MORTGAGE FORBEARANCE

Time to revive Kona Homes’ Blog! It seems to be the easiest way to address some of today’s real estate related issues. One of the questions I am hearing from some out-of-work clients is what does Mortgage Forbearance mean.  Here is a link to an attorney’s interpretation of how the Mortgage Forbearance and CARES Act may affect you.

https://www.mangrovelegal.com/blog/caresact 

In order that it not negatively affect your credit, YOU MUST MAKE ARRANGEMENTS IN ADVANCE if you chose NOT to pay your mortgage for up to 6 months. BUT the author of the attached article is saying to approach this concept with caution. It may require you to repay all your missed payments plus the payment due at the end of 6 months. If you cannot do that it may require a modification of your loan and you might be required to “qualify” for the new payment.  Obviously if you are still out of work it could result in a huge problem as we move into the “After Corona” world. Also, The ACT only applies to government backed loans but other lenders may offer a helping hand as well.

CONTACT YOUR LENDER or the company that services your loan! One of my clients had a loan that was NOT government insured (not Fanny Mae, Freddie Mac, USDA, HUD, FHA, VA).  Since it was a portfolio loan that was held in-house by the local bank, the lender was not bound by this act to allow forbearance BUT the bank agreed to allow them to skip payments after making an acceptable loan modification up front. In the long run that was probably a better solution for all.

This also seems like a really good time to start sending out a monthly news letter with local info, real estate related Q&A and links to Monthly Sales Statisics. If you’d like to be on the email list, email Joyce@KonaHomes.NET and put NEWSLETTER in the subject line.

Malama Pono  (Take care of yourself and your family)
Joyce Murphy RB19184
Kona Homes 808-443-4302

SOLD in Hawaii, KAILUA-KONA

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•  860 sqft , 2 bath , 1 bdrm “Concrete” FOR SALE  USD324,500 .
MLS® 618215

NEW – NEW – NEW! Almost everything in this spectacular PENTHOUSE is NEW! Start with fresh paint and baseboards. Add a brand new Shaker Style white kitchen with Quartzite counters and glass backsplash. Top it off with brand new stainless appliances and stainless single bowl sink, and this is a kitchen where cooking will be a pleasure. NEW lighting throughout.NEW in the guest bath; toilet, vanity, quartzite counter, sink, faucet, corner shower with glass tile accents and modern glass enclosure, full sized front load washer and ventless dryer. NEW in the master suite: Plantation shutters, ceiling fan, vanity, sink, mirror, tile tub surround, matching faucets and rain shower head. NEW that you cannot see, plumbing behind the walls re-worked and brought to code, including new shower valves. Electric re-worked and brought to code.What’s NOT BRAND NEW? The beautiful existing tile floor, doors, floating staircase, hurricane shutters on a big covered lanai and 500sqft of private sundeck most of which CAN BE BUILT OUT FOR ADDITIONAL INTERIOR LIVING SPACE. One covered assigned parking space.BEST FEATURE? The FANTASTIC LOCATION IN THE HEART OF THE VILLAGE – Where everyday is like a vacation day! Surrounded by dozens of shops and restaurants. This is a mixed use property with commercial spaces on the first level so take elevator down to shop or have a massage. Furnishings are staging, not included in sale. No Pets. Owner is a real estate broker. Water/Sewer, Hot water, basic cable, trash pick up and reserves in monthly fee. Vacation Rental IS welcome. Tax record says 2/2 bath but there is currently one bedroom 2 baths. Sorry, no pets.

Property information

SOLD in Hawaii, KAILUA-KONA

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•  1090 sqft , 3 bath , 2 bdrm “Concrete” FOR SALE  USD449,000 .
MLS® 618162

