Hawaii Set to Ban Airbnbs, Other Short-Term Rentals

A bill has passed in the Hawaii State Senate and House of Representatives, clarifying that “transient accommodations are not considered residential uses and may be phased out” or amortized by individual counties. The bill now heads to the desk of Hawaii Governor Josh Green, who has previously voiced his support for the bill.

This bill would allow counties to redefine zoning ordinances to convert short-term rentals into long-term housing intended for those displaced by the fires in 2023. Those wildfires killed over 100 people in Maui and displaced thousands more. According to Courthouse News, somewhere between 7,000 to 30,000 homes in Maui are mostly unoccupied short-term rentals, “with many operating illegally outside of proper zoning.”

In a statement posted on X (formerly Twitter), Gov. Green said, “It’s time we take a stand to house our people by phasing out illegal short-term rentals. Today, alongside Lahaina Strong, Hawai‘i’s Hoteliers and Hotel Labor Unions, we [are] united in support of counties’ authority to phase out short-term rentals (STRs).

“We know the majority of STRs in Hawai‘i are illegal, owned by non-residents and contribute to skyrocketing housing costs. We support Senate Bill 2919 to empower counties to regulate STRs and potentially phase them out.”

Once the bill is signed, the regulation will go into effect on January 1, 2025.

Courthouse News also reported that Gov. Green at one time threatened to outright ban short-term rentals through an emergency proclamation but never did. Lahaina Strong, “an online marketplace designed to help businesses on Maui thrive and rebuild after the Lahaina Fire,” pushed for the bill’s passage.

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