Our local housing market is failing. It’s failing too many of our friends and neighbors. I can’t put it better than two friends — Jamie and Nolan — who shared this story: “Time and time again, we lost out to buyers offering $50,000 to $100,000 over asking price, often with all-cash offers. If the housing market continues on this trajectory, I do not see how our children will be able to afford to stay in Hawaii.”
That’s our current reality. Local folks can’t afford to buy homes here. Increasingly, local families can’t even afford to rent homes here. And while we do need to build more housing, only building more housing won’t fix the problem if it all goes to non-kamaaina investors. More and more, they’re the only people who can afford our homes. By the numbers, only 20% of Hawaii residents can afford to buy a home. Without action, our communities will continue to shrink as more families leave.
That’s the bad news. The good news is this is a problem people created, so it’s a problem we can solve.
One exciting part of that solution is the Kama‘aina Homes Program, an innovative approach to help local families stay in Hawaii. Based on a successful program in Vail, Colo., that has helped workers get housing in the area and stopped people from moving away, the Kama‘aina Homes Program — via House Bill 739 — just unanimously passed the state House of Representatives. It’s now in the state Senate for consideration.
Here’s how it works: The government pays people who are buying or already own homes in exchange for an agreement to ensure these homes permanently stay available for local families who work for Hawaii employers. Participation is voluntary, open to everyone regardless of income, and participants can use the money however they choose.
This means homes won’t be scooped up by outside investors or turned into vacation rentals. Instead, they’ll remain homes for people who live and work here.
A key feature of the program is its flexibility. Participants can use the funds however they choose — whether for a down payment, cesspool conversion, repairs, paying off debt, etc. This gives local families real choices and real opportunities to stay in the islands.
This model works. In addition to the program in Vail, communities in California, Idaho, Massachusetts, Wyoming and New York have used similar programs to keep homes within reach of local workers. These examples have proven this approach is cost-effective and efficient. Instead of spending billions on new construction, deed restriction programs make targeted investments to preserve existing housing for local families. Adopting this strategy in Hawaii would secure homes for local people without waiting years for new developments.
Support for this program is multifaceted and expanding. Organizations backing it so far include the Office of Hawaiian Affairs, Council for Native Hawaiian Advancement, Hawaii Community Foundation, Aloha United Way, AARP, Chamber of Commerce Hawaii, Hawaii YIMBY, Hawaii State Teachers Association, Hawaii Appleseed Center for Law & Economic Justice, Housing Hawaii’s Future, Hawaii Children’s Action Network Speaks!, Maui Chamber of Commerce, Early Childhood Action Strategy, and many others.
But we need even more community support to make this happen.
Visit KamaainaHomes.org to sign up for updates, share how this program could help your ohana, and contact your legislators. HB 739 is moving fast. Let’s act now to protect the future of our communities and ensure our workforce — blue-collar, white-collar and no-collar — can continue to live and thrive in Hawaii for generations to come.
Josh Wisch is president and executive director of Holomua Collaborative.
