One year after the wildfire, HUD is extending the relief timeline for those rebuilding homes on Maui
The U.S. Department of Housing and Urban Development (HUD) and the Federal Housing Administration (FHA) on Thursday announced an expansion of relief measures for homeowners on the Hawaiian island of Maui who want to rebuild single-family homes after the devastating wildfire that destroyed the city of Lahaina.
This week marks the one-year anniversary of the fire, and federal regulators are making new help available immediately.
“Effective immediately, eligible borrowers and renters in Maui County who have lost their homes and are in the process of rebuilding or purchasing another home can continue to take advantage of the 203(h) Mortgage Insurance for Disaster Victims program FHA to receive up to 100% financing. ” announced HUD.
Coinciding with the announcement was an FHA announcement of a temporary partial waiver for the 203(h) program. This expands a requirement for affected Maui residents that typically “requires that an FHA case number be assigned within one year of the Presidential Declared Major Disaster Area (PDMDA) declaration.”
FHA explained that the unique circumstances of the situation on Maui, coupled with its isolation from the U.S. mainland, made such relief necessary.
“Due to Maui’s unique geographic location, which complicates recovery efforts, and the sheer scale of the devastation caused by the wildfires, [HUD] has partially waived the one-year requirement,” the notice said.
“Mortgages through FHA’s 203(h) Mortgage Insurance for Disaster Victims Program for borrowers affected by the Hawaii Wildfires disaster are eligible for insurance if the application for insurance is submitted within the waiver period, which expires on August 10, 2025,” according to to the waiver, which was signed by FHA Commissioner Julia Gordon and adds an additional year of eligibility.
Moreover, the White House outlined the Biden-Harris administration’s priorities for “continued long-term recovery efforts, including moving residents from temporary shelters to longer-term housing solutions, supporting home reconstruction efforts, and ensuring that new homes are climate resilient so families can stay safe as climate change-induced extreme weather events become increasingly common,” HUD’s announcement said.
HUD Acting Secretary Adrianne Todman said the aid is necessary to “provide support to homeowners to ensure they can rebuild and remain on Maui,” she explained.
Late last week, more than 10,000 victims of the disaster – including homeowners, businesses and other individuals – were awarded a $4 billion class action settlement by seven defendants: the State of Hawaii, the County of Maui, Hawaiian electricKamehameha Schools, West Maui Land Co., Hawaiian telecom And Spectrum/charter communications.
