H.C.R. NO.














Requesting the COunty Councils to adopt ordinances requiring that in the course of real property tax sales and other real property sales, the notice of sale include disclosure that the buyer may not be able to obtain title insurance.




     WHEREAS, nearly four-thousand single family residences are resold on Oahu every year; and


     WHEREAS, for many of those buyers and the buyers of other homes throughout the State, a property purchase represents their largest purchase and an endeavor to build equity in their most valuable asset; and


     WHEREAS, many home buyers may have purchased their property without knowing that they may not be able to obtain title insurance to protect themselves from future property loss or damage that might arise due to liens, encumbrances, lack of title insurance, or defects in the property title; and


     WHEREAS, buyers in non-judicial foreclosures and property tax sales are the most vulnerable because those sales do not have the consumer protection provided by the use of a knowledgeable realtor; and


     WHEREAS, the inability to obtain title insurance not only leaves a homeowner vulnerable to potential title disputes, it also interferes with an owner's ability to sell the property in the future; now, therefore,


     BE IT RESOLVED by the House of Representatives of the Thirtieth Legislature of the State of Hawaii, Regular Session of 2019, the Senate concurring, that each county council is requested to adopt an ordinance requiring that each real property tax sale transaction and other transactions for the sale of real property include in the notice of sale a disclosure of any material fact known to the seller that, if known to the buyer, would likely prevent the buyer from obtaining title insurance for the purchased property and a disclosure that the seller does not guarantee that the buyer will be able to obtain title insurance for the property; and


     BE IT FURTHER RESOLVED that certified copies of this Concurrent Resolution be transmitted to the mayor of each county and chairperson of each county council.









Report Title:

Title Insurance; Real Property Purchase; Ordinance; Counties; County Councils