While specific data for Haena, Hawaii, is not provided, the overall trend for Hawaii's short-term rentals shows an increase in average daily rates and supply, despite lower occupancy rates, indicating a resilient market with higher revenue potential for rental owners.
Strong Resilience in Hawaii's Short-Term Rental Market Despite Challenges
Despite the ongoing policy debates and market dynamics, Hawaii's short-term rental market has shown notable resilience. In the first half of 2024, the statewide vacation rental supply saw an increase of 11.5% compared to 2023, though it remains 2.1% below pre-pandemic 2019 levels. The average daily rate (ADR) for vacation rentals has been robust, standing at $324, a 3.2% increase from 2023 and a significant 55.8% rise from 2019.
For specific islands, Kaua‘i, which includes areas like Haena, reported an ADR of $393 in June 2024, with an occupancy rate of 51.3%, although this is down from the pre-pandemic levels.
This performance indicates that while there are challenges, the demand for unique and often more affordable accommodations provided by short-term rentals continues to attract visitors, contributing positively to the local economy.
Short-Term Rental Regulations in Haena, Hawaii for 2024
General Regulations
- Licensing and Permits: Short-term rental operators must obtain the necessary licenses and permits from the local county authorities. In Maui, where Haena is located, this typically involves applying for a Short-Term Vacation Rental (STVR) permit or a Non-Conforming Use Certificate (NUC) if the property was in operation before the regulations were enacted.
Zoning Restrictions
- Zoning Districts: Short-term rentals are generally allowed only in specific zoning districts such as resort-zoned areas and certain commercial zones. They are often prohibited in residential and agricultural zones unless a Non-Conforming Use Certificate (NUC) is obtained.
Tax Registration
- Transient Accommodations Tax (TAT) and General Excise Tax (GET): Owners must register with the Hawaii Department of Taxation for a TAT license and a GET license. The TAT license costs $5 for 1-5 units and $15 for 6+ units, while the GET license costs $15.
Insurance Requirements
- Liability Insurance: Eligible properties must have short-term rental insurance providing at least $1,000,000 in general liability coverage.
Operational Standards
- Noise Limits, Parking, and Occupancy: Strict operational standards, including noise limits, parking requirements, and occupancy limits, must be adhered to in order to ensure that STVRs do not disrupt the local community.
Local Contact Requirement
- 24/7 Local Contact: Each STVR must have a local contact person available 24/7 to address any issues that may arise. The contact information must be provided to guests and displayed on the property.
New Legislation
- County Regulation Authority: Under Senate Bill 2919, counties have the authority to regulate the time, place, manner, and duration of short-term rentals. This includes the power to phase out transient accommodations in residential or agricultural zoned areas.
Specific to Maui
- Phase-Out of Rentals in Apartment-Zoned Districts: The Maui Planning Commission has proposed a bill to phase out over 7,100 short-term rentals in apartment-zoned districts by January 1, 2026. Affected rentals may need to convert to long-term rentals.
Compliance and Enforcement
- Compliance with Local Ordinances: Operators must comply with all local ordinances and regulations. Failure to comply can result in the shutdown of the short-term rental operation.
Top Airbnb Revenue-Generating Neighborhoods in Hana, Hawaii
Hana, HI
Hana, Hawaii, stands out as a highly lucrative area for Airbnb investments due to its unique appeal and high revenue potential.
Why Hana is Appealing for Guests:
- Secluded Location: Hana is known for its secluded and tranquil environment, offering guests an authentic Hawaiian experience away from the hustle and bustle of urban areas.
- Stunning Natural Beauty: The area is surrounded by lush tropical landscapes, waterfalls, and pristine beaches, making it a paradise for nature lovers and those seeking a luxurious retreat.
- Limited Lodging Options: The limited number of accommodations in Hana contributes to its high demand and occupancy rates, ensuring consistent revenue for Airbnb hosts.
Key Statistics:
- Average Daily Rate: $395
- Occupancy Rate: 86%
- Annual Revenue: $125,885
- Number of Listings: 54.
Hana's unique blend of natural beauty, seclusion, and limited lodging options make it an extremely appealing and profitable destination for Airbnb investors.
Creating an Inviting Airbnb in Haena, Hawaii: Design and Furnishing Tips
General Design Principles
- Reflect Local Style: Incorporate subtle Hawaiian touches without going overboard on themes. Use local materials and support local artists to add authentic flair.
Entryway and First Impressions
- Welcome Guests Warmly: Ensure the entryway is well-thought-out to make a positive first impression. Add elements that make guests feel special and welcomed.
Living Room
- Lighting Control: Install lamps and dimmer switches to provide flexible lighting options. This enhances the ambiance and guest experience.
- Comfortable Seating: Include plush blankets, pillows with various fill options, and a pouf for added comfort.
- Functional Layout: Design the room to facilitate conversation and comfort. Ensure there are occasional tables for everyone to place their drinks and consider adding swivel chairs for versatility.
Kitchen
- Durability and Functionality: Use high-quality, durable materials such as LVP flooring and quartz countertops to withstand guest use. Repaint existing cabinets if they are in good condition to save on costs.
- Open and Bright: Remove upper cabinets and add floating shelves to create a more open and bright feel.
Bedroom
- Luxurious Bedding: Offer high-quality bedding options and provide extra layers stored in the closet for guest convenience. Use different fill options for pillows to cater to various preferences.
- Temperature and Lighting Control: Install ceiling fans and provide bedside tables with lamps, including options with USB ports or wireless charging features. Ensure blackout shades are available for different sleepers.
Bathroom
- Luxury Touches: Add fluffy bathrobes, nice-smelling hand soap, and extra towels to create a luxurious feel. Ensure there is a place to put shower items without them being on the floor.
