How Hawaii HomeOwnership Center Helps First-Time Homebuyers and Homeowners with Reina Miyamoto

Interview Transcription

ADRIENNE:
Welcome back and thanks for listening to the Team Lally Real Estate show home of the guaranteed sold program or will buy it. I’m Adrienne, I’m Attilio. And if you have any questions, just give us a call at 7999596 or check us out at Teamlally.com.

ATTILIO:
Well, hey, our guest today was born and raised in Honolulu and after graduating from college she found that she had a passion for mission driven work. And she has been in the nonprofit sector for most of her career.

ADRIENNE:
She’s been with the Hawaii Homeownership Center for 16 years and is still committed and passionate about the work they do and to their program expansion over the years. Please welcome our guest, Executive Director of Hawaii Homeownership Center, Reina Miyamoto.

ATTILIO:
Welcome, Reina.

REINA:

Thank you. Welcome. Thank you for invitation.

ATTILIO:

Ya know, we’ve had you on the show quite a few times. And hopefully, it’s been helpful to some listeners out there that are maybe helped you help them. I’m confident you have or been introduced to these people by another realtor or somebody hearing the show that, hey, there’s myths to homeownership. And you are the mythbuster.

ADRIENNE:
That’s right.

REINA:
So definitely thank you for the outreach opportunity.

ATTILIO:

Yeah. Well, first off, do you want to give us an overview of the HHOC program?

REINA:

Sure. So the white Homeownership Center is about supporting folks in Hawaii to get into homeownership. And the first part is about preparation. So understanding or getting ready for the buying process. We have classes that talks about money management and credit in the context of qualifying for financing, what actually happens during the buying process with the loan officer, realtor, homeowners insurance and escrow, then we also offer individual coaching, so coaching to get ready for homeownership. So it’s actually taking the class concepts and applying it to their personal situation. So it’s confidential, it’s applicable to not just the current situation, but when they kind of fast forward the tape in terms of what their future will be. Then even after they buy a home, we offer post purchase services, whether it’s classes or coaching for folks who are actually homeowners to talk about their concerns, as homeowners. So we wrap that up in a lifetime membership of services. Awesome.

ADRIENNE:
Wow, that’s a whole lot of value. That must be very expensive to, to sign up for.

REINA:
I don’t think so our lifetime membership is $60, six zero per buying units. So if I’m buying by myself, it would be $60. Or if I’m buying with, you know, five of my brothers and sisters, it’s still 60 that covers this one time. And actually, if folks are listening to the show, right now, if there’s a referral to our program, by a Honolulu Board of Realtors members, which both of you are, it’s $50 off the membership fee. So it’s only $10. Yeah,

ADRIENNE:
so mention either my name or Attilio’s name, and they’re gonna get $50 off.

ATTILIO: 
Correct. So $10 That’s like one candy bar at the movies for all that value, or all that value? That’s true. Yeah. So skip the sneakers at the next movie you go to and go get educated on the home buying process. Simple.

ADRIENNE: 
And I know that, um, you know, after COVID, how come you guys, you know, offered a lot more classes online. So are you guys still? Is it mainly on Zoom? Or is it in person or combination? How are you guys holding these? These classes? Yeah, what’s

ATTILIO: 
the format? Oh, good

REINA:

question. We currently are offering live classes by zoom. We’ve kind of gone with the whole hybrid options where people could come in. And apparently people like taking classes online at home. So you don’t have to commute, you don’t have to worry about childcare. So we continue to do that. We do have a self paced option also where it’s not a live instructor. We haven’t they can log in and out of an online platform. But they conclude after they finish that course with a conversation with one of our staff to make sure that they get all the local information that we think is important for them to buy a home here in Hawaii. They have a couple options.

ADRIENNE: 
So Reina, before we brought you on, we had one of our lenders, we’re talking about your first time homebuyer loan programs. Is there anything that you can share with our listeners at the Hawaii Homeownership Center is offering as far as like the financing or grants for the first time homebuyers.

