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Kihei, HI

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STR Regulations for Kihei, Hawaii

Executive Overview (Kihei STR Status)

  • Short-term rentals (STRs) are allowed in Kihei, but only under Maui County rules and within the property’s zoning. STRs are permitted in two zoning categories on Maui: Hotel-zoned areas and Apartment-zoned areas. In practice, most STRs in Kihei are in Apartment-zoned condominium complexes permitted through Maui County’s “Minatoya List” framework.
  • There is no city-level STR regulation in Kihei; the County of Maui is the governing authority.
  • Maui County’s current regulatory framework distinguishes three STR categories:
    • Bed & Breakfast Home (B&BH): owner-hosted, limited rooms.
    • Short-Term Rental Home (STRH): single-family dwelling, operated by a designated manager, non-hosted allowed.
    • Transient Vacation Rental (TVR): applies to apartment-zoned units and certain resort areas; historically “hosted” or “non-hosted.”
  • The County recently updated the B&BH and STRH ordinances (Ordinance 5300, effective Nov 26, 2021). STRHs have strict eligibility rules (age of construction and ownership), non-transferable permits, and annual permit caps at the Community Plan Region level.
  • A County-wide moratorium (Bill 159) is in effect on the construction of new STR condo complexes; no new STR complexes are being built.
  • Future risk: The County is advancing “Bill 9” to phase out thousands of apartment-zoned STR units by 2026. Proposed carve-outs include resort areas (e.g., Wailea, Ka’anapali, Kapalua) and certain oceanfront properties, with recommendations from a temporary investigative group. The final outcome is pending; investors should plan for both continuation (in permitted zones and resort carve-outs) and potential conversion or phase-out risk (especially in Apartment-zoned non-resort areas of Kihei).

Source context: Maui County STR pages, Maui STRH ordinance page and application portal, Summer’s Hawaii STR overview (for statewide definitions), a Maui real estate broker’s 2025 STR rules commentary, and Civil Beat’s coverage of Bill 9’s carve-outs and phase-out timeline.

How to Start a Short-Term Rental Business in Kihei

  1. Confirm Zoning Eligibility
  • Hotel-zoned STRs: Permitted by right in resort/hotel districts.
  • Apartment-zoned STRs (Minatoya List): Permitted only if the complex is on the County’s list of apartment-zoned STRs; verify your condominium’s status and STR rules. Check Maui County’s list of “Permitted Transient Vacation Rentals (TVR)”.
  • If your property is outside these zones, a B&BH or STRH permit is required; however, those options are currently extremely limited, especially for non-hosted units.
  1. Obtain State Tax Licenses (General Excise Tax and Transient Accommodations Tax)
  • TAT (Transient Accommodations Tax): 10.25% of gross rental income. Register with the Hawaii Department of Taxation ($5 for 1–5 units; $15 for 6+ units).
  • GET (General Excise Tax): 4% base rate plus any county surcharge. Register with the Hawaii Department of Taxation (fee $15).
  • Licenses must be obtained prior to applying for County permits and must be kept current.
  1. Pursue County Permits (as applicable)

  • STRH (Short-Term Rental Home) Permit:

    • Eligibility: Single-family dwellings constructed at least 15 years before application; owner must have owned the dwelling for at least 15 years; one permit per applicant; permits are not transferable.
    • Duration: Permits valid for up to three years; renewals required.
    • Application: Online via MAPPS (Maui’s Automated Planning and Permitting System).
    • Required documents (typical): applicant identity and ownership proof, tax map key (TMK), site and floor plans, list of adjacent property owners within 500 feet, Planning Department STRH inspection report, certification of compliance, state TAT and GET licenses, application fee.

  • B&BH (Bed & Breakfast Home) Permit:

    • Owner/manager must reside on site; limited number of rooms; compliance with Chapter 19.64; check the B&BH permit webpage for application details.

