If you think Hawaii vacations are expensive now, here’s what could happen if Senate Bill 2919 passes.
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188 thoughts on “Clash Over Hawaii Vacation Rentals Includes Tourists, Residents, Special Interests”
If you think Hawaii vacations are expensive now, here’s what could happen if Senate Bill 2919 passes.
What happens to deeded timeshares? Mahalo
What happens to deeded timeshare owners… Mahalo
No problem. If government is left unchecked everyone will have somewhere to live but won’t have a job. All tourists are not filthy rich
It’s funny……County authorizes B & B’s/Short term rentals in neighborhoods…and now they want to take it away from those that were permitted. I never liked the idea of having those in residential neighborhoods. But those who applied for and followed the county regulations paid for the right to do it….So here we are…Should have Never allowed it in the first place…it’s not zoned for it. But it was good when the tax monies from these properties came in, right?. So who is actually at fault here….those who were made to believe you can do it? or the government ?
You are confusing a number of completely separate issues.
The county of Honolulu lost a court case brought by home owners that objected to an ordinance that would have disallowed 30+ day rentals and would have changed decades old law to a minimum lease of 90 days.
The county lost in federal court, and the state is trying to get around this loss for all future owners that want to lease their properties for 30 days to 90 days. Existing owners that were exercising their right to rent for 30+ days, won’t lose that ‘right’.
The new state law also does not address the existing 1989 NUCs (BnBs).
Every Island is different when it comes to Permits. Oahu has not issued new permits since 1989. There are roughly 8,000 to 10,000 STR advertised on Oahu at any given time, while there are approximately 800 Permits. Many are located in residental area that are not zoned for STR. Without a Permit, it isn’t so easy for the county to collect the taxes owed and unfortunately neither Airbnb or VRBO are willing to identify the location of the property.
I visit Kauai twice a year for two weeks and prefer a cono with full kitchen. The prices have gone up steeply with no change in state improvements in traffic or services. I may go somewhere else if this continues/
Aloha Rob+Jeff I would not be able to visit Kauai if the STR’s get more expensive. They already are more than double what they were just a few years ago. Tourists are able to enjoy the benefits of staying in a rental more than staying at a hotel where you are charged for everything even if you don’t use them. Resort fees, parking, etc. I doubt that the locals would like living in resort areas also. They would prefer neighborhood housing.
Let’s be serious and logical here. Shot-term rentals are not the major problem they are made out to be (I don’t use them myself). The problem of housing people in HI is not the ‘availability’ of these homes/condos for rent/purchase by those in need of housing, it’s the ‘affordability’ of those homes, ether to rent or to purchase. Who of those seeking housing can afford (there’s that word again!) to rent a home that would sell for 1 million+ (typical in HI), much less try to buy one??? I’d say about 99.9% would not. These short-term rentals aren’t being rented out for $700/week, or even double that. How many of the typical low-paid working class could afford that??? Affordability, folks, not just availability.
Maybe we should consider options like only allowing short term rental permits to be issued to people on the Hawaiian Homelands list. Possibly expand it to people with generational ties to the islands. Then it wouldn’t be mainland people exploiting our housing to rent to other mainland people.
Basically, you are suggesting a hidden, but still artificial, means of destroying the market for condos in order to bring the cost down low enough for locals to purchase. Those sorts of manipulations never work. They require an ongoing supply of money to keep the prices artificially low — those who own the property through price manipulation cannot afford the maintenance and upkeep of these condo buildings (they pay up to $2500 a month at many of these buildings, just to keep them running). Do you know how the new owner of this condo can afford it? By renting to tourists for $800/night.
When the 30 day minimum law passed on Oahu, many STR in my area went back to long term rentals and all were filled immediately. There aren’t a lot of long term rentals on the Island but when available, they don’t sit vacant for long. If STR aren’t allowed in residental areas, rent will have to go down or the property will sit empty.
The 30-day law has been in effect on Oahu for decades. So are you saying many units became long-term rentals decades ago?
So much less inclined because it was the rentals that made the trip somewhat affordable. A hotel (with parking and resort fees) would cost for a week what a rental was for a month. We prefer not to be in the commotion of “tourist areas” and the rentals provided that. I agree with “Boston” that flight time figures into the equation as well (and connections out of Ohio easily make for a 16-hour flight day). We used to come every year but now we just say “they don’t want us.”
Since the governor is in Japan courting “mindful” visitors I guess he doesn’t think I’m mindful. My husband and I have traveled to the Hawaiian islands for 35 years sometimes three times per year. We can’t even come close to saving that much per year. This year was $15,000 /mo with kitchen, and it’s my last year. Groceries and dinners are way way expensive. Aloha Hawaii God bless her people.
I lease minimum 30 days, because my flight is 11 hours. I would not return if this option is taken away.
We have visited Hawaii many times and have stayed in both hotels, timeshares and vacation rentals. We prefer the vacation rentals. Hotel rates are completely absurd and timeshares are hard to get.