REINA: 
So Hawaii HomeOwnership Center in and of itself is not offering anything but there is a nonprofit affiliate HHOC mortgage that’s connected with the Homeownership Center. So it could be a couple other options that buyers could consider. So two of the niche products would be the downpayment assistance loan, which is a second mortgage. And to break it down for someone who’s never bought a home and might not know about for a second mortgages and why that why that matters, is normally if I don’t have a 20% down payment, which is the majority of folks, I think in Hawaii. Normally I would need mortgage insurance to make that purchase possible. And the mortgage insurance policy covers the lenders interest just in case the borrower is not able to pay their mortgage, it doesn’t protect the borrower. The borrower gets is you know the opportunity to purchase a home with low downpayment. The downpayment assistance loan allows a borrower to have two mortgages that covers up to 90% 97% of the purchase price. And because the second mortgage is there Um, mortgage insurance is not required, I can get into the weeds for anybody that wants to call me about that later. And for a 3% down payment contribution by the borrower, they can have this lower cost option in the housing payment. So this first and second mortgage compared to mortgage insurance is a lower lower cost option when you combine the monthly payment together. So that’s one. Number two is you have a different closing cost assistance loan. So it’s really meant to help provide assistance to low to moderate income buyers, to cover the closing costs and closing costs can include money to buy down their interest rate. So I won’t get into the weeds too much. But for standby, if you’re interested in talking about that, you can call me as well. But there’s opportunities to make your interest rate lower by paying extra cash during closing. So it can cover that it could also cover just basic closing costs, you know, it’s incurred by a borrower during escrow. So the deferred closing costs loan can be up to $15,000. It depends on the household size and the income of the household. And it’s deferred for 15 years or until the borrower no longer lives in a property or if they take out equity, like a home equity line of credit. And,

ADRIENNE: 
wow, that’s that’s a great program. So do you have to have have gone through any kind of classes or education to qualify for that deferral program?

REINA: 
Good question, actually, for both of the products that I talked about. Homebuyers education is required by a HUD approved counseling agency, which the Homeownership Center is designated as and then also a coaching session with one of the staff at the Homeownership Center as well.

ATTILIO:

What do you think is the common thing that people are like, wow, I didn’t know that when they when they go to your class?

REINA:

You know, I think there’s a couple of things. Most buyers don’t know how they get qualified for the loan amount that they qualified for. So that’s one, I think, number two, they don’t realize a lot of times how much their debt payments for the credit card, car loans and all that also impacts their qualification for a loan. So I think that’s one, you know, I’ve met a number of folks that said, Oh, I think that our purchase goal is within three and five years, might go to the class and say, Oh, my gosh, you can do it now. define them, you know, do the whole thing in terms of the homework shop for a lender find themselves a realtor, and they get into escrow a lot faster.

ATTILIO:

Yeah. Yeah.

ADRIENNE: 
So um, so Reina, like, I know that you guys have helped, I don’t know, probably close to 1000 homeowners, maybe more. But maybe if you could share with our listeners, you know, a story that really stands out to let’s share a success story.

REINA: 
Gosh, which one should I choose? Let’s see, I think that one of them that I’ll choose is is related to what I just talked about. So it was a married couple, you know, both worked in the education field. And you know, they came to the Homeownership Center thinking like, Oh, we’re educators but we don’t know anything about buying a home so we’re going to get educated about this process before we embark on this because is the biggest financial commitment wherever we’re going to make in our lives. They were in that bucket where they said Okay, before they took the classes, he talked to the homeownership coach and said Our goal is to buy a home in three to five years. Okay, sounds good. They talked a little bit about what that meant to them, you know, what are some of their goals beyond buying a home if there was anything to consider and they took the classes and they were there our eyes are open they thought like gosh, I think we actually could buy a home today. And you know, after meeting with some staff, our staff meeting with you know, professionals in the field, they actually managed to buy a single family home in Kalihi This is a few a while back before you know COVID And that kind of thing but it was really amazing that one they never thought they could buy a home in immediately number two, the fact that they actually bought like a home like a house was unfathomable to for them they thought guarantee they wouldn’t be able to live in town that they wouldn’t be able to buy you know, they would have to buy something much smaller. It was an older home but I mean it was a house with a yard basically is the home that they thought they’d be trading up into versus moving into immediately.

ATTILIO:

And you know, you always got some good stories and oh we what did we celebrate we went into a dinner how many years?

