Hilo, HI

  • Overview
  • Performance
  • Listings
  • Buy Box

Key Performance Metrics

Market snapshot

Performance indicators for the Hilo short-term rental market based on reliable data.

Listings

290 / 567

Reliable / Active

Cap Rate

8%

Middle-Earners Gross Yield

Revenue

$45,528

Middle-Earners Revenue

Occupancy

76%

Middle-Earners Occupancy

Home Value

$555,210

Median Home Sale Price

Top Earners

$86,813

Top-Earners Revenue

Hilo

Market Revenue Seasonality

Top Listings

Highest revenue

The highest-performing listings in Hilo.

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C

Challenging to Investors

Hilo Regulations

Hilo's STR regulations are challenging for investors due to strict zoning restrictions that limit operations to specific districts (V, CG, CV, limited resort areas, RM condos), effectively prohibiting most residential properties. The $500 initial registration fee, $1M insurance requirement, NUC program for pre-2019 properties, and comprehensive documentation/compliance obligations create significant barriers to entry and ongoing operational complexity.

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About Hilo

Hilo sits on the eastern shore of the Island of Hawaiʻi, also known as the Big Island, where it serves as the county seat of Hawaiʻi County. With a population of roughly 45,000, it is the largest town on the windward coast and a working port city set against a backdrop of tropical rain forest and volcanic peaks. Often described as one of the wettest cities in the United States, Hilo has a relaxed, lived-in character shaped by its historic wooden storefronts, a deepwater harbor, and a slower pace than the island's resort-focused west side. It is best known as a gateway to Hawaiʻi Volcanoes National Park and the upper slopes of Mauna Kea. Hilo lies about 200 miles by air southeast of Honolulu on Oʻahu, and roughly 90 miles east of Kailua-Kona across the island's central saddle road.

A short drive southwest of Hilo, Hawaiʻi Volcanoes National Park anchors much of the visitor activity on the windward side. The park, roughly 45 minutes from town along the Hawaiʻi Belt Road, encompasses two of the world's most active volcanoes, Kīlauea and Mauna Loa, with crater overlooks, lava tube walks, and rainforest trails that easily fill a full day. Most travelers pair a park visit with an evening return to Hilo, which has long shaped the city's role as an overnight base for volcano tourists.

About 15 miles north of downtown, ʻAkaka Falls State Park draws visitors to a roughly 440-foot waterfall set within a verdant gorge. The park's short loop trail passes through bamboo groves, orchid plantings, and towering tree ferns before reaching overlooks of both ʻAkaka Falls and the smaller Kahūnā Falls. It is an easy half-day excursion from Hilo and a popular stop along the Hamākua Coast.

Closer to town, Rainbow Falls sits within Wailuku River State Park just minutes from downtown Hilo. The 80-foot cascade, named for the rainbows that form in its morning spray, is a quick stop for early risers and is reached by a short walking path through native foliage. Nearby, the Pacific Tsunami Museum documents the 1946 and 1960 tsunamis that reshaped Hilo Bay and offers a meaningful window into the town's coastal history for visitors curious about how the harborfront came to look the way it does.

Together, these draws position Hilo as a base for travelers who want a quieter, more local alternative to the Big Island's resort corridors. Its combination of walkable downtown, working harbor, and proximity to the volcano, waterfalls, and high-elevation observatories means short-term rentals here serve a steady flow of nature-focused visitors year-round, particularly those whose itineraries center on Hawaiʻi Volcanoes National Park and the scenic drive up the Hamākua Coast.

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