BARRIERS & CHALLENGES TO HOMEOWNERSHIP IN HAWAIʻI

THE GROWING CHALLENGE OF HOMEOWNERSHIP IN HAWAIʻI

Owning a home has become increasingly difficult. High housing costs and limited land are compounded by a broken system meant to address legitimate construction defects, which is being exploited by legal loopholes. As a result, housing costs skyrocket and critical repairs are delayed, making it even harder for families to buy, sell, and maintain their homes. Our coalition is dedicated to protecting homeowner rights and pushing for reforms that remove these barriers, ensuring that all Hawaiʻi residents have a fair and sustainable path to homeownership.

LIMITED ACCESS TO AFFORDABLE LOANS

Lending requirements and ongoing legal issues can prevent first-time buyers and veterans from securing the financing they need to purchase a home.

FAMILIES CAN’T MOVE UP THE HOUSING LADDER

Limited home-loan access means fewer people are eligible to purchase homes from families who want to sell and move to a new home.

CONSTRUCTION DEFECT LAWSUITS

Aggressive attorneys encourage homeowners to file costly and damaging lawsuits instead of resolving issues quickly. These lawsuits delay repairs and are expensive for homeowners.

VULNERABILITIES FOR NEW HOME OWNERS

Uninformed homeowners may fall victim to lawsuits that aren’t in their best interest, delaying necessary repairs and, in some cases, leaving them to cover costs out of pocket after attorney fees are deducted.

DELAYED NEW HOME CONSTRUCTION

Legal disputes stall new home construction, worsening the housing shortage in Hawaiʻi.

CONSTRUCTION DEFECT LAWSUITS – A HIDDEN THREAT TO HOUSING

HOW THE CONSTRUCTION DEFECT RESOLUTION PROCESS IS SUPPOSED TO WORK

Hawaiʻi’s construction defect resolution process was designed to encourage cooperation between homeowners and builders to quickly and fairly resolve legitimate issues related to a flaw in the design, materials, or workmanship of a home.

STEP 1: HOMEOWNER NOTIFICATION

Homeowners must notify the builder of any defects in writing, giving clear details about the issue. This step encourages transparency and encourages the builder to resolve an issue.

STEP 2: BUILDER INSPECTION & PROPOSAL

The builder has 30 days to offer a solution, such as repairing the issue or providing compensation, or they may choose to inspect the home prior to offering a solution. The goal is to resolve the problem cooperatively without legal intervention.

STEP 3: REPAIR OR RESOLUTION

Once a homeowner is satisfied with the proposed fix, the builder will repair the damage or compensate the homeowner. If the homeowner is unsatisfied, further negotiation or legal action may be considered.