Federal workers across the nation are facing the loss of their jobs, but Hawai‘i Community Lending (HCL) is stepping up to help ensure they do not lose their homes as well. As federal employees began receiving notice of the furloughs and layoffs, HCL Executive Director Jeff Gilbreath sent out a letter letting borrowers know that they might qualify for a forbearance that would temporarily allow them to stop making payments on their loan.
As the state’s premier nonprofit mortgage lender, HCL is designed to be there when families need help the most, from covid-related shutdowns to massive disasters like the Lahaina fires. “HCL is able to do this because we have the flexibility to make decisions about how our financial institution serves the community,” Gilbreath said. “When crises occur, we are committed to meeting our borrowers where they are at and provide the type of relief all families should expect when a crisis places our people in financial hardship through no fault of their own.”
During the forbearance period, the loans will be considered in good standing, and interest will continue to accrue. At the end of the forbearance period, HCL will extend the loan term so the monthly payments will remain the same.
Approximately 10 percent of HCL homeowners are federal employees, meaning that more than 60 families are impacted by the government shutdown. Gilbreath encourages these homeowners to contact HCL immediately. “We stand with our families, and we want to be sure you get the support you deserve from your community,” he said.
Along with relief during the federal shutdowns, HCL is collaborating on a new program with the Department of Hawaiian Home Lands (DHHL). Called the Hoʻāmana Program, this $10-million grant program is funded by DHHL and will provide grants up to $30,000 to eligible native Hawaiian homeowners. Homeowners must be at or below 80-percent area median income and reside on Hawaiian Home Lands; be in financial hardship; and need help with past due mortgage, HOA fees, property taxes, water, and other utilities.
The Hoʻāmana program opens in January 2026. “We encourage eligible homeowners to sign up on an interest list now so they can apply as soon as the program opens,” said Kahaunani Mahoe-Thoene, HCL servicing director. “Mahalo to DHHL for helping to ensure that our families make it through these difficult times without losing their homes.”
Interested homeowners may sign up to the interest list in order to apply in January: www.hawaiicommunitylending.com/hoamana/
Providing support during the government shutdown and offering grants to DHHL homeowners are just a few of the ways HCL works to be there for our native Hawaiian families.
“It is our hope that other financial institutions will also step up during this time of need to extend relief to their borrowers and homeowners,” Gilbreath said.
As a trusted financial community partner, HCL was created to fund the affordable housing ecosystem from homebuyer to homebuilder to homeowner. Working to help solve the statewide housing crisis, HCL offers products and services for local families and native Hawaiians to build, buy and save homes from foreclosure.
To apply for a loan forbearance, please call HCL at (808) 587-7656, or email servicing@hawaiicommunitylending.com. Applicants will be required to complete a loan modification request form and provide documentation confirming furlough or termination status.