewa Beach, Ewa Gentry, Hilo, Kapolei, Kihei, Makakilo, Nanakuli, Royal Kunia, and Waianae. The Hawaii Association of REALTORS® and REALTOR® legislative liaisons will be contacting our Members of Congress on this crucial program affecting our communities.
Act 326, Session Laws of Hawaii, requires operators of transient accommodations to do the following:
- Designate a local contact residing on the same island as the transient accommodation.
- Provide the local contact’s contact information to any entity with covenants, bylaws or administrative provisions operational with respect to the property on which the transient accommodation exists (e.g., an association of apartment owners). Such information must be updated within 60 days of any change.
- Include the local contact’s name and phone number in any contract or written rental agreement.
- Provide on a website or by online link and display in all advertisements and solicitations on websites the registration identification number issued under HRS § 237D-4. This registration identification number is also sometimes referred to as the TAT tax license number. Please also note that for some taxpayers the TAT tax license number may contain a different suffix from the taxpayer’s GET tax license number.
The DoTax has provided guidelines on the new law, including a transition period to comply with the new law. Read the full announcement.