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Big Island The Island of Hawaii
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Old 09-17-2012, 10:25 AM
 
Location: Kahala
12,120 posts, read 17,910,958 times
Reputation: 6176

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Quote:
Originally Posted by wickedwahine View Post
Does anybody have good lines on financing? Because we have chosen Hilo sie, Mountain View/Volcano area, everything is on catchment water and VA, FHA, & USDA have all stated it is not their policy to finanve these properties. Due to the termm "non-potable" being used at some point. It is TOTALLY pootatable with proper UV filtering, but they don't care. We are 2 veterans trying to get home and even VU Hawaii has thrown up their hands! Suggestions? Mahalo in advance.
You aren't completely accurate.

The Hawaii State Department of Health has deemed water catchment systems as non-potable water with no government oversight. In turn the VA requires safe portable water. Since the State of Hawaii has made that ruling they are VA ineligble. Since the VA doesn't make the loan and they only guarantee it - the bank won't move forward without someone who will guarantee the loan.

You'll have to find a lender with more conventional financing - more money down - high credit scores.
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Old 09-17-2012, 09:29 PM
 
1,730 posts, read 3,810,823 times
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First Hawaiian Bank will loan if there is a water tank in place. But remember that you'll want to firm up an insurance company before you put in the tank, so that you meet their minimum size requirements. (No insurance = no loan.)
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Old 09-17-2012, 10:36 PM
 
Location: Volcano
12,969 posts, read 28,439,744 times
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Quote:
Originally Posted by CyberCity View Post
But remember that you'll want to firm up an insurance company before you put in the tank, so that you meet their minimum size requirements.
It's pretty simple... at least 10,000 gallons.
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Old 09-18-2012, 01:20 AM
 
1,730 posts, read 3,810,823 times
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We had a quote that only required 8,000. Not all companies are the same. Best I know, it is not regulated by law but instead by the company's own standards. One thing I learned from doing an owner-builder on Hawaii Island, much is not as simple as it should be!
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Old 09-18-2012, 04:24 AM
 
Location: Kahala
12,120 posts, read 17,910,958 times
Reputation: 6176
gosh - I hate to point out the op wanted special financing for VA loans - you can get conventional from all the banks assuming you qualify.
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Old 09-18-2012, 05:20 AM
 
Location: Volcano
12,969 posts, read 28,439,744 times
Reputation: 10759
Quote:
Originally Posted by CyberCity View Post
We had a quote that only required 8,000. Not all companies are the same. Best I know, it is not regulated by law but instead by the company's own standards.
Coupla things about that...

Howja like to put in an 8,000 gallon tank to satisfy your insurance company requirement and then try to switch to one that requires a 10,000 gallon tank? 10,000 is the typical figure.

Few people keep their tank topped up, especially if they rely on water hauling. Letting your tank run low during dry months can be a risk to fire fighting capacity.

Consult the CTAHR Rainwater Catchment Manual pg. 45 for the Fire Department recommendations about things like tank placement, brush trimming, installing a Siamese 2 1⁄2-inch National Standard thread hose fixture for a fire hose to connect to, especially if your tank walls are over 5 - 6' tall.

http://www.ctahr.hawaii.edu/oc/freepubs/pdf/rm-12.pdf

Interesting fact... if HFD drains your tank fighting a fire, they will replace the water later at no charge.
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Old 09-18-2012, 05:21 PM
 
1,730 posts, read 3,810,823 times
Reputation: 1215
Quote:
Originally Posted by OpenD View Post
Howja like to put in an 8,000 gallon tank to satisfy your insurance company requirement and then try to switch to one that requires a 10,000 gallon tank?
Yeah, we thought of that, which is why we put in a 10,000 gallon tank regardless of what the "lower" insurance company required.
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