Top 10 cities where vacation rentals rake in the most cash
These rule changes would lock out big investors, and create a steep fine of more than $10,000 for non-licensed units. So it might be best to wait out the legislation before making the plunge here unless folks are renting out spare rooms in their primary residences.
“Finding affordable housing has long been a significant challenge for Hawaiʻi’s residents. Over the past decade, it has risen to crisis proportions,” the Hawaiʻi Appleseed Center for Law & Economic Justice wrote in a 2018 report. “The growth of the vacation rental industry in recent years is exacerbating these problems.”
Despite the future challenges, Honolulu remains a popular place for hosts. There’s so much competition that one-bedroom units in oceanside towers are renting for a very reasonable $100 a night. But even with the lower rates, owners can still make a tidy profit as the steady stream of tourists ensures the rentals are never vacant for long. That explains why the average monthly revenue tops $3,300.