Posted on: Friday, June 14, 2002

Grants to provide housing assistance

Advertiser Staff

The U.S. Department of Housing and Urban Development yesterday announced two new programs aimed at making housing more affordable to Native Hawaiians.

Under the Housing and Community Development Act of 1974, $9.6 million in block grant money will be available this year to help the Department of Hawaiian Home Lands develop affordable housing projects. The program has been available to American Indians and Alaska natives since 1996.

HUD assistant secretary Michael Liu said the block grant can be used for a variety of purposes, including construction and renovation of affordable housing, down payment and closing-cost assistance, housing counseling, payments to prevent foreclosures, and tenant-based rental assistance. Liu said nearly half of Native Hawaiians are facing housing problems.

The second program will provide $1 million in federal loan guarantees to enable Native Hawaiians to tap a variety of mortgage financing programs. Liu said the $1 million is expected to leverage up to $40 million in mortgage financing and help low-income Native Hawaiians become homeowners.

U.S. Rep. Neil Abercrombie, D-Hawai'i, praised the two programs. "We're taking a big step forward in redeeming the promise of the original Hawaiian Homes Commission Act," he said.