REINA:

Oh 20 years of service this year

ATTILIO:

20 years of service that we got to celebrate with you all thank you for inviting us and you know there was a lady there that told the story and not necessarily that story but any story that you would like to share with our listeners and how this impacts families in when they get into homeownership

REINA:

Yeah, you know her story was because I know her personally also it’s heartwarming as well too. So you know as a single parent of two teenagers at the time you know, she never thought that they’d be able to ever move out of their apartment in Kaneohe. Hey And you know, so she just, you know, took the classes at the Homeownership Center. She was a volunteer with us referred many people to our program. She just didn’t think that in terms of their their life and wanting to stay in that community that there would be other opportunities that would be affordable. Yeah. Fast forward the tape, I think it was over 10 years, where she had an opportunity to actually work with her sister to buy their family home. Her parents had passed, they had other siblings as well. They said, You know what, maybe we can get qualified to buy buy out their siblings and keep this home for our families. Yes, she was currently raising her grandson at the time and still is. So now they have the family home in their you know, between the she her and her sister. So it stays in the family. Beautiful yard beautiful home with pumpkin Kenny trees and a trampoline in the backyard to have the kid invite people over. What family memories,

ATTILIO:

it’s really nice, because we’ve had, you know, we’ve done like over 1600 transactions been doing this for 17, 18 years. And I’ll tell you, we come across quite a bit of families that say we were in this situation, mom or dad passed away, we’re in the house, and we want to keep the home. And I’ll tell you it’s very rare that the kids can qualify to keep the home and buy out the rest of the siblings. We know what happens. I think maybe, you know, we help the daughter buy a home from the mom. One time and maybe there was another one. But it’s so rare. And I’m so glad that you guys were able to facilitate that. Because what so many family,

ADRIENNE: 
I think was you know, just for being a volunteer in the classes and you know, getting ready, like she was prepared. It was prepared in order to you know, to make that, you know, that move, like financially. Yeah, so very important. Because do a great service for the community.

ATTILIO: 
Now, Reina, you’ve been doing this for so long, you know, I think I think we must have met Reina right in the beginning.

ADRIENNE: 
Well, she’s been almost almost as long as it’s been around 16 years. Yeah.

ATTILIO: 
And for you what, what keeps you wanting to get up in the morning and show up on Monday? Except, you know, maybe, unless it’s a holiday?

REINA:

Well, I think it’s so important for those who want, like an actual home of their own in Hawaii to have that opportunity. And I think a lot of I mean, so many people that dismiss it as an option before they even checked it out. So I feel compelled to make sure that you know, if you decide it’s not for you, that’s totally fine. You know, because, you know, there’s a lot of other housing options that work for different folks. Yeah, I wake up in the morning, wanting more people to have the opportunity to have the education they need to realize it’s at least check it out. One, what’s involved and number two, maybe I’m not ready today, but what what do I need to do to get ready, you know, just exactly what Adrienne talked about that. You know, when that right opportunity comes up, like buying the family home, or, you know, there’s a lottery for and affordable project that you want to buy in, you’ve already done everything that you needed to be ready to take advantage of the opportunity versus letting it cool go by and how many years coming? You know, again, yeah,

ATTILIO:

you guys are a key component to avoiding the biggest mistake that buyers make is that they start looking at homes first. And I won’t even tell him don’t even go on the internet. Get educated first on the process, because that’s the thing that’s you got to have that ducks in a row to make it happen. And why not start with that and then that way you have a number and then once you have that number, and you’ve done all the things that Reina Reina’s like homebuyer or Sarge Sergeant drill sergeant drill sergeant or whistle dropping give me drop in at 10 points to your credit score now putting stuff on a credit card

ADRIENNE: 
save $50 A week no more Starbucks yeah

ATTILIO:
Cafe mulato with the Amen or a house drop and give me 10 More points to your credit score. But anyway we joking but you make it fun and you’re passionate about it. And I think you’re helping the ninth Island to maybe stop growing right people who don’t have it was like oh, just gonna move Vegas?

ADRIENNE: 
No, no, you can stay here go to the program with Reina and her team at the Hawaii Homeownership Center. Stay here in Hawaii

ATTILIO: 
Zippy is opening up in Las Vegas. So we’re here in Hawaii.

ADRIENNE:
So Reina like I know that you know you’re the majority of the people will come to you on getting educated on the home home buying process. You guys have another program that helps owners homeowners that maybe are in trouble that you know just get in trouble with paying their mortgage they’re behind they don’t know Do let’s briefly touch on that. Yeah.

REINA: 
Yeah, we do have a foreclosure prevention counseling program. And it’s offered at no charge. Because if somebody’s having a hard time paying their mortgage, we certainly don’t want to be charging a program fee for that. Yeah. So basically, it allows homeowners to have a confidential conversation about this is where I’m at, we might ask some personal questions regarding like, mortgage statements and that sort of thing to get an assessment of, you know, what type of loan they have, and that sort of thing. But yeah, it’s really meant for them to have an eye to have somebody to talk through their options, one and then develop an action plan to help them address the situation. You know, while normally, the goal is about retaining the home keeping it but you know, to be honest, it’s really about reviewing all the options, because we have met some homeowners that said, you know, what, I think it’s time for me to let go of this property. And so you know, that we can talk that talk a little bit about what are the steps that they need to take related to that to.

