Airbnb & VRBO Performance in Kaneohe Hawaii.

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Kaneohe, Hawaii: Airbnb & VRBO Vacation Rental Market Overview

Despite some challenges, the short-term rental market in Kaneohe, Hawaii, is seeing stable average daily rates, with O‘ahu vacation rental supply and demand showing some recovery, although overall occupancy rates remain lower than pre-pandemic levels.

Market overview

Thriving Short-Term Rental Market in Kaneohe, Hawaii

Kaneohe, Hawaii, is experiencing a robust short-term rental market, reflecting the area's enduring appeal to visitors. While specific occupancy and average daily rate data for Kaneohe are not readily available, the broader trends in Hawaii indicate a strong demand for short-term rentals. With the median home prices and rental rates in Kaneohe remaining high, it suggests that the area continues to attract a steady stream of travelers and renters. The quick sale times for homes in the area, with 75% of homes selling within 30 days, further indicate a vibrant real estate and rental market. As a popular destination with its stunning natural beauty and convenient amenities, Kaneohe's short-term rental sector is poised to continue its positive trajectory.

Short Term Regulations

Short-Term Rental Regulations in Kaneohe, Hawaii for 2024

General Regulations

  • Minimum Rental Period: The minimum rental period for short-term rentals on Oahu, including Kaneohe, has been reinstated to 30 days following a federal judge's ruling against the City and County of Honolulu's attempt to increase it to 90 days.

Licensing and Permits

  • Business and Tax Licenses: Operators of short-term rentals must obtain a business license and pay general excise tax, transient accommodations tax (TAT), and Oahu TAT.
  • Zoning Permits: Properties must be located in zones that permit short-term rentals. Most local authorities in Hawaii, including Oahu, have specific regulations on where STRs are allowed.

Zoning and Enforcement

  • Zoning Compliance: Short-term rentals are subject to zoning laws, and properties not hotel-zoned are likely residential. The government is planning to enforce zoning laws more strictly, potentially prohibiting 30-day rentals in residentially zoned areas.
  • Enforcement and Penalties: Non-compliance with zoning laws can result in ticketing and fines.

Taxation

  • Transient Accommodations Tax (TAT): Owners must register with the Hawaii Department of Taxation for a TAT license and pay the associated fees.
  • General Excise Tax (GET): A GET license is also required, with fees applicable.

Insurance

  • Liability Insurance: Properties must have short-term rental insurance providing at least $1,000,000 in general liability coverage.

State and County Powers

  • County Regulation Authority: Under Senate Bill 2919, counties have the power to regulate the time, place, manner, and duration of short-term rentals, including the ability to phase out transient accommodation uses in residential or agricultural zoned areas.

Specific Provisions

  • Residential Areas: Short-term rentals in residential areas may be subject to stricter regulations or prohibition as counties implement new zoning ordinances.
  • Grandfathered Properties: Some properties, especially in areas like Waikiki, may be grandfathered in to allow for shorter rental periods if they meet specific zoning requirements.
Neighborhood Performance

Top Airbnb Revenue-Generating Neighborhoods in Kaneohe, Hawaii

While specific neighborhood-level data for Kaneohe is not extensively detailed in the sources, we can infer the appeal and potential revenue-generating areas based on the broader context of Kaneohe and its surrounding attractions.

Neighborhoods and Their Appeal

1. He'eia

  • Appeal: He'eia is known for its scenic views, waterfront activities, and access to natural reserves. Guests are attracted to its serene and eco-conscious environment, making it a favorite for those seeking outdoor recreation and a peaceful stay.
  • Revenue Potential: With its high demand for eco-friendly and waterfront properties, He'eia can generate significant revenue through Airbnb, especially for properties that highlight these unique features.

2. 'Ahuimanu

  • Appeal: This area is appreciated for its family-friendly community and proximity to various outdoor activities. Guests enjoy the balance between a tranquil residential setting and easy access to recreational spots.
  • Revenue Potential: The appeal to families and outdoor enthusiasts makes 'Ahuimanu a viable option for generating steady Airbnb revenue, particularly for properties that cater to these needs.