  • TVR (Transient Vacation Rental) status (Apartment-zoned complexes):

    • Where a complex is permitted on the “Minatoya List,” owners typically operate under the County’s TVR framework, not an STRH or B&BH permit. Confirm complex-specific requirements with the association and County.
  1. Complete inspections, certifications, and disclosures
  • For STRH: a County inspection is required (Planning Department report).
  • Prepare safety documentation (e.g., fire extinguisher, exits), parking plan, house rules, and emergency contact list. These are often required in application checklists and/or by HOA rules.
  1. Designate an On-Island Contact
  • Maui requires a local, reachable contact to handle guest issues and emergencies.
  1. Association and Insurance Compliance
  • Confirm HOA short-term rental rules, registration, occupancy, parking, amenities access, and quiet hours.
  • Carry adequate liability insurance (commonly $1,000,000 general liability; confirm association and County requirements).
  1. Monitor Legislative Changes
  • Track Bill 9 progress. If passed in its current or amended form, apartment-zoned STRs outside carve-outs may need to cease by Jan 1, 2026. Resort-area and certain oceanfront properties may be exempt, but specifics will depend on final Council action.

Links to application portals and lists:

Required Documents, Permits, Licenses, and Guidelines Documents commonly required for County STRH permits (as listed by Maui County):

  • Applicant identification, contact information, and property ownership verification.
  • Property Tax Map Key (TMK).
  • Site and floor plans identifying bedrooms, parking, and emergency exits.
  • Names and addresses of owners/lessees of record within a 500-foot radius of the subject property.
  • Maui County Planning Department STRH inspection report.
  • Certification form signed by the owner attesting to compliance with applicable regulations.
  • Copy of current Hawaii TAT license.
  • Copy of current Hawaii GET license.
  • Application fee and any associated review fees.

Statewide prerequisites:

  • TAT registration and GET registration before County application; keep renewals current.
  • Liability insurance with minimum coverage per County/HOA requirements (commonly $1,000,000).
  • Designated on-island contact.
  • HOA compliance (rules, occupancy, registration, amenity restrictions).

Permit types and regulatory references:

  • STRH Permit (Maui County Code Chapter 19.65): short-term rental homes; permits limited by Community Plan Region; non-transferable; one per applicant.
  • B&BH Permit (Maui County Code Chapter 19.64): owner/manager-resided, room-limited lodging.
  • TVR status: Apartment-zoned STR units permitted via the County’s historical framework and list of permitted TVR complexes.
  • Ordinance 5300: Amends Chapters 19.64 and 19.65 (effective Nov 26, 2021).

Specific Regulations for Short-Term Rentals in Kihei (and Maui County) Definitions and scope

  • Maui County defines STRs by the rental duration: rentals of fewer than 180 consecutive days are treated as transient accommodations under Maui’s framework.
  • Kihei has no city-level STR rules; Maui County Code governs.

Permit caps and non-transferability

  • STRH permits are capped per Community Plan Region and are non-transferable; one permit per applicant.

Ownership and age requirements

  • STRH eligibility requires that the dwelling be constructed at least 15 years before application and that the applicant has owned the dwelling for at least 15 years.

Permit term and renewals

  • STRH permits are valid for up to three years and must be renewed.

Apartment-zoned STRs (Minatoya List)

  • STRs are permitted in apartment-zoned districts where the condominium complex appears on the County’s TVR-permitted list. Owners operate within that framework, not under an STRH permit.
  • Bill 9 would phase out many apartment-zoned STR units by Jan 1, 2026, subject to carve-outs (see below).

B&BH operations

  • B&BH requires owner or designated manager on-site presence and limits the number of rentable rooms; separate permit and application process under Chapter 19.64.

Moratorium on new STR complexes

  • Maui County enacted Bill 159, a moratorium on constructing new STR condo complexes; no new STR complexes are being approved or built.

Bill 9 (2024–2025): Phase-out and carve-outs

  • Purpose: Convert thousands of apartment-zoned STR units to long-term housing, particularly after the 2023 wildfires displaced thousands of residents.
  • Proposal: Phase out non-resort apartment-zoned STRs by Jan 1, 2026.
  • Carve-out recommendations (from the County’s temporary investigative group): Exempt resort areas (Wailea, Ka’anapali, Kapalua), oceanfront properties, timeshare-dominant properties, and units on Molokaʻi. The final carve-outs and implementation details are still under Council review.
  • Impact: Units outside carve-outs may need to cease operations or rezone; owners may consider converting to long-term rentals, selling, or pivoting to hosted B&BH (where feasible).

