Investing in Hawaii - Waikiki

[Sarah Singh]

Hey Guys

I'm an Australian investing in the states and after seeing the air bnb rates people are getting in Hawaii in particular Waikiki, became interested in the real estate there. In other states in America I have been going through a turnkey provider they have also assisted me with non recourse finance as well as property managers etc.

Look forward to hearing from some bigger pockets people

Cheers

Sarah

[Account Closed]

Short term vacation rentals come with an additional tax burden of 10.25% in Hawaii, the Transient Accommodations Tax (TAT).  There's also the 4% General Excise Tax (GET), which you will need to apply and register for a GE License.  Additionally,  since you're looking at Waikiki, there will be an additional 0.5% Oahu Surcharge Tax.  The taxes are calculated on your gross income from the rental.  Hopefully you'll remember to factor those numbers into your property analysis.