ATTILIO:

Well, you said something important, you don’t charge because Adrienne and I first started in real estate back in the old 60708. And what was going on then Adrienne, there was a lot of short sale, a lot of short sales, pre foreclosure, foreclosure. Yeah. And we were we probably worked with over 350 families. I don’t know if anybody that’s even close second. So if you’re in that situation, give us a call. We can put our heads together with Reina and her organization. But I will tell you, here was the number one mistake and we we heard this time and time again. Because we didn’t they didn’t get educated in time. Where we didn’t get we they didn’t call us in time, is they would send like $3,000 to somebody that’s promised to help them stop the foreclosure. And once the check was cashed, that’s the last they heard from the organization, unfortunately, so

ADRIENNE: 
that happens a lot. So call the Hawaii Homeownership Center. Yes. Call team Lally, if you are in any kind of trouble with your mortgage, yeah,

ATTILIO: 
and we know it’s embarrassing. And here’s, you know, what, Reina here was the one thing that always said at the end of our consultations with people because Reina, would you agree like the stress levels must be through the roof?

REINA:

Oh, yeah. Yeah. And I think a lot of times people don’t want to don’t want to deal with it. So it’s just like you talked about, wait,

ATTILIO:

yeah, they’re waiting until it’s like that proverbial head in the sand, is ignore things. And this is the number one thing I tell people, the only people that get foreclosed on is the people who just stopped communicating with the banks and everything else. And or just walk away, when they could have actually had a conversation with them and gotten something worked out. But here would be the, the number one, the number one. It’s not necessarily a strategic type of advice, but more of something geared towards mental well being. Here’s what I remind everybody, and when I say this, at the end of our consultation, that sigh of relief, you can just see it just, you know, like they’re relieved, I haven’t changed the situation. But I say this one thing, I said, Hey, you guys are in a bad situation. But you’re not bad people. And when I say that, you can see it just kind of like all that stress straightaway. And then I say it again. And I say one more time until people start crying. So we always knew that we had to bring that

ADRIENNE: 
and and you know what, we’ve had clients that have come back to us they’ve recovered after being that bad situation been able to buy and then you know, more importantly, like you can always go back to the Hawaii Homeownership Center after you’ve, you know, had one of those situations and you know, just start rebuilding because I think the Hawaii Homeownership Center is a great place to restart. Yeah. So Reina, we are coming. We are coming towards the end of our show. But I want to talk about you guys have a golf tournament coming up. That’s a big fundraiser. Yes. As you guys are a nonprofit. Let’s, let’s talk a little bit about that.

REINA: 
Oh, thank you so much. We do have a golf tournament that’s scheduled at Hoakalei Country Club on August 17. And we don’t have any more team sponsorships right now. We were sold out which we’re very grateful for but we do have Yeah, yeah, it is good news. But it doesn’t mean that it closed the door other people can still sponsor this other opportunities, maybe not with a golfing opportunity. But if folks on a sponsor game on the course they you know, want to be a tea sponsor, like Team Lally. Everybody wants to be like Team Lally, right? Or do you want to donate a prize? Yeah, prizes prize for a team or, you know, a raffle we would certainly appreciate the support to because all the money raised will go to our program.

ATTILIO:

Well, what I learned about golfing is that if you stop at the beverage centers, make sure you’re going the correct way on the golf course and not to in traffic. And no, I mean, it’s a fun time you guys it’s before going there to golf, but I think everyone’s hearts are there to do good in the community. Have fun, be out in nature and

ADRIENNE: 
support the Hawaii Homeownership. Enter. You know,

ATTILIO:
we get a lot of realtors listen to the show. So hey realtors. This is the way that we as professionals within our industry, give back to our community by sponsoring Reina and her not this nonprofit organization and doing what we’ve been that people trust us to do help them get into homeownership. So go to the website, open up your checkbooks. I know the market has shifted, but we still got to stay true to helping our community. Yeah, yep. Reina, what else? Anything else before we let you go?

REINA:

No, that’s the main thing. But since you mentioned our website is hihomeownership.org

ADRIENNE: 
hihomeownership.org. All right. Thank you, Reina. Thank you. It’s always great to have you on.

REINA: 
Same here. Thank you so much. All righty. Talk to you guys later.

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