Airbnb & VRBO Performance in Kula Hawaii.

Short-Term Rental Regulations in Kula, Hawaii for 2024

General Regulations

• Zoning Compliance: Short-term rentals in Kula must comply with the County of Maui zoning ordinances, Community Plans, General Plan, and State law. Properties in districts zoned for hotel use or certain apartment districts can operate as short-term rentals without additional permits.

Permit Requirements

• Short-Term Rental Home Permit: For properties outside of hotel-zoned areas, a Short-Term Rental Home Permit, Bed & Breakfast Permit, or Conditional Permit is required. Each permit has specific operating requirements.
• Ownership Requirement: Applicants must have owned the home for five years prior to applying for a short-term rental home permit if the property does not have hotel zoning.

Operational Requirements

• Designated Manager: All short-term rental home operations must have a designated manager available by telephone at all times and able to arrive onsite within one hour.
• Parking: All parking must be onsite; no street parking is allowed.
• Advertising: All advertising must include the short-term rental home permit number.

Tax Obligations

• General Excise Tax (GET) and Transient Accommodation Tax (TAT): All short-term rentals must pay the State of Hawaii General Excise Tax (GET) and Transient Accommodation Tax (TAT).

Phase-Out of Apartment-Zoned Rentals

• Proposed Phase-Out: A proposed bill aims to phase out approximately 7,100 short-term rentals in apartment-zoned districts, effective July 1, 2025, for West Maui and January 1, 2026, for the rest of Maui County. This does not affect properties in hotel-zoned areas.

Minatoya List

• Grandfathered Properties: Properties on the "Minatoya List" (apartment-zoned condos approved for short-term rentals before 1992) may face new restrictions or phase-out under the proposed regulations.

Community and Economic Considerations

• Economic and Social Impacts: The proposal to phase out short-term rentals in apartment districts will be evaluated for economic, social, cultural, environmental, and quality of life impacts.

Permit Limits and Reviews

• Permit Limits: The County Council will review community plan short-term rental home restrictions when the number of approved short-term rental homes exceeds 90% of the restriction number.
• Review Process: The Maui County Council will have the final decision-making authority on the proposed bill, including passing it with amendments, passing it as-is, or voting it down.

Top Airbnb Revenue-Generating Areas in Kula, Hawaii

While Kula itself is a small area, the appeal and revenue generation can be understood in the context of its broader characteristics and the surrounding regions. Here’s a breakdown of why Kula and its vicinity are attractive for Airbnb investments and guests:

Kula

• Median Property Price: $2,258,500
• Average Daily Rate: $282
• Annual Revenue: $106,140 (based on 350 nights booked per year)
• Occupancy Rate: 87%
• Appeal: Kula is known for its scenic views, cooler climate compared to lower elevations, and proximity to Haleakala National Park. Guests are drawn to its rural charm, agricultural landscapes, and the opportunity to experience a more tranquil side of Maui.

Given the limited number of listings in Kula itself, here are some neighboring areas that also generate significant Airbnb revenue and are appealing to guests:

Makawao

• Median Property Price: $1,161,840
• Average Daily Rate: $330
• Monthly Airbnb Rental Income: $5,507
• Occupancy Rate: 72%
• Appeal: Makawao is a charming town known for its artistic community, rural setting, and proximity to Kula. It offers a unique blend of culture, scenic views, and easy access to natural attractions.

Haiku

• Median Property Price: $2,089,500
• Average Daily Rate: $271
• Monthly Airbnb Rental Income: $6,719
• Occupancy Rate: 77%
• Appeal: Haiku is another rural area on Maui that attracts guests with its natural beauty, including waterfalls and hiking trails. Its laid-back atmosphere and proximity to Kula make it an attractive option.

Wailuku

• Median Property Price: $1,364,935
• Average Daily Rate: $273
• Monthly Airbnb Rental Income: $9,259
• Occupancy Rate: 74%
• Appeal: Wailuku is a central location with easy access to Haleakala National Park and the Road to Hana. It offers a mix of urban amenities and natural attractions, making it a popular choice for guests.