Key Contacts and Authorities Maui County Planning Department

  • Planning Administration
    • Phone: (808) 270-7735
    • Fax: (808) 270-1775
  • Current Planning Division (physical address)
    • 2200 Main Street, One Main Plaza Bldg, Suite 619, Wailuku, HI 96793
    • Phone: (808) 270-8205
    • Fax: (808) 270-1775
  • County of Maui main contact directory: www.mauicounty.gov/directory.aspx
  • COM Connect (report concerns or request information): www.mauicounty.gov/76/Request-for-Service

MAPPS (online permitting and plan review): www.mauicounty.gov/2479/MAPPS-Information

Relevant Statutes, Ordinances, and Rules (Source Links)

Investor Notes and Practical Considerations

  • Kihei STR exposure is currently concentrated in apartment-zoned complexes that are on the County’s permitted TVR list. These units are most exposed to the phase-out risk under Bill 9 if they are not in the carve-outs.
  • Hotel-zoned resort properties (and any carve-outs granted to resort areas) should remain more resilient, though final Council action will determine the map and scope of exemptions.
  • If you are buying or managing an existing STR in Kihei:
    • Verify complex-level status (on the County’s permitted TVR list), HOA STR rules, and the current legislative trajectory (Bill 9).
    • Maintain impeccable compliance documentation, including County permits, tax licenses, inspections, safety plans, and HOA requirements.
    • If you hold an STRH or B&BH permit, ensure you meet the ongoing residency and ownership requirements, and plan permit renewals well in advance.

This guide reflects Maui County’s current rules and the public proposals and recommendations available as of late 2025. Because the Council’s final action on Bill 9 is pending, investors should confirm the latest status with Maui County Planning before closing or making material operational changes.

What do Airbnb hosts actually earn in Kihei?

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Kihei

Market Saturation Score

036912
High Saturation
10/ 12
months with declining YoY revenue
8–10 declining months: high saturation - supply likely outpacing demand.
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Photos of Kihei

Overview of Kihei

Kihei is a sun-drenched beach town located on the leeward (southwestern) coast of Maui, in Maui County, Hawaii. With an approximate population of 20,000 residents, it is one of the island's most visited destinations and feels less like a traditional town than a long, low-rise strip of condos, vacation rentals, shops, and restaurants stretched along the Pacific. The community trades formality for a laid-back, swim-shorts-and-sandals atmosphere, drawing visitors who come for the reliably warm weather, gentle ocean conditions, and some of Maui's most accessible beaches. Kihei sits about ten miles south of Kahului, the island's main commercial hub and home to Maui's primary airport, and roughly a thirty-minute drive from the resort enclave of Wailea to its south and the historic town of Wailuku to the north.

Just up the slope from Kihei rises the island's defining landmark, Haleakalā National Park, where the massive shield volcano that forms more than three-quarters of Maui towers to over 10,000 feet. The park is famous for its otherworldly crater, sweeping desert-like landscapes, and — for early risers — sunrise views above the clouds. The drive from Kihei to the summit is roughly 60 miles and takes about two to two-and-a-half hours, winding through ranch country, eucalyptus forests, and multiple climate zones before reaching the visitor areas near the rim.

Closer to sea level, the string of Kamaole Beach Parks running through central Kihei offers three contiguous oceanfront parks known simply as Kam I, Kam II, and Kam III. These sandy coves are popular for swimming, bodyboarding, and, especially at the rocky points on either end, excellent snorkeling when ocean conditions are calm. They sit within walking distance of most of Kihei's condominiums and hotels, making them the de facto backyard beach for the area.

A short drive west of Kihei, the small harbor village of Maalaea is home to the Maui Ocean Center, a well-regarded marine aquarium focused on the unique ecosystems of the Hawaiian Islands, including live coral displays, a walk-through shark tunnel, and endemic Hawaiian species. The aquarium is about a ten-minute drive from central Kihei, and Maalaea Harbor itself serves as a launch point for seasonal whale-watching cruises, snorkeling excursions to nearby Molokini, and sunset sails.

Further afield, the road to Hana and the lush windward (eastern) side of Maui begins roughly an hour and a half from Kihei, offering a completely different landscape of rainforests, waterfalls, and coastal vistas for guests willing to make a day trip. Closer still, the small community of Wailea, just minutes to the south, anchors Maui's most concentrated cluster of luxury resorts, golf courses, and the frequently photographed beaches of Wailea and Polo Beach.

For short-term rental owners, Kihei's appeal is straightforward: it combines the practical advantages of being the closest major resort area to Maui's airport with year-round beach weather, a deep bench of nearby attractions that range from volcanic summits to coral reefs, and an established tourist infrastructure of restaurants and shops. Guests can spend an entire vacation based here without ever needing to drive more than an hour, while still having access to essentially every experience Maui is known for.

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