News Release

First Hawaiian Bank’s First Step Home Loan Program Lowers Financial Threshold for First-time Hawaii Homebuyers

Honolulu, June 13, 2023 - First Hawaiian Bank (FHB) today announced its First Step Home Loan program for first-time homebuyers, answering a critical need when rising home prices and falling inventory presents a financial conundrum for most local people. Hawaii homebuyers face challenging financial hurdles when it comes to purchasing a home exacerbated by the rising interest rates and the state’s high cost of living. This new First Step Home Loan program makes first-time home ownership more accessible by offering:

  • a down payment requirement of only 10.01%,
  • waiving of mortgage insurance, and
  • closing costs reductions to traditional loans.

This program, offered exclusively by First Hawaiian Bank, provides more buying power and removes some barriers to entry that many Hawaii residents face.

“Homeownership is an important path to financial well-being and that opportunity should be readily available throughout our communities,” said FHB Chairman, President and Chief Executive Officer Bob Harrison. “First Hawaiian is the only local bank to offer a money-saving first-time home buyer loan program like this to help provide greater access to home ownership.”

Hawaii has the highest cost of living in the United States, nearly twice the national average, coupled with high residential real estate prices due to a lack of inventory. The Honolulu Board of Realtors reported that in May, the median price of a single-family home on Oahu was $1,109,000 and the median price of a condo on Oahu was $505,000. With these high prices, a first-time homebuyer would be looking at a 20% down payment of roughly $221,800 for a single-family home and $101,000 for a condo.

The First Step Home Loan program offers a maximum loan amount of $1,089,300, and a maximum loan-to-value ratio of 89.99%. This program is ideal for any Hawaii first-time homebuyers purchasing residential property with no prior home ownership in the last three years. To apply, go to https://www.fhb.com/en/personal/mortgage/first-step-home-loan.

“Whether it’s our First Step Home Loan program or other products such as our Priority Unlimited credit card that offer cash back benefits, we are always looking for opportunities to help our customers achieve their financial goals. We are here to help our clients navigate the impacts of local and national economic trends,” added Harrison.