These areas around Kula are appealing due to their unique blend of natural beauty, cultural experiences, and proximity to major tourist attractions on Maui. The high occupancy rates and significant annual revenues make them attractive for Airbnb investors.

Creating an Inviting Airbnb in Kula, Hawaii: Design and Furnishing Tips

Living Room

• Lighting Control: Install lamps and dimmer switches to provide flexible lighting options, enhancing the ambiance and guest experience.
• Comfortable Seating: Include plush blankets, pillows with various fill options, and a pouf for a cozy and inviting atmosphere.
• Occasional Tables: Ensure each guest has a place to set their drinks and other items, promoting a sense of comfort and convenience.
• Conversation-Friendly Layout: Arrange furniture to facilitate conversation and create a welcoming space for socializing.

Bedroom

• Luxurious Bedding: Offer high-quality bedding and provide extra layers in the closet for guests to customize their comfort.
• Multiple Pillows: Provide two sleeping pillows per guest with different fill options to cater to various preferences.
• Temperature Control: Install ceiling fans or other temperature control measures to ensure a comfortable sleeping environment.
• Bedside Tables and Lamps: Include a bedside table and lamp for each guest, considering features like USB ports or wireless charging.

Bathroom

• Fluffy Bathrobes: Offer fluffy bathrobes for a luxurious touch, especially in smaller, romantic getaways.
• Nice-Smelling Hand Soap: Use high-quality, pleasant hand soap to enhance the bathroom experience.
• Extra Towels: Provide extra, fluffy towels to ensure guests feel pampered.
• Shower Organization: Ensure there is a place to put shower items, avoiding clutter on the floor.

General Tips

• Local Touches: Incorporate elements of Kula's unique style, such as tropical decor and natural materials, to reflect the local culture.
• Outdoor Spaces: Utilize outdoor areas by adding features like decks, hot tubs, or barbecue areas, taking advantage of Kula's scenic views and pleasant climate.
• Sustainable Practices: Consider eco-friendly practices, such as providing reusable water bottles, to align with Kula's environmental ethos.
• Personalized Amenities: Offer amenities like coffee, tea, and basic kitchen supplies to make guests feel at home and appreciated.

Unique Kula Features

• Farm and Nature Integration: For properties near farms or natural areas, highlight the unique opportunity to interact with animals or enjoy the surrounding nature, such as alpacas, llamas, and orchards.
• Stargazing: For locations near Haleakala National Park, emphasize the opportunity for stargazing and provide amenities that enhance this experience.

By incorporating these tips, you can create an Airbnb in Kula that is not only inviting but also reflective of the city's unique charm and natural beauty.

Discovering Kula, Hawaii: Local Attractions and Insider Tips

Local Attractions

Farms and Gardens

• Aliʻi Kula Lavender Farm: Explore 45 varieties of lavender, along with other plants like peaches, avocados, proteas, and hibiscus. Enjoy daily walking tours and a gift shop with lavender products.
• ʻŌʻō Farm: Participate in farm tours and harvest your own vegetables, which can be cooked into a gourmet meal by the farm's chef.
• Hawaiʻi Sea Spirits Organic Farm and Distillery: Learn about sustainable farming practices and sample OCEAN Vodka. Walk among the sugar canes and enjoy the scenic views.
• Shim Coffee and Protea Farm Tour: See proteas and other floral delights in a picturesque setting.

Botanical and Natural Sites

• Kula Botanical Gardens: Admire blooming carnations, birds of paradise, and orchids. Visit the Holy Ghost Church, a historic landmark, on the way to the gardens.
• Haleakalā National Park: Witness the sunrise or sunset over the dormant volcano, explore lava fields, and hike through unique flora and fauna. Option to bike or take a helicopter tour.

Cultural and Culinary Experiences

• Grandma’s Coffee House: Enjoy locally grown and roasted coffee, fresh-baked goods, and a historic atmosphere.
• La Provence: Savor French-Hawaiian cuisine with dishes featuring local ingredients like lilikoi and Kula strawberries.
• Surfing Goat Dairy: Feed and milk goats, see the cheese-making process, and sample goat cheese products.

