Short-Term Rental Regulations in Hawaii

1. What is the current status of short-term rental regulations in Hawaii?

As of November 2021, short-term rental regulations in Hawaii are quite stringent and vary by county. Here is an overview of the current status:

1. Oahu: On Oahu, short-term rentals are subject to strict regulations under Ordinance 19-18. This ordinance limits vacation rentals to specific zones, requires permits for short-term rentals, and caps the total number of permits issued. Additionally, there are restrictions on the number of units that can be rented out in a single building.

2. Maui: Maui County also has regulations in place to govern short-term rentals. These regulations include requiring permits for short-term rentals, restrictions on the number of permits issued, and zoning restrictions on where vacation rentals can operate.

3. Kauai: Kauai has its own set of regulations that govern short-term rentals. These regulations include restrictions on where vacation rentals can operate, requirements for permits, and limits on the number of permits issued.

4. Big Island: Hawaii County, also known as the Big Island, has regulations in place for short-term rentals. These regulations include zoning restrictions, permit requirements, and limitations on the number of permits issued.

Overall, Hawaii’s short-term rental regulations aim to strike a balance between allowing the practice while preserving the residential character of neighborhoods and addressing concerns such as housing affordability and community impact. It is important for individuals and property owners to familiarize themselves with the specific regulations in their respective counties to ensure compliance and avoid any potential penalties or fines.

2. Are there specific laws that regulate short-term rentals in Hawaii?

Yes, there are specific laws that regulate short-term rentals in Hawaii. In Hawaii, short-term rentals are subject to the Transient Accommodations Tax (TAT) and the General Excise Tax (GET). Operators of short-term rentals must obtain the appropriate permits and licenses from the state and comply with zoning laws and regulations set forth by the counties. Each county in Hawaii has its own regulations regarding short-term rentals, including restrictions on the number of rental days per year, requirements for on-site parking, and other operational considerations. It is important for individuals considering operating a short-term rental in Hawaii to research and understand the specific regulations that apply to their location.

1. The city and county of Honolulu, for example, has specific regulations for short-term rentals, including the requirement for operators to obtain a Nonconforming Use Certificate (NUC) in certain areas.
2. In Maui County, short-term rental operators must comply with the transient vacation rental (TVR) permitting process and adhere to strict guidelines regarding parking, noise, and occupancy limits.

3. What are the permitting requirements for operating a short-term rental in Hawaii?

In Hawaii, the permitting requirements for operating a short-term rental vary depending on the specific location within the state. However, generally speaking, individuals looking to operate a short-term rental in Hawaii must adhere to the following permitting requirements:

1. Obtain a Transient Accommodations Tax (TAT) License: This license is required for any property rented for a period of less than 180 consecutive days. It is necessary to collect and submit TAT to the state government.

2. Obtain a General Excise Tax (GET) License: This license is required for conducting business in Hawaii and includes renting out transient accommodations. GET must also be collected and submitted to the state.

3. Register for a Transient Vacation Rental (TVR) Permit: In some counties in Hawaii, particularly in Maui and Kauai, properties used as short-term rentals are required to obtain a TVR permit. This permit ensures that the property meets specific zoning and safety requirements for short-term rental operation.

Overall, it is essential for individuals interested in operating a short-term rental in Hawaii to research and comply with the specific permitting requirements set forth by the county in which the property is located. Failure to obtain the necessary permits and licenses can result in fines and penalties, so it is crucial to ensure full compliance with all regulations.

4. Are there restrictions on the number of occupants allowed in a short-term rental property in Hawaii?

Yes, there are restrictions on the number of occupants allowed in a short-term rental property in Hawaii. These restrictions vary depending on the specific regulations set forth by each county. For example:

1. In Maui County, the maximum occupancy for short-term rental properties is typically limited to two persons per bedroom plus two additional persons. This means that a two-bedroom rental could accommodate up to six guests.

2. In Honolulu, the occupancy limits are set at a maximum of two adults per bedroom, with additional restrictions on the number of children allowed.

3. In Kauai, the occupancy limits are also based on the number of bedrooms in the rental property, with restrictions on the total number of occupants allowed.

It is essential for property owners and guests to be aware of these occupancy restrictions to ensure compliance with local regulations and to avoid any potential fines or penalties.

5. What are the zoning laws pertaining to short-term rentals in Hawaii?

In Hawaii, zoning laws pertaining to short-term rentals vary depending on the specific county. Generally, short-term rentals are regulated and permitted in certain areas zoned for commercial or mixed-use purposes. These areas are typically designated for transient accommodations, such as resort districts or tourist zones, where short-term vacation rentals are allowed.

