Popular sunny destination to slash 10,000 vacation rentals in affordable housing push

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Hawaii Gov.Josh Greene is shaking up the way Americans are visiting the Aloha State by doubling down on the regulation ofvacation rentals.

In his State of the State address on Monday, Greene, a Democrat, announced that 10,000 rentals would be removed from the market.

“We also have to return more homes to local families — including short-term rentals that have taken too many units off the market,” said Greene.

HIGH TOURIST TAX IN HAWAII DESIGNED TO RAISE FUNDS FOR CLIMATE CHANGE CHALLENGED BY LAWSUIT

“In the coming years,” he added, “we will support the counties as they bring more short-term rentals back into the housing market — so that more homes go to local families, not absentee investors.”

In May 2024, the governor signed legislation allowing counties to regulateshort-term rentalswith the goal of providing more affordable housing.

hawaii green fee tax

Most recently, the Maui County Council passed a bill on Dec.15 to phase out thousands of “transient vacation rentals” in apartment districts for the longer term, following the recovery from thedevastating wildfiresin 2023.

aerial view of hawaii with cruise ship in horizon

Hawaii’s “Green Fee” bill was set to raise tourist taxes substantially to help fund “climate change” mitigation this year, but a judge halted the provision. (iStock)

Visitor spending in the month of November rose 15.9%, with the Aloha State raking in $1.77 billion, according to DBEDT.

Hawaii’s“Green Fee” billwas set to raise tourist taxes quite substantially to help fund “climate change” mitigation this year — but a judge has halted the provision. 

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TheCruise Lines International Association(CLIA), along with a cruise ship supplier, filed a 

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