Haw. Rev. Stat. § 201H § 201H-181
Rent-to-own program.
Operative Text
(a) The corporation may establish a rent-to-own program under which dwelling units that are for sale may be rented to program participants. Under this program, the corporation shall credit a portion of the rent received toward the purchase of the unit. (b) The sales price shall be established at the beginning of the rental term and shall remain fixed for the first five years after the rental agreement is executed. During this period, the participant shall have the option of purchasing the unit at the designated sales price. If the participant does not elect to purchase the unit within the five-year period, the renter shall forfeit the right to continue living in the unit and the unit shall be made available to another purchaser or renter. (c) The corporation shall have the right to reestablish the sales price upon expiration of the option period or upon resale of the unit. [L 2006, c 180, pt of §4]
Hawaii Revised Statutes § 201H-181 establishes a framework under which the Hawaii Housing Finance and Development Corporation may create a rent-to-own program for eligible dwelling units. Under this arrangement, a portion of each rent payment is credited toward the eventual purchase price of the unit, and that purchase price is locked in for the first five years of the rental agreement. If a participant does not exercise the purchase option within that five-year window, they lose both the right to remain in the unit and any accumulated purchase credits, and the unit becomes available to others.
Plain English — not legal advice.
As the administering body under § 201H-181, the corporation sets the sales price at the outset of each rental agreement and ensures that price remains fixed throughout the five-year option period. Compliant program administration involves accurately tracking and crediting the designated portion of rent payments toward each participant's purchase balance, and clearly communicating the option deadline and forfeiture consequences to participants. Upon expiration of the option period or a subsequent resale, the corporation is authorized to reestablish the sales price for the next eligible participant.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
Section § 201H-181 gives program participants a legally protected option to purchase their unit at a price that cannot change for the first five years of their rental agreement, with a portion of their rent building toward that purchase. Participants who are considering whether to exercise the purchase option should be aware that failing to do so within the five-year period results in forfeiture of both the purchase right and continued occupancy. Tenants seeking to understand their specific rights or the credit calculation process may wish to contact the Hawaii Housing Finance and Development Corporation directly or consult a tenant-rights organization familiar with Hawaii's affordable housing programs.
General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.
Generated October 23, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.
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