1. Honolulu County: In Oahu, short-term rentals are permitted in designated resort zones but are not allowed in residential areas without a specific permit.

2. Maui County: In Maui, short-term rentals are allowed in certain zoning districts, such as hotel, resort, and apartment districts. However, they are strictly regulated, and property owners must obtain permits to operate legally.

3. Hawaii County: In the Big Island, short-term rentals are subject to strict regulations, and there are restrictions on renting out properties for less than 30 days in residential areas. Vacation rentals are allowed in certain zones, including hotel and resort districts.

4. Kauai County: In Kauai, short-term rentals are regulated, and property owners must obtain permits to operate. Vacation rentals are permitted in certain zones, such as visitor destination areas and resorts.

It is crucial for property owners in Hawaii to familiarize themselves with the specific zoning laws and regulations in their respective counties to ensure compliance with local ordinances regarding short-term rentals. Failure to comply with these regulations can result in fines, penalties, and other legal consequences.

6. Are there any taxes or fees associated with operating a short-term rental in Hawaii?

Yes, there are various taxes and fees associated with operating a short-term rental in Hawaii. Here are some of the key ones to consider:

1. Transient Accommodation Tax (TAT): This tax applies to the gross rental income received from transient accommodations in Hawaii. The current rate is 10.25% of the gross rental income, and it is typically collected from the guest at the time of booking.

2. General Excise Tax (GET): Short-term rental operators in Hawaii are also required to pay the GET, which is a state tax on the gross income of a business. The current rate for the GET is 4.5%, but it can vary depending on the specific location and circumstances of the rental operation.

3. Property Tax: Depending on the county in which the rental property is located, there may be property taxes to be paid. These taxes are based on the assessed value of the property and can vary between counties.

4. Licensing and Permit Fees: Short-term rental operators may be required to obtain various licenses and permits to legally operate in Hawaii. These can come with associated fees that need to be paid to the relevant authorities.

5. Additional Fees: In some cases, there may be additional fees imposed by local jurisdictions or homeowner associations for operating a short-term rental property. It’s important for operators to be aware of and budget for these potential additional costs.

Overall, it’s essential for short-term rental operators in Hawaii to understand and comply with the various taxes and fees associated with their business to avoid any penalties or legal issues.

7. What are the penalties for operating an illegal short-term rental in Hawaii?

Operating an illegal short-term rental in Hawaii can result in significant penalties for the property owner. These penalties can include fines ranging from $1,000 to $10,000 for each violation. In addition to fines, property owners may also face injunctions to cease the illegal rental activity, as well as additional penalties for repeat offenses. In some cases, property owners may even be subject to criminal charges for violating short-term rental regulations in Hawaii. It is important for property owners to be aware of and comply with all relevant laws and regulations to avoid facing these penalties.

8. Are there any specific health and safety regulations that short-term rental hosts must comply with in Hawaii?

Yes, in Hawaii, short-term rental hosts must comply with specific health and safety regulations to ensure the well-being of guests. These regulations include:

1. Fire Safety: Hosts are required to have functioning smoke detectors and fire extinguishers in the rental property.

2. Building Codes: Short-term rental properties must meet building code requirements to ensure structural safety.

3. Health Standards: Hosts are expected to maintain clean and sanitary conditions in the rental property, including proper garbage disposal and ventilation.

4. Carbon Monoxide Detectors: Carbon monoxide detectors are mandatory in short-term rental properties to protect guests from this odorless, deadly gas.

5. Emergency Exits: Hosts must ensure that there are clearly marked emergency exits in the rental property for guest safety in case of emergencies.

6. Pool Safety: If the rental property includes a pool, hosts must comply with safety regulations related to pool fencing and signage.

7. Bed Bug Prevention: Hosts are responsible for ensuring that the property is free of bed bugs to prevent infestations and protect the health of guests.

8. Inspections: Short-term rental properties may be subject to periodic health and safety inspections to verify compliance with regulations.

Overall, hosts in Hawaii must prioritize the health and safety of their guests by adhering to these regulations and maintaining a safe environment in their short-term rental properties.

9. Can homeowners’ associations place restrictions on short-term rentals in Hawaii?

Yes, homeowners’ associations in Hawaii can place restrictions on short-term rentals within their communities. Homeowners’ associations typically have the authority to establish guidelines and regulations for property use within their developments, including rules regarding short-term rentals. These restrictions may include limitations on the number of nights a property can be rented out, noise restrictions, parking regulations, and more. It is essential for property owners to review their homeowners’ association bylaws and guidelines to understand the specific restrictions that may apply to short-term rentals within their community. Failure to comply with these regulations can result in fines or other penalties imposed by the homeowners’ association.

