Lava Zone 2 mortgages are available through Big Island Mortgages. Apply Now. USGS defines Lava Zone 2: “Areas adjacent to and downslope of active rift zones.” These areas are also hazardous, but somewhat less so, because it takes some time for lava from Zone 1 to reach Zone 2. However, many lenders and insurers will not lend nor insure in these areas. Good news is, we lend there and we have insurance partners who can provide the right policy for your home. Here is some more info from USGS regarding Lava Zone 2.

Lava Zone 2 insurance questions? Contact Kimberli Sakamoto.

We offer several ways to buy your Hawaii home.

Primary Residence:  $150,000 – $2,000,000. Options include Full Document Conventional and Bank Statement Qualifier.

USDA and FHA no longer lend in Lava Zone 2.

Investment: $150,000 – $922,000. Options include Full Document Conventional and DSCR Cash Flow.

VA Lava Zone 1 and 2 purchases are available for veterans. Lava Zone IRRLs are also available for Veterans refinancing their primary residence.

Vacant Land You may finance vacant land in all lava zones. Buy and hold with terms of 10, 15 and 20 years.

If you’d like to get prequalified for a Lava Zone 2 mortgage, Apply Now.

Here’s a few shared experiences and tips:

Tip: “I love the climate here. Most evenings are pleasantly cool, you might even need a light sweater.”

Elton: “I knew when I saw my property that it was the one for me, but it’s not easy purchasing a house on an active Volcano. Douglas helped keep the process moving along. Don’t give up on finding your little slice of peace and quiet here in Hawaii. ”

Tip: “Be sure the catchment tank is sound and rust free, lol. Those corrugated panels are fairly thin. Also, be sure there is an overflow on the tank. Leaf guards for the gutters is super important too!”

Cambras: “We are beyond happy to have purchased our family home here in Ocean View. With a large front yard & fenced property of 3 acres, there is nothing to complain about! Our young keiki enjoy the property & make endless memories together. When you are ready to purchase a home for your family to grow with, DO IT! Even when in doubt that it’s not possible, JUST GO FOR IT! We never thought this was possible for us. We did it, & our family LOVES our home!”

Tip: “Verify there is reliable high speed internet available. www.alohabroadband.com

Heidi: “We are very happy with our home. We took a risk and bought it sight unseen, and it needed a lot of work to clean it up. I would not recommend that, but the value of our home increased a lot as a result and it cleaned up beautifully! We are very happy with our home and its beautiful view of the ocean. We sometime worry about living in lava zone 2, so we keep a “bug out bag” just in case, but it’s totally worth it. It is such a beautiful area to live with beautiful people.”

Tip: “Follow your 2-2-2 plan and get pre-approved. Be sure to have a sufficient amount of matured savings or whatever you call it.  If buying sight unseen, find a realtor like Lizanne Caravalho that lives in the community. If a buyer has the opportunity, there are a few places in the area that can be rented and that would provide a realistic (living in the area) experience.”

Big Island Mortgages by Doug Mallardi
(808) 333-4341 doug@bigislandmortgages.com
Start an online loan application, click here.
Schedule an appointment, click here.
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