Performance indicators for the Honokaa short-term rental market based on reliable data.
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The highest-performing listings in Honokaa.
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Challenging to Investors
Honokaa allows STRs, but they are limited to hotel/commercial/multi-family zones and prohibited in single‑family and agricultural areas under Bill 108, greatly reducing viable properties. Fees (hosted $250/unhosted $500 + renewals), platform obligations ($1,000), and strict penalties ($1k–$10k) add moderate but meaningful compliance burden. Zoning constraints and enforcement risk make investment challenging despite a clear process.
Local STR Agent
STR specialist · Honokaa, HI
Honokaa is a small plantation town nestled on the lush Hamakua Coast of the Big Island of Hawaii, in Hawaii County. With a population of approximately 2,000 residents, it has the feel of a place that has held onto its history: weathered wooden storefronts line Mamane Street, and the rhythm of daily life moves at the pace of the surrounding tropical greenery and rolling pastures. The town is best known as the gateway to the legendary Waipio Valley and serves as a convenient stop for travelers exploring the windward side of Hawaii Island. It sits roughly 45 miles northwest of Hilo, the island's largest city, with a typical drive of about 50 minutes along the scenic Hamakua Highway.
Just minutes north of town, Waipio Valley is the most celebrated natural attraction in the area, often called the "Valley of the Kings" for its deep cultural significance to Native Hawaiians. The overlook is only about a ten-minute drive from Honokaa, where visitors can gaze down into a dramatic amphitheater of sheer green cliffs, working taro fields, and a wild black-sand beach. Access to the valley floor is via a steep, four-wheel-drive road, but most travelers simply take in the panoramic view from the lookout before continuing their journey up the coast.
South of Honokaa, about a 30-minute drive, Akaka Falls State Park features one of the tallest free-falling waterfalls in Hawaii, plunging approximately 442 feet through a corridor of dense rainforest and orchid-draped trees. A short loop trail winds past Kahuna Falls and the main cascade, making it an easy and rewarding stop on the way to or from Hilo. The park is one of the most visited natural sites on the windward side of the island.
In the heart of Honokaa, the historic Honokaa People's Theatre has been a gathering place for the community since the 1930s and remains a beloved landmark on Mamane Street, hosting films, live performances, and local events. The surrounding downtown, with its boutiques, art galleries, and old-style bakeries, gives short-term rental guests a sense of stepping into a slower, more personal version of Hawaii that feels a world away from the resort-heavy Kona coast.
Honokaa makes a compelling base for travelers who want to experience the green, untamed side of Hawaii Island without sacrificing access to the essentials. Its central location on the Hamakua Coast puts waterfalls, valleys, botanical gardens, and the slopes of Mauna Kea within easy reach, while its walkable downtown and authentic plantation-era atmosphere give visitors a genuine sense of place. For short-term rental owners, that combination of natural drama, small-town character, and proximity to Hilo offers a market niche that the island's more commercial destinations cannot easily replicate.