10. Are there any regulations specific to vacation rental platforms like Airbnb or VRBO in Hawaii?

Yes, Hawaii has specific regulations that apply to vacation rental platforms like Airbnb and VRBO. These regulations are aimed at ensuring that short-term rentals operate in compliance with local laws and do not disrupt residential neighborhoods. Some key regulations for vacation rental platforms in Hawaii include:

1. Registration requirements: Vacation rental operators in Hawaii are required to register their properties with the state and obtain a Transient Accommodations Tax License. This helps the state track and regulate these rentals effectively.

2. Permitting restrictions: Certain areas in Hawaii have restrictions on vacation rentals, and operators may need to obtain permits or licenses to legally operate in these locations. For example, in residential areas, vacation rentals may be subject to zoning restrictions or may be prohibited altogether.

3. Taxes and fees: Vacation rental platforms are required to collect and remit Transient Accommodations Tax (TAT) and General Excise Tax (GET) on behalf of hosts in Hawaii. Failure to comply with these tax regulations can result in penalties and fines.

4. Property maintenance and safety requirements: Vacation rental operators are typically required to meet certain health and safety standards, such as providing smoke detectors, fire extinguishers, and ensuring the property is up to code.

5. Noise and occupancy limits: Hawaii may have specific regulations regarding noise levels and maximum occupancy for vacation rentals to prevent disturbances to residential neighborhoods.

Overall, vacation rental platforms like Airbnb and VRBO must ensure that hosts comply with these regulations to operate legally in Hawaii. Failure to do so can result in fines, penalties, and potential shutdown of the rental property.

11. How does the county-level regulation of short-term rentals differ in Hawaii?

County-level regulation of short-term rentals in Hawaii varies across the different counties. Each county has its own set of regulations and requirements for short-term rental properties. Here are some key differences:

1. Honolulu County (Oahu): This county has some of the strictest regulations for short-term rentals in Hawaii. In 2019, a law was passed to strictly limit the operation of vacation rentals in residential areas. Property owners are required to have a Nonconforming Use Certificate (NUC) to legally operate a short-term rental.

2. Maui County: Maui County also has strict regulations on short-term rentals. In 2019, the county passed legislation that imposed a temporary moratorium on issuing new permits for short-term rentals in residential areas. The county also requires permits for short-term rental operations.

3. Hawaii County (Big Island): Hawaii County has regulations that allow short-term rentals in designated resort areas, agricultural zones, and commercial districts. Property owners must obtain a Short-Term Vacation Rental Permit to operate legally.

4. Kauai County: Kauai County has regulations that restrict short-term rentals in certain areas, such as agricultural and open district zones. Property owners must obtain a Transient Vacation Rental (TVR) permit to operate legally.

Overall, the county-level regulation of short-term rentals in Hawaii is aimed at balancing the tourism industry’s demand for accommodations with the concerns of local residents regarding over-tourism, noise, and other issues associated with short-term rentals. It is important for property owners to understand and comply with the specific regulations in their respective counties to avoid potential fines and legal issues.

12. Are there any requirements for insurance coverage for short-term rentals in Hawaii?

Yes, there are insurance coverage requirements for short-term rentals in Hawaii. Owners of short-term rental properties are typically required to carry liability insurance to cover any damages or injuries that may occur on the property during a guest’s stay. Additionally, some local governments in Hawaii may also require hosts to carry specific types of insurance, such as comprehensive general liability insurance or commercial liability insurance. It is important for hosts to verify the insurance coverage requirements with their local government and insurance provider to ensure they are compliant. Failing to meet the necessary insurance requirements can result in penalties or fines for the host.

13. Are there any restrictions on the frequency of renting out a property as a short-term rental in Hawaii?

Yes, there are restrictions on the frequency of renting out a property as a short-term rental in Hawaii. Here are some key points to consider:

1. In Hawaii, the island of Oahu has specific regulations that limit the frequency of short-term rentals. Properties in certain areas of Oahu are subject to the Island’s Land Use Ordinance (LUO) provisions, which restrict the number of days a property can be rented as a short-term rental.

2. These restrictions typically limit short-term rentals to a maximum of 30 days in a year for properties located in certain designated areas on Oahu. This means that property owners would need to comply with these regulations and ensure that they do not exceed the allowable rental days per year.

