3 Replies Latest reply: Jul 31, 2019 4:03 PM by bobbie32 RSS

    Honolulu Ordinance -- Penalties apply to owners if ad site posts nightly rate.  Are you in compliance?

    droptop Contributor

      Found this in today's Honolulu Star-Advertiser.  I've paraphrased the piece to stay on the right side of the copyright requirements on the VRBO site, but the point is still clear:


      Penalties apply to owners if ad site posts nightly rate


      Question: We legally rent out our place for 30 days or more, That said, where we advertise online they break it down to a nightly rate for the convenience of the customers — so they can compare properties before booking. Will the new Honolulu law catch us, even though its VRBO and others who control this, and not owners?


      Answer: Yes, potentially. The city recommends you persuade your booking platform to ensure their advertising and the policies that govern it are legally compliant with the Honolulu law . . . or that you take your advertising business elsewhere is they won't. On it's FAQ about Honolulu law 19-18, the Honolulu Department of Planning and Permitting addresses this aspect of illegal rentals. On Oahu -- unless the property is in a resort zone or has a nonconforming use permit -- rentals of less than 30 days are illegal.


      Here's what the FAQ says:


      “I only rent my property for 30 days or longer, but when I advertise on a certain platform, the monthly rate is automatically broken down into daily rates. These rates become part of my ad and I have no ability to change that. Will I be liable, even though I don’t rent by the day?


      “Yes, you may be cited for illegally advertising. If the platform is unwilling to change its policy, you may have to decide whether to continue participating on that platform.”