Crackdown On Oahu Vacation Rentals May Be Affecting Occupancy

Nov 2, 2019

A new report from the Hawaii Tourism Authority is highlighting occupancy for vacation rentals in September, including rentals listed on AirBnB and VRBO. The numbers emerge as the counties crack down on short-term rentals.

Since 2017, the Hawaii Tourism Authority has been tracking and reporting on the performance of vacation rentals beyond hotel rooms. Houses, private rooms, shared rooms and spaces are all included.

More than a million visitors used these accommodations in 2018 – making up nearly 12-percent of visitor arrivals for the year.

But passage of Honolulu’s Bill 89 regulating short-term rentals may have had an impact this past September.

Oahu saw a decrease of 7.6 percent in use of short-term rentals for the month compared to the year before.

HTA notes that unlike more traditional accommodations like hotels – vacation rentals may not be available year-round or every day of the month.

So even though there was a decrease in supply on Oahu it may not necessarily be due to the enforcement of Bill 89.

Meanwhile, vacation rentals on Maui County and Hawaii Island saw increases in occupancy, demand and average daily rates for the month.

Kauai rentals also saw growth in areas like average daily rates – even though it saw a decline in occupancy.