3. It is important for property owners or hosts in Hawaii, especially on Oahu, to familiarize themselves with the specific rules and regulations governing short-term rentals in their area to avoid any potential violations or penalties.

In summary, while short-term rental regulations can vary by location within Hawaii, there are indeed restrictions on the frequency of renting out a property as a short-term rental, particularly on Oahu. It is advisable for property owners to research and comply with the relevant laws and ordinances to operate within the legal parameters.

14. What are the requirements for displaying permits or licenses for short-term rentals in Hawaii?

In Hawaii, the requirements for displaying permits or licenses for short-term rentals are stringent and must be strictly followed to ensure compliance with local regulations. The following are the key requirements:

1. Displaying Permit Number: The short-term rental property must prominently display its permit number in all advertisements, including online listings and physical signs on the property.

2. Licensee Information: The name and contact information of the licensee or property owner must be clearly visible on the premises.

3. Contact Information for Complaints: Information on how to lodge complaints or report issues related to the short-term rental must be displayed visibly for guests and neighbors.

4. Emergency Contact Information: There should be clear instructions on who to contact in case of emergencies related to the rental property.

5. Signage Placement: The permit or license information should be placed in a location where it is easily visible to guests and passersby, typically near the entrance of the property.

6. Size and Legibility: The permit or license information must be of sufficient size and legibility to ensure that it can be easily read and understood.

Failure to comply with these requirements can result in fines, penalties, or the revocation of the short-term rental permit. Therefore, property owners in Hawaii must ensure that they adhere to all regulations regarding the display of permits or licenses for short-term rentals.

15. How do short-term rental regulations in Hawaii impact property owners’ ability to rent out their homes?

Short-term rental regulations in Hawaii significantly impact property owners’ ability to rent out their homes. These regulations aim to strike a balance between the economic benefits of short-term rentals and their potential negative impact on local communities. Some ways in which these regulations can affect property owners include:

1. Licensing requirements: Property owners may be required to obtain a license or permit to operate a short-term rental in Hawaii. This process can involve meeting certain criteria, such as zoning regulations, safety requirements, and other local laws.
2. Occupancy limits: Some areas in Hawaii impose restrictions on the maximum number of guests allowed to stay in a short-term rental property. This can limit the potential income for property owners who rely on renting to larger groups.
3. Taxes and fees: Property owners renting out their homes in Hawaii may be subject to additional taxes, such as transient accommodations tax, general excise tax, or local surcharges. Compliance with these tax obligations can add to the financial burden for property owners.
4. Rental duration limits: Certain areas in Hawaii may have restrictions on the minimum or maximum number of nights a property can be rented out as a short-term rental. This can impact property owners who prefer renting for shorter durations or those looking to rent out their properties for extended periods.
5. Neighbor complaints and enforcement: Short-term rental regulations often address concerns raised by neighbors, such as noise, parking issues, and disruptions caused by transient guests. Property owners may face fines or other penalties for violations, affecting their ability to continue renting out their properties.

In conclusion, short-term rental regulations in Hawaii can place constraints on property owners’ ability to rent out their homes by imposing licensing requirements, occupancy limits, taxes and fees, rental duration limits, and enforcement measures to address community concerns. Property owners must carefully navigate these regulations to ensure compliance and mitigate potential impacts on their rental activities.

16. Are there any restrictions on advertising short-term rentals in Hawaii?

Yes, there are restrictions on advertising short-term rentals in Hawaii. State law requires that all short-term rental properties in Hawaii be properly registered with the state and comply with local zoning regulations. Advertising a rental that is not properly registered or does not comply with zoning laws can result in fines and penalties. Additionally, the state of Hawaii requires that all advertisements for short-term rentals include the property’s registration number and clearly state the transient accommodations tax ID number. Failure to include this information in advertisements can also result in penalties. It is important for property owners and rental hosts to familiarize themselves with these regulations to avoid any potential legal issues.

17. Are there specific regulations for short-term rentals located near bodies of water or in coastal areas in Hawaii?

Yes, there are specific regulations for short-term rentals located near bodies of water or in coastal areas in Hawaii.

1. Coastal Zone Management: Hawaii has established strict regulations under the Coastal Zone Management Act to manage development near the coast. Short-term rentals located in coastal areas may need to adhere to specific zoning and permitting requirements to ensure that they are not causing harm to the environment or negatively impacting coastal resources.

2. Shoreline Setbacks: There are often specific regulations regarding how close to the shoreline a property can be developed. Short-term rental properties near bodies of water in Hawaii may need to comply with setback requirements to protect the natural shoreline and prevent erosion.