3. Kahalu'u

  • Appeal: Kahalu'u is attractive due to its coastal location and historic charm. Visitors are drawn to its waterfront activities, scenic views, and the opportunity to experience a nautical lifestyle.
  • Revenue Potential: The combination of historic and nautical elements, along with its coastal location, makes Kahalu'u an appealing area for Airbnb guests, potentially leading to higher revenue through targeted marketing of these features.

4. Haiku Plantation / Club View Estate

  • Appeal: This area is known for its upscale residential settings and scenic views. Guests are attracted to the luxury and tranquility offered by these estates.
  • Revenue Potential: The luxury appeal and scenic views of Haiku Plantation / Club View Estate make it a high-revenue potential area for Airbnb, especially for properties that emphasize these luxurious and tranquil aspects.

General Appeal of Kaneohe

  • Education and Workforce: Kaneohe has a highly educated population and a significant number of telecommuters, which can attract guests looking for a professional and comfortable stay.
  • Ethnic Diversity: The town's ethnic diversity and cultural richness add to its appeal, making it a unique and interesting place for visitors.
  • Natural Attractions: Kaneohe's nautical setting, access to natural reserves, and waterfront activities are major draws for guests seeking both relaxation and outdoor adventures.

While specific revenue figures for each neighborhood in Kaneohe are not provided, these areas are likely to generate significant Airbnb revenue due to their unique attractions and the overall appeal of Kaneohe as a desirable vacation destination.

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Design Tips

Furnishing and Designing an Inviting Airbnb in Kaneohe, Hawaii: Tips for a Unique and Welcoming Space

Assess and Plan

  • Determine Guest Needs: Consider whether you will be accommodating families, couples, or business travelers, and assess their specific needs accordingly.
  • Create a Checklist: Make a detailed checklist of the furnishings and essentials required for each room to ensure basic comfort and functionality.

Choose the Right Furniture

  • Invest in Quality and Durability: Select furniture that is comfortable, durable, and suitable for high-traffic areas. A good mattress, sturdy bed frame, and functional nightstands are essential.
  • Multi-Purpose Furnishings: Use furniture that serves multiple purposes, such as sofas with pull-out beds, nightstands that double as dressers, and kitchen islands with bar seating.

Design Aesthetic

  • Neutral Color Palette: Start with a clean and neutral color palette for the walls, using colors like white, soft taupes, or greys to provide flexibility with furnishings and decor.
  • Local and Unique Decor: Incorporate local, unique, and vintage decor to reflect Kaneohe's style. Avoid cookie-cutter designs and opt for items that stand out, such as framed vintage maps or local artwork.

Lighting and Ambiance

  • Adequate Lighting: Use lighting to create a welcoming ambiance. Include multiple lamps in each room to provide warm, ambient light. Consider energy-efficient options like LED bulbs.
  • Blackout Curtains: Ensure each bedroom has blackout curtains to enhance guest comfort and sleep quality.

Amenities and Essentials

  • Basic Amenities: Provide essential amenities such as coffee, tea, shampoo, conditioner, hand soap, body soap, towels, washcloths, toilet paper, and a hair dryer.
  • Kitchen and Bathroom Essentials: Equip the kitchen with a full set of dishes, utensils, and appliances. In the bathroom, include double the amount of towels needed for the number of guests, soaps, lotions, and a first aid kit.

Personal Touches

  • Local Goodies and Discounts: Offer local treats and arrange for discounts at local businesses to enhance the guest experience. This can include free snacks or partnerships with local bakeries and shops.
  • Guest-Centric Details: Include guest-centric details such as a good hair dryer, hair towels, and possibly a curling iron, especially if you are hosting groups that would appreciate these amenities.

Budgeting and Shopping

  • Set a Realistic Budget: Determine your budget and prioritize larger ticket items first. Consider shopping second-hand or during sales to stay within budget.
  • Shop Smart: Invest in the right areas, such as quality mattresses and durable furniture, while saving on less critical items.
Insider Tips

Discover the Charm of Kaneohe, Hawaii: Local Attractions and Insider Tips

Local Attractions

1. Kane'ohe Sandbar

  • Located in the middle of Kaneohe Bay, this natural sandbar is only accessible at low tide.
  • Guests can reach it by boat, kayak, or paddleboard. It's a great spot for snorkeling and turtle sightings.