Art and History

• Curtis Wilson Cost Gallery at the Kula Lodge: View Curtis Wilson’s paintings that capture Maui’s rustic past. Enjoy handcrafted cocktails by the fireplace.
• Sun Yat-sen Park: Learn about the life of Sun Yat-sen, the father of modern China, who lived in the area in the late 19th century.

Insider Tips

Getting Around

• Drive the Winding Roads: Enjoy the scenic views by driving along Upcountry Maui’s winding roads as you climb higher above the coastal areas.

Local Favorites

• Visit Roadside Markets: Stop by roadside markets and flower shops in Upper Kula for fresh produce and local products.
• Explore Lower Kula: Discover the unique history and ethnic settlements along Lower Kula Road, including communities like Pulehu, Waiakoa, Omaopio, and Keokea.

Activities

• Horseback Riding and Ziplining: Experience these activities at Piiholo Ranch, offering stunning views of the Pacific Ocean.
• Hiking and Biking: Take advantage of the various trails in Haleakalā National Park and the surrounding forest reserves for hiking and biking.

Seasonal Highlights

• Farm-to-Table Experiences: Participate in farm tours and tasting experiences, especially during peak harvest seasons to enjoy the freshest produce.

By sharing these attractions and tips, your guests can fully immerse themselves in the unique charm and natural beauty of Kula, Hawaii.

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

To ensure a smooth and enjoyable experience for both you and your guests, here are some practical tips for running a successful short-term rental business in Kula, Hawaii:

Noise Regulations and Quiet Hours

Inform your guests about noise regulations and quiet hours to maintain a peaceful environment for neighbors. Include this information in your digital and physical house manual, and consider posting a reminder in the rental property.

Comprehensive House Manual

Create a detailed digital and physical house manual that includes essential instructions, such as Wi-Fi passwords, appliance usage, and emergency contact information. This manual should be easily accessible to guests upon arrival.

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 ensure that guests receive all necessary access codes before their arrival.

Parking Instructions

Include detailed parking instructions with photos in your house manual to avoid any confusion. Ensure that all parking is onsite, as required by Maui County regulations, and provide clear directions to designated parking areas.

By following these tips, you can enhance the guest experience, comply with local regulations, and maintain a well-organized and efficient short-term rental operation in Kula, Hawaii.

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

House Cleaning Services in Kula, HI

Lisa Fong House Cleaning

• Located at 30 Palena Pl, KULA, HI 96790
• Highly rated for quality, value, professionalism, responsiveness, and punctuality.

Care.com Cleaning Services

• Offers a list of 24 affordable cleaning ladies in Kula, HI, with rates starting at $22.50/hr.
• Allows users to compare and hire based on rates, reviews, and experience.

Homeaglow

• Provides professional, affordable, and background-checked house cleaners.
• Offers a first 3-hour clean starting at $19.

Sparkling and Beyond

• A professional cleaning company based in Kula, HI.
• Uses state-of-the-art equipment and has years of experience in the industry.

Note: The list does not include repair or maintenance providers as the sources primarily focus on house cleaning services.

Managing Short-Term Rentals in Kula, Hawaii: Understanding Fees and Services

Managing a short-term rental property in Kula, Hawaii, involves a range of fees that can vary significantly based on the level of service provided. Typically, management fees for short-term rentals in Kula can range from 10% to 30% of the rental revenue. Full-service management companies, which handle comprehensive tasks such as guest communication, marketing, and maintenance, tend to charge on the higher end of this spectrum, often around 25% to 30% of the gross rental income.

In contrast, basic services that may only include listing and booking management might incur lower fees, closer to the 10% mark. Additionally, property owners should be prepared for extra fees related to cleaning services, repairs, and any design or renovation work that may be necessary to maintain the property. These additional costs can add up, but they are crucial for ensuring the property remains attractive to guests and operates smoothly.