Did You Lose Your Home in Hawaii? You Might Be Owed Money—Here’s How to Find Out
Losing your home to foreclosure is devastating—both emotionally and financially. What many Hawaii residents don’t realize is that the financial blow might not be as severe as they think. In fact, you could have thousands of dollars waiting for you in the form of surplus funds.
What Are Surplus Funds?
When a home is foreclosed and sold at auction, it’s often sold for more than what was owed on the mortgage plus related fees. This extra money is called “surplus funds,” and by law, it belongs to the former homeowner.
Here’s a simple example: Let’s say you owed $300,000 on your mortgage when your home was foreclosed. If your property sold at auction for $400,000, after the bank recovers what you owed plus foreclosure costs, you could be entitled to claim the remaining balance—potentially tens of thousands of dollars.
The problem? Most people never claim this money because they simply don’t know it exists.
Why Hawaii Homeowners Are Missing Out
The foreclosure process in Hawaii is already complicated, and most homeowners are focused on finding new housing and rebuilding their lives after losing their homes. The last thing on their minds is checking if there’s money left over from the foreclosure sale.
Additionally, Hawaii’s unique property laws and the complexity of the foreclosure process mean many former homeowners don’t receive proper notification about potential surplus funds. These funds then sit unclaimed, sometimes for years.
How Much Money Could Be Waiting?
With Hawaii’s real estate market being one of the most expensive in the nation, surplus funds can be substantial. We’ve seen cases where former homeowners were owed anywhere from $5,000 to over $100,000.
The amount varies depending on several factors:
- The final sale price of your property
- How much you owed on your mortgage
- Additional liens or judgments against the property
- Fees associated with the foreclosure and sale
In today’s market, where many Hawaii properties have appreciated significantly since they were purchased, the likelihood of surplus funds existing after a foreclosure is higher than ever.
How to Find Out If You’re Owed Money
1. Check the Judicial Foreclosure Records
If your home went through a judicial foreclosure (through the court system), you can search court records to find information about the sale of your property and any surplus funds.
Visit the Hawaii State Judiciary website or the courthouse in the county where your property was located. Look for the case number associated with your foreclosure and request the documents related to the sale.
2. Contact the Commissioner Who Handled the Sale
In judicial foreclosures, a commissioner is appointed to handle the sale. This person would have information about the sale price and what happened to any excess funds.
3. Check Hawaii’s Unclaimed Property Division
If surplus funds weren’t claimed immediately, they may have been transferred to Hawaii’s Unclaimed Property Division after a certain period.
Visit the Hawaii Unclaimed Property website and search your name to see if any funds are listed under your name.
4. Reach Out to a Trusted Professional
The process of identifying and claiming surplus funds can be complex. Working with a reputable asset recovery company like Integrity Property Locators can make the process much easier and increase your chances of success.
Common Assistance Programs for Hawaii Homeowners
While surplus funds from foreclosure sales are one potential source of money, there are several other programs that might help if you’ve lost your home:
O’ahu Homeowner Assistance Fund
This program offers up to $60,000 for eligible mortgage and qualified housing expenses, including arrears dating back to the COVID-19 pandemic. To qualify, you must:
- Be an O’ahu resident
- Be 18 or older
- Be a homeowner with income at or below 150% of HUD guidelines
- Show financial hardship associated with the pandemic
Maui County Homeowners Assistance Fund
Similar to the O’ahu program, this fund provides up to $60,000 for mortgage assistance specifically for Maui County residents facing financial hardship.
Insurance Affordability Assistance Pilot Program
This state-administered program helps eligible homeowners deal with unexpected increases in property insurance premiums, providing financial relief through a state fund.
The Process of Recovering Surplus Funds
If you discover you’re entitled to surplus funds, here’s what the recovery process typically looks like:
- Verification: First, you’ll need to verify the existence and amount of surplus funds from your foreclosure.
- Documentation: Gather necessary documentation proving your identity and ownership of the foreclosed property.
- Filing a Claim: Submit a formal claim to the appropriate entity holding the funds. This might be the court, the county, or Hawaii’s Unclaimed Property Division.
- Review Process: Your claim will be reviewed to ensure you’re the rightful recipient of the funds.
- Distribution: If approved, the funds will be distributed to you, typically via check or direct deposit.
The timeline for this process varies but can take anywhere from a few weeks to several months, depending on the complexity of your case and which entity is holding the funds.
Red Flags and Scams to Watch Out For
Unfortunately, where there’s money to be claimed, there are scammers looking to take advantage. Be wary of:
- Companies demanding large upfront fees
- Businesses that contact you out of the blue claiming they’ve found money for you
- Anyone pressuring you to sign documents immediately
- Offers that seem too good to be true
Legitimate asset recovery companies like Integrity Property Locators will be transparent about their process and fees, and will never pressure you into making quick decisions.
How Integrity Property Locators Can Help
At Integrity Property Locators, we specialize in helping former homeowners in Hawaii recover surplus funds they didn’t know they were entitled to. Our process is simple:
- Free Assessment: We’ll check if you’re owed surplus funds at no cost to you.
- Transparent Process: We explain exactly what we found and how we can help you claim it.
- Expert Handling: Our team manages all the paperwork, court filings, and follow-up needed to secure your funds.
- No Recovery, No Fee: You only pay if we successfully recover money for you.
Real Success Stories from Hawaii
While respecting client privacy, we’ve helped numerous Hawaii residents recover substantial sums:
- A family from Kailua who recovered $47,000 three years after losing their home
- A Maui resident who found out he was owed $28,500 from a foreclosure that happened in 2018
- A couple from the Big Island who used their recovered $63,000 to make a down payment on a new home
These real examples show that not only is recovery possible, but it can be life-changing for those who’ve gone through the hardship of foreclosure.
Take Action Today
If you’ve lost your home to foreclosure in Hawaii, don’t assume that chapter is completely closed. You might have money waiting for you that could help you rebuild your financial future.
Here’s what to do:
- Gather Information: Collect any documents related to your foreclosure, including the property address, approximate date of foreclosure, and the lender’s name.
- Research: Check court records or the Hawaii Unclaimed Property website.
- Get Expert Help: Contact a reputable asset recovery company like Integrity Property Locators to do the heavy lifting for you.
- Stay Vigilant: Be aware of scams and only work with trusted professionals.
The path to financial recovery after losing your home can be challenging, but discovering and claiming surplus funds might be an important step toward rebuilding. You have nothing to lose by checking if you’re owed money, and potentially thousands to gain.
Ready to find out if you have money waiting? Contact us for a free, no-obligation assessment. Our team at Integrity Property Locators is ready to help you discover what might be rightfully yours.
Recovering what you’re owed isn’t just about the money—it’s about closure, justice, and the chance to move forward with the resources you deserve.