2. Ho'omaluhia Botanical Garden

  • A 400-acre botanical garden featuring plants from around the world, including Hawaii, Polynesia, and other tropical regions.
  • Offers walking trails, a lake, a visitor center, and camping grounds. Admission is free.

3. Byodo-In Temple

  • A smaller-scale replica of the over 950-year-old Byodo-in Temple in Uji, Japan.
  • Located in the Valley of the Temples Memorial Park, it is open to all faiths for worship, meditation, or simply to enjoy its beauty. It is also a popular spot for wedding ceremonies.

4. Golfing

  • Kaneohe has three golf courses: Pali Golf Course (public), Ko'olau Golf Club (private but open to the public), and Bayview Golf Park (private but open to the public).

5. Bay View Mini-Putt and Zipline

  • Features two mini-golf courses and a 400-foot-long zipline with views of the Koolau Mountains and Kaneohe Bay.
  • A fun spot for all ages with a dual-track zipline system.

6. Windward Mall

  • A shopping and dining destination with a variety of stores, including local Hawaiian shops.
  • Also hosts family-friendly events, a farmers’ market on Sundays and Wednesdays, and free ukulele lessons.

7. Nu'uanu Pali Lookout

  • Offers stunning views of the coastline and is a significant landmark in the area.
  • Note: The nearby Ha'iku Stairs are currently closed but the Pali Lookout remains accessible.

Insider Tips

Getting Around

  • Use SpeediShuttle for airport transfers and local tours, which can accommodate golf gear and other equipment.

Dining

  • Start the day with breakfast at the Kaneohe Pancake House, known for its Chocolate Chip Macadamia Nut Pancakes.
  • Try local eateries like Whiskey Smoke 808, Fresh Catch, and Adela’s Country Eatery for unique dining experiences.

Activities

  • Book a tour with Captain Bob’s Picnic Sails for a relaxing afternoon at the Kaneohe Sandbar, including snorkeling, swimming, and a barbecue lunch.
  • Explore He'eia State Park and rent kayaks or paddleboards to access the sandbar.

Local Events

  • Check the Windward Mall’s event list for family-friendly activities, craft fairs, and free ukulele lessons.

Nature and Hiking

  • Visit the Ho'omaluhia Botanical Garden to see tropical plants from around the world and enjoy the peaceful surroundings.
  • For hiking enthusiasts, consider the Likeke Falls Trail and Old Pali Road, though note that parking is required and costs $10.

By sharing these attractions and tips, you can help your Airbnb guests make the most of their visit to Kaneohe, Hawaii.

Practical Tips

Practical Tips to Run a Successful Short Term Rental Business in Kaneohe, Hawaii

To ensure the success of a short-term rental business in Kaneohe, Hawaii, several practical tips can be implemented. First, it is crucial to adhere to and inform guests about local noise regulations, including quiet hours, to maintain a harmonious relationship with neighbors and avoid potential fines. Creating a comprehensive digital and physical house manual is also essential; this should include detailed instructions, Wi-Fi passwords, and other pertinent information to make the guest's stay seamless.

A simplified check-in process can significantly enhance the guest experience. Utilizing smart locks eliminates the need for physical key exchanges and provides guests with immediate access upon arrival. Additionally, providing clear parking instructions accompanied by photos can help avoid confusion and ensure a smooth start to the guest's stay.

Moreover, given the stringent regulations in Honolulu County, such as the requirement for a Non-Conforming Use Certificate (NUC) and the need to display the NUC number in all advertisements, staying updated on local regulations is vital to avoid hefty fines and maintain compliance. By focusing on these aspects, hosts can maximize occupancy, profitability, and guest satisfaction in the competitive and regulated short-term rental market of Kaneohe, Hawaii.

Local Vendors

Here is a brief list of house cleaning providers in Kaneohe, Hawaii:

House Cleaning Services in Kaneohe, HI

The Maids

  • Provides professional housecleaning services, including housecleaning, apartment cleaning, spring cleaning, and window cleaning.
  • Uses the 22-step Healthy Touch® cleaning system.
  • Covers various areas including Kaneohe.
  • Contact: (808) 942-8080.

Maid in Oahu

  • Offers outstanding maid services with screened and bonded maids.
  • Provides move in/move out cleaning, and guarantees customer satisfaction.
  • Flat rates and straightforward hiring process.
  • Contact: (808) 664-0036.