FULLY FURNISHED PENTHOUSE – IN THE HEART OF THE VILLAGE. Across Alii Drive from the seawall in the village, with easy access to DOZENS of nearby restaurants and a sweet ocean view, this is a Kona home that will pull at your heart strings. Kona Alii Penthouse 708 in the Heart of Village is TURNKEY and MOVE IN READY! Kitchen has been nicely remodeled and expanded with wood cabinets, stainless sinks and stainless appliances. NEW CARPET is being installed. Comfortable furnishings include 2 flat screen TV’s and 2 King sized beds. Upper level has been converted to a big suite with 1/2 bath, wet bar, huge closet, sitting area and bedroom. A large upper level sundeck is the perfect place to relax and enjoy excellent ocean and mountain views. From the lower level lanai there are smaller ocean views and great city lights. Still more: Two Split System ACs, Storm Shutters on the lanai, Upgraded kitchen with Lazy Susan Corner and Hardwood cabinets, lovely Granite Counter Tops, Full Sized Stack Washer/Dryer, One Assigned Covered Parking Space, Alii Drive Gate is Closed in the evenings, Locked Lobby Doors, Community Pool has solar heat, Outdoor Grilling Area is provided, Hot Water included in condo fee. Sorry, no pets allowed. Vacation rentals welcome. Seller is Hawaii Real Estate Broker.

Property information

For Sale in Hawaii, KAILUA-KONA

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•  860 sqft , 2 bath , 2 bdrm “Concrete” – FOR SALE  USD299,000 .
MLS® 614566

THIS IS THE FIXER UPPER OF YOUR DREAMS! Put your own stamp on this 7th floor PENTHOUSE. Do you like rustic beachy comfort? Maybe retro is more your style? Does elegant exotic wood and natural stone suit you best? So easy to customize because this penthouse NEEDS EVERYTHING! No – wait – the existing ceramic tile floors are stylish and really very nice. That’s going to save the new owner a bundle.The front of Kona Alii faces Alii Drive. The ground floor has commercial units. Right across the street is the seawall where people sit to watch the sunset beyond the bay where cruise ships spend the day. Unit 707 sits in the crook of the L shaped building, on the quiet side. It has two levels with a view of the city from the lower floor and lanai. From the loft and upper sundeck you will see the sunrise across the mountains. Dozens of our favorite restaurants and shops are within easy walking distance for most people. Living in Kona Alii is like being on vacation all the time. The great room on the lower floor is currently 20 x 20 with floor to ceiling, wall to wall sliding doors to let the tropical breezes in. On that level you will also find one bedroom, two baths and laundry hook ups. On hot days you may choose to use the split system AC. Upper level is currently a small loft that opens to a huge sundeck.MORE GOOD NEWS FOR THE DESIGNER! Have you every heard of a condo that would let you build on additional room! Most of the penthouse units have already built out onto the upper floor sundeck increasing the size of the upper floor substantially. How do you want to use the space. Do you want a big office, man cave, guest room or master suite? Unless you just want to enjoy the big outdoor deck, get your plans drawn or modify the ones we have and build it out just the way you want it. AS IS – no repairs. Existing appliances included. No Pets. Owner is a licensed real estate broker. Water/Sewer, Hot water, basic cable, trash pu in monthly fee.

Property information

ABOUT LEASEHOLD PROPERTY

Some prospective buyers once had the impression that all property in Hawaii is sold Leasehold. That’s just not true. Some prospective buyers once had the impression that at some point the owners of the land would be required to sell the their interest in the property to the person who owned the Leasehold on it. That just isn’t true either.

In residential real estate on The Big Island (HAWAII) we seem to be seeing less Residential Leasehold sales as many condominiums that were originally sold with Leasehold agreements have been converted to Fee Simple.  However there are still some condos and a good many single family homes, especially on small acreage, that are only available for Leasehold purchase.

There are some advantages to a Leasehold purchase. For one thing, the price may be significantly lower. There are some disadvantages too. Financing can be a challenge and at the end of the lease the improvements may revert to the land owner. But before you can decide if it is right for you, you need is to understand the basic concepts.

Leasehold vs Fee Simple

In Bold above is a link to a “Bulletin” Title Guarantee recently released a on Leasehold vs Fee Simple property. I invite you to read their explanation. If the link becomes broken email me and I will send you a copy.

Should you elect to purchase a Residential Leasehold property Hawaii Statutes requires the seller to provide you a special Leasehold Disclosure prepared by an attorney or company specializing in lease hold property.  The report relates just to the lease you will be entering and it is required to spell out all the terms found in the Lease. It should contain definitions in what is supposed to be easy to understand terms. See Hawaii Statutes Chapter 516 and 516D for more information.

Don’t confuse the request for that report, “Residential Leasehold Property Addendum” which a real estate agent may fill out, with the report itself. Be sure you read the full Leasehold Disclosure carefully and understand all the terms!

Happy Home Shopping,
Joyce Murphy, RB
Joyce@KonaHomesInc.com