Airbnb & VRBO Performance in Papaikou Hawaii.

Short-Term Rental Regulations in Papaikou, Hawaii for 2024

General State and County Regulations

• County Authority: Hawaii counties, including Hawaii County where Papaikou is located, have been granted the power to regulate the time, place, manner, and duration of short-term rentals through zoning ordinances under Senate Bill 2919 signed on May 3, 2024.

Zoning and Permit Requirements

• Zoning Restrictions: Short-term rentals in residentially zoned neighborhoods are subject to a minimum stay of 6 months. Properties must be in specific zones such as resort-commercial zones to qualify as legal short-term rentals.
• Permit Requirements: To operate a short-term rental, owners must obtain the necessary permits. For Hawaii County, this includes compliance with Transient Accommodations Tax (TAT) and general excise tax (GET) regulations.

Specific Hawaii County Regulations

• Hosted vs. Unhosted Rentals: Bill 121 establishes a framework for regulating Transient Accommodations Rentals (TARs), distinguishing between hosted (owner present on site) and unhosted rentals. Unhosted TARs will be subject to stricter regulations, including the requirement that only individuals whose primary residence is in Hawaii County can operate them starting January 1, 2025.
• Visitor Destination Areas (VDAs): Communities with high concentrations of TARs, such as Volcano Village and Kona Vistas, can be designated as VDAs, making TARs a conforming use in these areas.

Tax Compliance

• Transient Accommodations Tax (TAT) and General Excise Tax (GET): Short-term rental income is subject to state and county TAT as well as GET. Hosts must register with the state’s Department of Taxation, file tax returns, and comply with county lodging tax rules.

Phase-Out and Conversion

• Phase-Out of STRs: Counties have the authority to phase out short-term rentals in residential and agricultural zones. In Maui, for example, over 7,000 short-term rentals are set to be phased out by January 1, 2026, with the option to convert to long-term rentals.

Compliance and Penalties

• Compliance: Short-term rental operators must comply with all county regulations and zoning ordinances. Failure to comply can result in fines of up to $10,000 per day.

Additional Considerations

• Community Feedback and Amendments: Regulations are subject to change based on community feedback and amendments approved by the County Council. Recent changes have aimed to make it easier for resident homeowners to offer short-term rentals legally.
• Future Restrictions: There is a trend towards stricter regulations on short-term rentals in residential neighborhoods, so it is advisable to ensure the property has zoning that supports transient rentals.

Top Airbnb Revenue-Generating Neighborhoods in Honolulu, Hawaii (Not Papaikou)

Since the information provided does not include specific data for Papaikou, Hawaii, here is a list of the top neighborhoods in Honolulu, Hawaii, that generate significant Airbnb revenue and their appeal to guests:

Waikiki

• Annual Revenue: $69,800 - $71,092
• Occupancy Rate: 78% - 94%
• Average Daily Rate: $174 - $245
• Appeal: World-famous beach, vibrant nightlife, shopping, and dining options make Waikiki a prime tourist destination.

Ala Moana

• Annual Revenue: $91,016
• Occupancy Rate: 86%
• Average Daily Rate: $247
• Appeal: Proximity to Ala Moana Beach Park, shopping centers, and other popular attractions.

Kailua

• Annual Revenue: $72,300
• Occupancy Rate: 72%
• Average Daily Rate: $275
• Appeal: Beautiful beaches, outdoor activities, and a more laid-back atmosphere offering an authentic Hawaiian experience.

Hawaii Kai

• Annual Revenue: $83,000
• Occupancy Rate: 65%
• Average Daily Rate: $350
• Appeal: Scenic beaches, hiking trails, and proximity to attractions like Hanauma Bay and the Koko Crater Trail, catering to those seeking an upscale and nature-oriented experience.

Kakaako

• Annual Revenue: $51,100
• Occupancy Rate: 70%
• Average Daily Rate: $200
• Appeal: Vibrant street art scene, trendy restaurants, and proximity to popular attractions like Ala Moana Beach Park and the Ward Village shopping center.

These neighborhoods are highly appealing due to their unique blend of natural beauty, cultural experiences, and convenient access to various attractions, making them ideal for Airbnb investors and guests alike.

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

Entry and First Impressions

• Design an inviting entryway with a mirror, baskets for keys and shoes, and a welcoming atmosphere to make guests feel special upon arrival.

Living Room

• Focus on lighting control with lamps and dimmer switches to create a versatile and comfortable space.
• Include nice, soft blankets and pillows with different fill options to enhance comfort.
• Ensure there are occasional tables for guests to place drinks and other items.
• Arrange the room to facilitate conversation and various activities, such as reading nooks or swivel chairs for flexibility.

Bedroom

• Offer high-quality bedding with extra layers stored in the closet for guest convenience.
• Provide two sleeping pillows per guest with different fill options (e.g., foam-filled, down alternative).
• Install bedside tables and lamps for each guest, including features like USB ports or wireless charging.
• Use blackout shades to cater to different sleep preferences.

Bathroom

• Add luxurious touches like fluffy bathrobes and nice-smelling hand soap.
• Ensure there are extra towels and a place to put shower items without them being on the floor.

Outdoor Spaces

• Create inviting outdoor lanai areas with comfortable seating and tropical-themed decor.
• Highlight outdoor spaces that offer breathtaking views and quiet spots for relaxation, which are highly sought after by guests in Pahoa.

