VA Loan Amounts for Conforming Loans on Oahu Back Up!

VA Lenders on Oahu and many of our VA Buyers are pleased now that the U.S. Department of Veterans Affairs (VA) has announced that conforming VA Loan amounts in Hawaii are back up where they should be.

The VA had lowered the conforming loan upper limit for 2014 to $625,000, which did not make sense, given the high cost of real estate on Oahu and other areas of Hawaii.  This change was also a significant drop from the prior 2013 Hawaii VA loan limit on Oahu of $750,000, in the face of rising housing costs in Hawaii.

After appeals, the VA has raised the conforming loan upper limit to $721,050 for Oahu (Honolulu County).

Other VA Loan Limits in Hawaii, by County, are as follows:

Honolulu County $721,050
Kauai County $713,000
Maui County $657,800
Kalawao County $657,800
Hawaii County $625,500

Note that VA jumbo loans are still available up to $1,000,000, with a down payment of 25% of the difference between the conforming loan upper limit and the purchase price..

According to the Hawaii Association of REALTORS®, it’s extremely difficult for Hawaii residents to gather together enough money for a down payment due to our high cost of living and high home prices.  For many, the VA loan is the only way they can purchase a home.   Many of our active duty, reserve and national guard members purchase homes using no down VA loans.  Last year, more than 5,000 families in Hawai’i relied on VA loan guarantees.