Furniture and Decor
- Splurge vs Save: Invest in high-quality, solid wood furniture for pieces that get heavy use, such as beds, sofas, and dining tables. Save on accent pieces like side tables, lighting, and decor.
- Washable Rugs: Use washable rugs to ease cleaning and maintenance.
- Reinforce Furniture: Reinforce platform beds with bunkie boards to prevent breakage, especially if the property is family-friendly.
Guest Experience
- Match Sleep Count to Seating: Ensure the dining and living areas have seating that matches the sleep count of the property to facilitate comfortable gatherings.
- Local Art and Themes: Support local artists and incorporate small, tasteful local themes to make the space feel authentic and inviting.
Discovering Haena, Hawaii: Local Attractions and Insider Tips
Local Attractions
Ha'ena State Park
- Kee Beach: Famous for snorkeling, especially during the summer months, with vibrant marine life in calm waters.
- Kalalau Trail: One of Hawaii's most stunning coastal hikes, offering breathtaking views of the Na Pali Coast. Permits are required for the full 11-mile trek.
- Hanakapiai Beach and Falls: Shorter hikes to Hanakapiai Beach (4 miles round trip) and Hanakapiai Falls (8 miles round trip) provide rewarding outdoor experiences.
Cultural and Historical Sites
- Maniniholo Dry Cave and Waikanaloa & Waikapalae Wet Caves: Over 4,000 years old, these caves were used by ancient Hawaiians for shelter and religious ceremonies.
- Heiau Dedicated to Laka: A sacred site for the goddess of hula, reflecting the importance of hula in Hawaiian culture.
Other Attractions
- Limahuli Garden and Preserve: A National Tropical Botanical Garden, perfect for botanists and nature lovers.
- Makua Beach / Tunnels Beach and Ha'ena Beach Park / Maniniholo Beach: Additional beautiful beaches in the area.
Insider Tips
Planning and Permits
- Permit System: Due to recent floods and pandemic measures, a permit system is in place for visiting Ha'ena State Park. Plan ahead and secure your permits in advance.
Safety and Preparation
- Tsunami History: Be aware of the area's tsunami history and follow local safety guidelines.
- Hike Preparation: For hikes like the Kalalau Trail and to Hanakapiai Falls, ensure guests are well-prepared with proper gear, water, and physical conditioning.
Respect for the Land
- Cultural Respect: Remind guests to treat the sacred spaces and cultural sites with respect, as they hold significant importance for the kanaka maoli (native Hawaiians).
Local Experiences
- Kalamaku Luau: Recommend the Kalamaku Luau for a cultural evening with buffet dinner, open bar, and a show.
- Best of Northeast Kauai Sightseeing Tour: Suggest this tour for a comprehensive view of the area's highlights, including a riverboat ride.
Transportation
- Road Access: Inform guests that the Kuhio Highway (560) dead-ends at Ke'e Beach Park, and the only way to travel further west is by foot via the Kalalau Trail or by boat along the Na Pali Coast.
Practical Tips to Run a Successful Short-Term Rental Business in Lahaina, Hawaii
To ensure a smooth and enjoyable experience for both you and your guests in Lahaina, Hawaii, several practical tips can be implemented:
Noise Regulations and Guest Communication
Inform your guests about quiet hours and noise regulations to maintain a respectful environment for neighbors. Include this information in your digital and physical house manual to avoid any misunderstandings.
Comprehensive House Manual
Create a detailed digital and physical house manual that includes essential instructions, Wi-Fi passwords, and other important details. This manual should be easily accessible and cover all aspects of the property, ensuring guests have a hassle-free stay.
Simplified Check-in Process
Utilize smart locks to streamline the check-in process, eliminating the need for physical key exchanges. Provide clear instructions on how to use the smart locks and include photos to help guests navigate the property.
Parking Instructions
Include detailed parking instructions with photos in your house manual. This helps guests understand where to park and how to access the property, reducing confusion and potential issues.
By implementing these measures, you can enhance the guest experience, reduce potential conflicts, and ensure your short-term rental business in Lahaina operates efficiently and successfully.
Here is a brief list of house cleaning, repair, or maintenance providers that serve the Haena, Hawaii area:
KAUAI CLEANERS
- Locally owned and operated since 1999
- Specializes in residential, vacation rental, and commercial cleaning
- Offers deep and detailed cleanings using eco-friendly supplies
- Fully licensed, bonded, and insured.
Kauai Cleaning Co.
- Provides cleaning services across the entire island of Kauai, including Haena
- Services include vacation rental cleaning, Airbnb cleaning, post-construction cleanup, residential deep cleaning, and more
- Offers hourly and flat rate services.
Kauai Cleaning and Maintenance
- Based in Lihue but serves the north shore, including Haena
- Specializes in deep cleaning, window cleaning, and other maintenance services
- Highly recommended with a 24-year history and excellent customer reviews.
Short-Term Rental Management Fees in Haena, Hawaii: A Comprehensive Guide
In Haena, Hawaii, managing short-term rentals involves a range of fees that can vary significantly based on the level of service provided. Typically, management fees for short-term rentals range from 10% to 30% of the rental revenue. Full-service management, which includes guest communication, marketing, and maintenance, tends to be on the higher end of this spectrum, often around 25-30%.
Basic services, such as rent collection and minimal maintenance, may incur lower fees, usually around 10% of the rental income. Additionally, property owners may need to account for extra fees for services like cleaning, repairs, and design enhancements. These additional costs can add up, but they are often necessary to maintain the property's appeal and ensure smooth operations.
Understanding these fee structures is crucial for property owners to budget effectively and maximize their rental income.