Vacation Rentals in Hawaii?

Question

Hello-

I did some research last year regarding vacation rentals in Hawaii. I was thinking of buying a small 1 bedroom and renting it out daily weekly and monthly through airbnb, homeaway. Does anyone have any knowledge or insight they like to share?

Thanks,

Armand.

Jeremy Baker · Answer

Not many better places to own a VR than Hawaii!  We currently own a 1b/1bth in Kihei, Maui and working on a deal for a second VR in Kihei.  Feel free to ask any questions and I'll give you honest answers based on our experiences.

Armand P. · Answer

Hi Monika-

I been to Oahu many times and love it there! So I would ideally want to buy something near the beach. However, I am not too familiar with regulations and have enough funds to start...

Jeremy Baker · Answer

@Jose Lopez - We purchased our condos as fee simple.  Please feel free to message me and I'll be happy to help and answer any questions you may have!

Teresa Nelle · Answer

Aloha @Armand P. Yes you are correct. For instance, in Maui Co. you would want to purchase a condo - not a stand alone home as they are only allowing 88 permits for homes. Homes would be difficult anyway as who is going to mow your lawn and check your roof etc? When you own a condo, you pay a homeowners association to take care of all of that for you. Its also less expensive then a stand alone home.

Teresa

Lynne Smith · Answer

@Armand P. My uncle lives in Hawaii and has a few rental properties. Be very careful to check out airBNB rules in the town. My uncle went from airBNB to zilch overnight because residents didn't want homes used for this purpose. Might be less of a problem in towns that aren't the most heavily visited. There was push back from landlords and the latest news is that his town is giving out a limited number of vouchers on a lottery system each year and only those recipients can airBNB. He's in Oahu. Google : Bill 89, also known as Ordinance 19-18.

Jose Lopez · Answer

@Jeremy Baker. Did you purchase a leasehold? I looked at maui and it doesnt seem airbnb friendly. I have two rentals in la and attempting to transition to Hawaii. Any help would be greatly appreciate

John Dirgo Deweese · Answer

We manage about 60 vacation rentals on the Big Island, so if theres any information i could provide, just shoot me your questions.

Lawrence Lloyd paclob · Answer

I am from Oahu and I have also been looking into buying a VR in Waikiki area but just haven't pulled the trigger on it due to lack of financing. But I have worked with a few good property management company's bydoing thier plumbing, so if you was looking for a management I could try and hook you up with some. Other then that I would like to hear the outcome of your investment and good luck!

Jeremy Baker · Answer

@Steve Zohnplease private message me and I'll give you all the info you want.  I don't want to bog down and "hijack" this thread.

Steve Zohn · Answer

@Jeremy Baker- Thanks,  can you share your fee structure with your PM in that scenario?  That's what were hoping to do as well.    Do you have a average budget for incidentals  that VR may incur?  Linens/towels, thing you may keep stocked, coffee , laundry detergent etc?

@Ron Hansen- We don't have one yet,  we're still in early stages of finding a condo, and haven't even begun talking to PM companies yet.

Vacation Rentals in Hawaii?

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