In the end we will always consider our “bang for the buck” in making our vacation choices. I am sitting in New Zealand as I write this where there are no shortage of Airbnb’s that are less expensive than most of the alternatives in Hawaii. My airfare to NZ was on par with a general ticket to Hawaii. So, other than an additional few hours of flying, there are not a whole lot of reasons for us to go to Hawaii when there are Soooooo many other places that offer a better “bang for the buck”.
If short term rentals are not wanted in Hawaii, we will go elsewhere. We don’t care for spending 10-14 days in hotels. As it is clear Hawaii doesn’t really want tourists….we get the message. Btw we have used short term rentals in Hawaii for 30yrs.
Speculation is flying rampant, and many of the comments I read are inaccurate interpretations of 2919.
The ability of counties to regulate STVR leaves the judgment closer to home, and local county counsels are more sensitive to the needs and opinions of residents.
Importantly, passage of this and other regulatory bills will not affect timeshare owners and those who operate an STVR in resort zones. These are popular tourist locations well away from most residential neighborhoods.
However, I am all in favor of allowing legal hosted rentals while eliminating the growing trend of non-resident STVR rentals. Governor Green’s noting that 27% of STVR owners own 20 or more properties. That stat. is backed by both the HTA and UHERO.
Again. Please read the article and try to understand the 2919 bill:
It is Not intended to address STRs.
The county lost a federal law suit, because it tried to pass an ordinance that disallowed decades old rentals of 30+ days. The county wanted to make the minimum rental period, 90 days. The county lost because
The state currently defines minimum legal rentals to be 30+ days. This is legal state residential zoning.
The state is trying to remove that decades old law to allow counties to change their residential zoning to circumvent the 30+ right.
so are you saying that every STR that is less than 30days is already illegal? If that’s true, there are a lot of people that are going to be in for a huge shock!
Wow! Good researching and catch. Someone should tell the Mayor, Governor, and many of the people testifying at short-term rental related legislative sessions to stop spouting the misquoted statistic.
I wonder what the real percentage is of short-term owners with more than 1 or 2 properties in Hawaii? I bet it’s minimal.
RichardW,
No, that is not what I said or meant. There are a number of reasons in Honolulu County where a sub-30 day rental is legal; in the tourist zones, and where the lease holder has a 1989 NUC are two such examples.
And I didn’t say anything about less-than-30 rentals [refer to the logical fallacy “denying the antecedent”].
I simply said that all 30+ day residential rentals are and have been legal for decades, and will continue to be legal until the state government allows counties to change the Land Use Ordinances.
Vacation rentals as a category are not in danger of being eliminated across the board, that’s silly. I’m a vacation rental manager and on Kauai, we have been regulated for nearly 15 years, with designated visitor areas where vacation rental activity is permitted, and residential areas where it is not permitted. Vacation rentals do not need to infiltrate every residential neighborhood, and in fact when they do so, the result is a shortage of affordable housing for permanent residents. I have no concern that legally operating rentals located in designated visitor areas will be shut down, and I think other islands following in Kauai’s footsteps to impose some checks on vacation rental proliferation is a net positive.
If my only choice were a hotel, I would likely not visit. You have 2 to 3 meals out per day plus the cost of any activities to include as well as the hotel charge. I might spend more for a condo if needed.
Aloha Rob+Jeff I would not be able to visit Kauai if the STR’s get more expensive. They already are more than double what they were just a few years ago. Tourists are able to enjoy the benefits of staying in a rental more than staying at a hotel where you are charged for everything even if you don’t use them. Resort fees, parking, etc. I doubt that the locals would like living in resort areas also. They would prefer neighborhood housing. Do you rent or own?
If short term rentals disappear, so will I. I have gone to Hawaii several times but don’t want to stay in hotels and pay for services I won’t use.
So sad to think I may not be able to go back .
Aloha!
This article is not about ‘short term rentals’.
Since we have a Timeshare, that’s what we use yearly to visit, so the reduction/elimination of STRs wouldn’t bother us, nor would it change how often we come to Hawaii. As for the problem itself, my opinion from visiting Hawaii is that it’s overrun by tourists right now. Seeing the sights, going to the beaches, and trying to get into the restaurants is a challenge. Something has to be done, and reducing the number of STRs might help. It’s a complex problem, with no easy/painless answers.
I almost always stay in short term rentals when vacationing, with little desire to stay in a hotel and would definitely be less inclined to visit if that was my only option or rentals became too expensive. That being said… Unfortunately, the vacation rental I generally stay at annually on Kauai has nearly doubled in price in the just the last few years..sadly, causing me to pause and consider other future vacation destinations.
So, the governor is flying to Japan to influence them to come to Hawaii. Is the governor just going tell them they can’t stay in STRs, just in hotels??? If you’r from the mainland please don’t come, we need the space for the Japanese.
If this legislation passes, I won’t be retuning to Hawaii. For 18 years my family has vacationed on several islands and stayed for 10 days each. Prices are now out of control. I can only imagine what would be the charge and cost of long term rentals. The economy is suffering, especially in Maui and you’re making it worse.