Deborah Loeffler experienced the loss of her family home in Maui due to a wildfire, as well as the death of her son on the U.S. mainland. After the incident, she received unsolicited emails proposing she sell the beachfront property where her family’s wooden home had been situated since the 1940s. Loeffler described the offers as vultures preying on her vulnerability. Forced to evacuate to a hotel room in Maui, she worried that attempting to obtain distressed properties in Maui would lead to the erasure of Hawaiian culture.
Maui faced a shortage of affordable housing even before the fire, which could further drive multi-generational families away from the state as they seek affordable living options. According to U.S. Census data, the population of Native Hawaiians in Hawaii has fallen below the number living on the U.S. mainland in the last decade. Prior to being destroyed, the average home price in Lahaina, Maui was $1.1 million, three times the national average in the United States. Additionally, the median household income in Maui County is just 24% above the U.S. average, despite the area having a population that is 75% Asian, Hispanic, Native Hawaiian, or of mixed race.
Hawaii Alliance for Progressive Action (HAPA), an affordable housing advocacy group, has called for a foreclosure moratorium. They are collaborating with the state government to document unsolicited purchase offers in Lahaina, which was the capital of the kingdom of Hawaii in the 19th century before being overthrown. The Office of Consumer Protection in Hawaii has issued a warning about below-market offers being made, exploiting fears of foreclosure and costly rebuilding. Governor Josh Green has proposed a ban on land sales in Lahaina to prevent outsiders from acquiring the land.
Multiple emails have been seen by Reuters, allegedly sent by representatives of The EMortgage in Oklahoma City, promoting all-cash deals and no closing costs for homes in Lahaina. However, the emails did not contain any details about the properties. The Florida-based Cash Offer USA, which also claims to provide cash for homes, has a different website format than the one mentioned in the emails sent by The EMortgage.
Many long-term resident families who lost their homes in the fire did not have insurance due to various reasons, such as lack of mortgage or failure to meet building codes. Sterling Higa of Housing Hawaii’s Future mentioned that the ability of residents to resist property offers will depend on the type of transitional housing they receive while waiting to rebuild their homes.
Disaster response experts anticipate that temporary housing for the affected residents will consist of hotel rooms, condos, rental conversions, mobile home encampments, and potential transfers to Honolulu. Andrew Rumbach, a specialist in disasters, climate, and communities, emphasizes the importance of keeping affected residents involved in the recovery process as a means to preserve the population.
Kaliko Baker, an associate professor at the University of Hawaii, highlights the significance of protecting Hawaiian culture, questioning if the purchase of land and construction of new homes in Lahaina will include Hawaiian language schools. Alongside her husband, Loeffler intends to rebuild her family home with the insurance money received. She values the connection her grandchildren have with an island that has been home to her Japanese-German-Hawaiian family for about a century.
Overall, the wildfires in Maui have brought attention to the affordable housing crisis in Hawaii and the potential threat to Hawaiian culture posed by outside investors seeking to acquire distressed properties.
(Reporting By Andrew Hay in Taos, New Mexico, Liliana Salgado in Kaanapali, Hawaii; additional reporting by Rachel Nostrant, Daniel Trotta and Jonathan Allen; Editing by Donna Bryson and Michael Perry)
Credit: The Star : News Feed
