Its part of a standard, conforming loan (i.e.

In short, you get some benefit/flexibility with the hloc, but you carry the risk because of the variable interest rate and you pay for the benefit since the rate is probably higher than a conforming fixed rate loan.Also, with covid, I think they stopped 1st position hloc's. 

The Federal Govt provides the liquidity to the residential lending industry via these quasi gov't organizations buying "conforming loans?" 

To my understanding, its just a "regular conforming loan," except you close on the loan after you close on the property, within 6 months. 

Here is one thread about it.https://www.biggerpockets.com/...Since its a conforming loan, there is little "risk" to it nor extra fees to my knowledge. 

There are properties outside of Waikiki that can be legally used at STR's and these properties have non-conforming use permits (NUC's).  

Yes, it will have more paperwork, but all conforming loans do, and the conventionals have the least of the bunch. 

then you can go for a variance or non conforming use hearing and see how they react.but if the Major actually called you..

@Kirk HauseThose are going to be non-conforming loans. 

Add the non conforming zoning and it just complicates the situation.