Furniture and Decor Style

• Incorporate a blend of tropical and bohemian decor styles, using natural materials like wood or bamboo furniture.
• Use colorful textiles and local artwork to reflect the island's rich cultural heritage.
• Opt for open, airy spaces with abundant natural light to create a fresh and welcoming atmosphere.

Neighborhood and Location Considerations

• Choose properties in desirable neighborhoods such as Kehena Beach, Puna, or areas near Volcanoes National Park for their proximity to key attractions and community events.

Amenities

• Ensure the property includes essential amenities like Wi-Fi, air conditioning, and access to hiking trails and beaches.
• Consider adding pools, hot tubs, and BBQ grills to enhance the guest experience and attract more bookings.

Local Touches

• Incorporate local travel guides and information about nearby attractions and cultural events.
• Add unique touches like locally sourced art or handmade decor items to create a memorable and authentic Hawaiian experience.

Discovering Papaikou, Hawaii: Local Attractions and Insider Tips

Local Attractions

1. Hawaii Tropical Botanical Garden

• A lush sanctuary with over 2,000 species of rare tropical plants. The garden is accessible via the scenic Old Mamalahoa Highway, a four-mile stretch that offers breathtaking views.

2. Onomea Bay

• Located close to the Hawaii Tropical Botanical Garden, Onomea Bay offers a perfect combination of jungle and ocean views. The Onomea Bay Trail is highly recommended for its scenic beauty.

3. Rainbow Falls

• A stunning waterfall just 8.6 km from Papaikou, located in Hilo. The falls are easily accessible via a stairway path, and the views are very impressive.

4. Akaka Falls State Park

• Known for its 135-meter high Akaka waterfall, this park is relatively large and features spectacular waterfalls. It is about 9 km from Papaikou.

5. Mauna Kea

• While 39.4 km from Papaikou, Mauna Kea is a must-visit for its astronomical significance and breathtaking views. Ensure guests wear warm clothing due to the cold temperatures at the summit.

6. Waipiʻo Valley Lookout

• A massive valley filled with deep green cliffs and plunging waterfalls. Although 62.7 km from Papaikou, it is a unique natural wonder worth visiting.

7. Nahuku - Thurston Lava Tube

• A lava tube formed by volcanic lava, surrounded by tropical rainforests. It is about 44.9 km from Papaikou and offers an interesting geological experience.

Insider Tips

Scenic Drives

• Recommend driving along the Old Mamalahoa Highway for its stunning ocean vistas, waterfalls, and streams.

Local Eateries

• Inform guests about the few small eateries in Papaikou, which offer a local dining experience.

Climate

• Papaikou has a tropical rainforest climate with heavy rainfall year-round. Advise guests to pack accordingly and be prepared for rain.

Community

• Papaikou is a small, sleepy town. Encourage guests to explore the local community and enjoy the peaceful atmosphere.

Activities

• Suggest activities such as hiking, visiting the nearby waterfalls, and exploring the botanical gardens. For stargazers, a trip to Mauna Kea can be a highlight.

Transportation

• Provide information on local transportation options and distances to major attractions to help guests plan their trips effectively.

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

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

To ensure the success of your short-term rental business in Papaikou, Hawaii, several practical tips can make a significant difference in guest satisfaction and compliance with local regulations.

Noise Regulations and Quiet Hours

Inform your guests about noise regulations and quiet hours to maintain a peaceful environment for both your guests and the local community. Include clear guidelines on quiet hours 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, such as Wi-Fi passwords, appliance usage, and emergency contact information. This manual should be easily accessible to guests upon arrival, ensuring they have all the necessary information to enjoy their stay comfortably.

Simplified Check-in Process

Utilize smart locks to streamline the check-in process, eliminating the need for physical key exchanges. Provide guests with a unique access code and detailed instructions on how to enter the property. This not only enhances security but also offers a seamless and contactless check-in experience.

Clear Parking Instructions

Include parking instructions with photos in your house manual to help guests navigate the property's parking area. This can prevent confusion and potential issues, especially if the parking area has specific rules or limited spaces.

By implementing these strategies, you can enhance the guest experience, reduce potential issues, and ensure your short-term rental business in Papaikou, Hawaii, operates smoothly and successfully.

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

House Cleaning Services in Papaikou, HI

Homeaglow

• Offers professional and affordable house cleaning services.
• Background-checked cleaners.
• Initial 3-hour clean available from $19.

Note that the sources provided do not mention specific repair or maintenance providers in Papaikou, Hawaii, only house cleaning services.

Short-Term Rental Management Fees in Papaikou, Hawaii: A Guide to Costs and Services

In Papaikou, Hawaii, managing a short-term rental property comes with fees that can vary significantly based on the level of service provided. Typically, property management fees range from 10% to 30% of the rental revenue. Full-service management, which includes comprehensive services such as guest communication, marketing, and maintenance, tends to be on the higher end of this spectrum, often ranging between 20% to 30% of the revenue. In contrast, basic services may incur lower fees. Additionally, property owners may need to account for extra fees for services like cleaning, repairs, or interior design, which can be charged separately by the management company. Understanding these fee structures is crucial for optimizing the financial performance of your short-term rental property in Papaikou.