3. Environmental Protection: Hawaii places a strong emphasis on protecting its natural environment, particularly in coastal areas. Short-term rental properties may be subject to regulations aimed at preserving marine life, beaches, and other coastal ecosystems.

4. Vacation Rental Permits: In many counties in Hawaii, short-term rentals are subject to regulations governing vacation rentals. These regulations may include requirements for obtaining permits, limiting the number of occupants, and specifying allowable rental periods.

5. Community Opposition: In some coastal areas of Hawaii, there may be community concerns about the impact of short-term rentals on local neighborhoods and resources. This could lead to additional regulations or restrictions on short-term rental properties in these areas.

Overall, short-term rentals located near bodies of water or in coastal areas in Hawaii are likely to face a range of specific regulations aimed at protecting the environment, managing development, and addressing community concerns. It is essential for property owners and hosts to be aware of and comply with these regulations to avoid potential legal issues or penalties.

18. How are complaints or disputes related to short-term rentals handled in Hawaii?

In Hawaii, complaints or disputes related to short-term rentals are typically handled through a combination of local regulations, homeowner association rules, and legal avenues. Here is an overview of the process:

1. Local Regulations: Each county in Hawaii may have its own set of regulations governing short-term rentals. For example, Honolulu has strict rules on vacation rentals, requiring operators to have a permit and follow certain guidelines. Complaints about noise, parking, or other violations may be reported to the local authorities who can investigate and take action against the violators.

2. Homeowner Association Rules: Many short-term rentals in Hawaii are located in vacation communities or complexes with homeowners’ associations (HOAs). These HOAs often have rules and regulations regarding rental activities. Complaints or disputes within these communities are typically addressed by the HOA board, which can impose fines, restrictions, or even take legal action against the property owner.

3. Legal Avenues: If a dispute or complaint cannot be resolved through local regulations or HOA rules, the parties involved may seek legal recourse through the court system. This could involve filing a lawsuit for damages, injunctive relief, or other remedies available under the law.

Overall, complaints or disputes related to short-term rentals in Hawaii are usually handled through a combination of local regulations, HOA rules, and legal processes to ensure that both hosts and guests are held accountable for any violations or issues that may arise during their stay.

19. Are there any resources or organizations that can help short-term rental hosts navigate the regulations in Hawaii?

Yes, there are resources and organizations that can assist short-term rental hosts in navigating the regulations in Hawaii. Some of these resources include:

1. Hawaii Tourism Authority (HTA): The HTA offers information and resources for vacation rental hosts, helping them understand the regulations and requirements in Hawaii.

2. HomeSharing Hawaii: This non-profit organization provides support and guidance to hosts regarding short-term rental regulations through educational workshops and resources.

3. Airbnb’s Hawaii-specific regulations page: Airbnb has a dedicated section on its website that outlines the specific regulations and guidelines for hosts in Hawaii.

4. Local government websites: Hosts can check the official websites of local governments in Hawaii for updated information on short-term rental regulations specific to their area.

5. Consultation services: There are companies and consultants in Hawaii that specialize in assisting short-term rental hosts with compliance and navigating regulations.

By utilizing these resources and organizations, short-term rental hosts in Hawaii can stay informed and ensure they are compliant with all regulations.

20. What are the potential changes or updates expected in short-term rental regulations in Hawaii in the near future?

1. Hawaii is currently in the process of revising and updating its short-term rental regulations to address issues such as housing affordability, neighborhood impacts, and taxation. One of the potential changes expected in the near future is the implementation of stricter enforcement measures to crack down on illegal vacation rentals operating without proper permits.

2. Additionally, there may be new requirements imposed on short-term rental hosts to ensure compliance with zoning laws and safety regulations. These could include mandatory registration, limits on the number of rental days per year, and restrictions on the types of properties allowed to be used for short-term rentals.

3. Another anticipated change is the establishment of a centralized database or monitoring system to track and regulate short-term rental activity more effectively. This would help authorities identify and address non-compliant operators and monitor the impact of vacation rentals on local communities.

4. Furthermore, there may be updates to the taxation framework for short-term rentals, with a focus on increasing revenue collection from these accommodations to support affordable housing initiatives and infrastructure improvements.

Overall, the expected changes in short-term rental regulations in Hawaii aim to strike a balance between supporting the tourism industry and protecting the interests of local residents and communities. These updates are likely to focus on enhancing compliance, monitoring, and enforcement mechanisms to create a more sustainable and responsible short-term rental market in the state.