Haw. Code R. § 15-308-86 - Waiver by corporation of right to repurchase

(a) The corporation may waive the right to repurchase set forth in section 201H-47, HRS, if:

(1) The owner wishes to transfer title to the dwelling unit by devise or through the laws of descent to the owner's spouse, child, parent, or sibling and the devisee or heir is otherwise eligible to purchase such a dwelling unit under this chapter;

(2) The purchaser wishes to transfer title to the dwelling unit to the co-owner or a household member who meets the eligibility requirements; or

(3) One of the following conditions exist:

(A) The waiver will not result in the owner being able to sell the dwelling unit for a substantial profit nor promote speculative purchasing or selling of dwelling units to which this subchapter applies and the dwelling unit is sold to a person who is a qualified resident and the owner pays the corporation its percentage share of the net appreciation, if applicable; or

(B) Fiscal considerations will not allow repurchase of the dwelling unit.

(b) If the corporation waives its right to repurchase a dwelling unit pursuant to section 201H-47(a)(1), HRS, then the dwelling unit may be transferred by the owner and the restrictions provided for in sections 201H-47 through 201H-51, HRS, shall then be reinstated in any subsequent conveyance. In the event the restrictions are waived, the corporation shall inform the owner of the waiver in writing and the owner, at the owner's expense, shall draft and record such instruments as are necessary to make the waiver effective.

(c) If the corporation waives its right to repurchase a dwelling unit due to construction litigation, then the dwelling unit may be rented by the owner as provided for in subchapter 7.

Notes

Haw. Code R. § 15-308-86

[Eff 1/15/2022] (Auth: HRS § 201H-4) (Imp: HRS §§ 201H-47, 201H-49, 201H-50, 201H-51) Am and comp 12/10/2022