Care.com Cleaning Services

  • Lists multiple local house cleaning services in Kaneohe, with options starting at $19.10/hr.
  • Allows searching by rates, reviews, experience, and more.
Management fees

Short-Term Rental Management Fees in Kaneohe, Hawaii: A Comprehensive Guide

In Kaneohe, Hawaii, managing short-term rentals involves a range of services and corresponding fees, typically ranging from 10% to 30% of the rental revenue, depending on the level of service provided. Full-service management, which includes guest communication, marketing, and maintenance, tends to be on the higher end of this spectrum, often starting at around 20% of the booking revenue.

Basic services, such as rent collection and minimal property oversight, may incur lower fees. Additionally, property owners should be prepared for extra costs, including cleaning fees, repair expenses, and potentially design or consumable item fees. For instance, some management companies charge a consumables fee to cover items like linens, toiletries, and light bulbs.

Understanding these fee structures is crucial for property owners to maximize their returns and ensure compliance with local regulations, such as obtaining a Non-Conforming Use Certificate (NUC) for short-term rentals in Honolulu County.

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Why choose RedAwning

RedAwning is a tech leader in full-service short-term rental management, powered by our exclusive, unmatched tools.
Other property managers
Cost
Starting at 10%
25-40%
Guest communications
5-15 mins / 24 hours a day
1 hour+
Host communications
Dedicated phone and text line with no time on hold
Chat bots, hold lines and email threads
Insurance
Robust liability and dwelling coverage for every reservation
Spotty coverage with low claim approval rates
Contract
No cancellation fees
No contract lock-in
Just 90 days notice to cancel
Cancellation penalties
Number of Channels Your Listing is On
50+
2-4

Experience in numbers

Rest well knowing your property is managed by an experienced team powered by world-class technology.
+10-30%
in gross revenue
4.8 stars
guest rating
14+ years
managing STRs

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Furnishing checklist

This comprehensive checklist ensures that your rental is guest-ready with all the essentials to create a comfortable and memorable experience in Kaneohe.

Living Room
Seating: Sofa, armchairs, and ottomans
Coffee Table
Entertainment: Smart TV (with streaming apps) and remote control
Decor: Area rug, wall art, plants, and throw pillows
Lighting: Floor lamp or table lamps
Charging Stations: Power strips or outlets with USB ports
Bedrooms
Beds: High-quality mattress with mattress protector
Linens: At least two sets of sheets per bed
Pillows: Hypoallergenic pillows (2-4 per bed)
Blankets: Extra throw blankets or quilts
Nightstands: With lamps or charging docks
Closet or Storage: Hangers, dresser, or luggage rack
Blackout Curtains or Shades
Bathrooms
Towels: Bath towels, hand towels, washcloths (2 sets per guest)
Shower Curtain & Liner
Toiletries: Shampoo, conditioner, body wash, hand soap
Bathroom Essentials: Toilet paper, tissues, trash bin
Hairdryer
Mirror: Full-length or wall mirror
Dining Area
Dining Table: Seating for the maximum number of guests
Place Settings: Placemats or tablecloths
Centerpiece: Vase with flowers or decorative piece
Kitchen
Appliances: Refrigerator, microwave, toaster, coffee maker, kettle
Cookware: Pots, pans, baking trays
Utensils: Forks, knives, spoons, spatulas, tongs
Dinnerware: Plates, bowls, glasses, mugs (2 sets per guest)
Cutting Board & Knives
Basic Spices & Condiments: Salt, pepper, oil
Cleaning Supplies: Sponge, dish soap, paper towels, trash bags
Outdoor Space (if applicable)
Seating: Outdoor chairs, benches, or lounges
Table: For outdoor dining or drinks
Lighting: String lights or outdoor lanterns
Grill: With necessary utensils and instructions
Outdoor Trash Bin
Extras to Elevate Guest Experience
Welcome Basket: Snacks, water bottles, or wine
Guidebook: Local recommendations and house rules
Board Games or Books: Entertainment for guests
Umbrella & Flashlight
Iron & Ironing Board
Laundry: Washer, dryer, and detergent (if available)
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⇤ Airbnb Statistics for Hawaii