C&C Honolulu Enforcing Higher Tax Rate for STR

[Sayed Jaffar]

I have noticed lots of properties, where the owners were running Airbnb or Vacation Rentals, are for sale. When I dig deeper, I noticed that almost majority of these properties had one thing in common. They are all slapped with a higher property tax rate compare to what owner was paying in previous years. After doing more research, I noticed a trend that C&C is making the homeowners pay taxes for the previous years as well. In some cases, the effective tax rate is huge. 

Looks like C&C is using some type of mechanism or enforcement task force which is tracking the properties listed on Airbnb or VRBO sites, and then doing their checks if the property owner is paying taxes for "resort " zoning or not. I think this is going to be a game changer, as with these rates, it is not possible for an average Airbnb operator to make money. 

Has anyone else noticed this or want to share your input?