Updated August 4, 2026: This article was originally published on August 27, 2025. Since then, Hawaiʻi County has postponed implementation of the new transient vacation rental registration law, published a detailed registration FAQ, and introduced several related bills. This article has been rewritten to reflect the current effective date and to clearly separate requirements that have already become law from proposals that are still under consideration. Transient Vacation (TVR) Webinar – August 7, 2026

Big Island’s vacation rental market is entering a new phase. Beginning September 1, 2026, Hawaiʻi County is scheduled to open a countywide registration system for transient vacation rentals, commonly called TVRs.

Registration is now open: https://www.planning.hawaiicounty.gov/resources/transient-vacation-rentals

The new system applies to both hosted rentals, often called B&Bs, and unhosted short-term vacation rentals. It also applies to rentals lasting fewer than 180 consecutive days, meaning that some owners offering two-month, three-month, or other “mid-term” rentals may also fall under the new requirements.

The registration program was created by Ordinance 25-50. Its effective date was later moved to September 1, 2026, through Ordinance 26-51.

Several related proposals, including Bills 147, 173, and 175, are still moving through the County process. Those proposals are discussed separately below because they are not yet law.

First, What Counts as a Transient Vacation Rental?

The County is now using “transient vacation rental,” or TVR instead of short-term rental as the general term for a dwelling, dwelling unit, or room that is furnished and rented for fewer than 180 consecutive days.

There are two basic types:

Hosted TVR or B&B

A hosted TVR is located on the same property as the host’s principal home. The host must actually reside on the property while guests are staying there. County terminology interchanges the term Hosted TVR and B&B.

This could include renting:

  • A room inside your home
  • An ʻohana unit
  • A guest house
  • A separate permitted dwelling on the property where you live

Simply hiring a property manager or local contact does not make an absentee rental “hosted.” The host’s principal home must be on the same property, and the host must live there while the rental is occupied.

Unhosted TVR or STVR

An unhosted TVR is a rental where the host does not reside on the property while it is being rented. This is now officially called an STVR.

Unhosted rentals have been regulated by Hawaiʻi County since 2018. Depending on the property’s zoning and location, the rental may need an existing Short-Term Vacation Rental registration, a Nonconforming Use Certificate, commonly called an NUC, or another County permit.

What Ordinance 25-50 Requires

The new law requires TVRs to be registered with Hawaiʻi County before operating, unless the property falls within one of the existing-registration or permit exemptions described below.

The registration system is scheduled to open on September 1, 2026.

Registration fees

Rental TypeInitial RegistrationAnnual Renewal
Hosted TVR or B&B$250$100
Unhosted TVR or STVR$500$250

Booking platforms such as Airbnb and Vrbo are subject to a separate $1,000 County registration fee.

Some Existing Rentals Are Already Deemed Registered

Not every vacation rental owner needs to file a completely new application on September 1.

The following rentals are deemed registered under the new law:

  • Existing registered STVRs
  • Properties holding an existing NUC
  • B&Bs operating under an existing County use permit or State special permit

The County says these owners will receive a new registration number for use in their advertisements. Existing STVR owners and NUC holders must continue keeping their current registrations and NUC renewals up to date. B&B owners must continue complying with their existing permit conditions.

These previously registered or permitted properties do not need to renew under the new system on September 1. That date is primarily for rentals entering the system for the first time.

Hosted Rentals Are the Biggest New Group Entering the System

Hosted rentals are where the new law will have the greatest immediate impact.

Many Big Island homeowners rent a room, guest house, downstairs unit, or ʻohana on the property where they live. Some may have assumed that living on the property meant they did not need to register with the County.

Beginning with the new registration system, hosted rentals must register unless they are already operating under a qualifying County use permit or State special permit.

Owners should also remember that the property must actually be their principal home and that they must reside on the property while guests are staying there.

An Illegal Unhosted Rental Does Not Become Legal Just Because It Registers

This is one of the most important distinctions in the new County FAQ:

Registration is not a permit, and registration does not change zoning.

An owner who rents an entire home but does not live on the property cannot use the new registration process to legalize an unpermitted STVR.

Unhosted rentals are allowed only in certain zoning districts and locations unless the property already has an NUC or another qualifying approval. The 2019 application period for obtaining a new NUC has closed.

Owners of unregistered whole-home rentals should contact the Planning Department before assuming that they will qualify for registration. The County specifically warns that registration does not authorize a use that the zoning code otherwise prohibits.

What Owners Will Need to Submit

The County’s new FAQ provides considerably more detail about the registration application than was available when this article was originally published.

Owners should be prepared to provide:

  • The property address and Tax Map Key, or TMK
  • The number of bedrooms being offered for rent
  • Owner and local contact information
  • An active Hawaiʻi General Excise Tax license
  • An active State Transient Accommodations Tax registration
  • Confirmation that County real property taxes are current
  • A health and safety compliance declaration
  • Building, electrical, and plumbing permit numbers for the rental buildings
  • A site plan
  • A floor plan

The County may request additional information during its review.

The Site Plan and Floor Plan Do Not Need to Be Professionally Drawn

The County says neat, hand-drawn plans are acceptable. The plans should be readable, roughly to scale or dimensioned, and should clearly show how the property is being used.

A site plan should generally show:

  • Property boundaries
  • All structures on the property
  • The structure or rooms being rented
  • Driveways and guest parking
  • Setbacks from structures to property lines
  • Septic systems or cesspools
  • County water meters or catchment tanks
  • The adjoining road
  • A north arrow and scale

The floor plan should show:

  • Each floor of the rental
  • The use of each room
  • The bedrooms being rented
  • Where the host resides, for hosted rentals
  • Approximate room dimensions or a drawing scale

The County FAQ states that a maximum of five bedrooms may be rented on a building site and that the number of bedrooms should match County building records.

This could be a significant issue for properties with converted garages, unpermitted bedrooms, enclosed lanais, detached sleeping structures, or additions that were never properly permitted.

Registration Does Not Legalize Unpermitted Construction

The County is asking applicants to provide building, electrical, and plumbing permit numbers for the rental structures.

That does not necessarily mean every older property will have perfect permit records. However, it does mean that owners should not assume an unpermitted conversion or detached sleeping area can simply be included in the registration.

The number and location of rental bedrooms should match County records. Registration will not legalize an unpermitted building, an unpermitted change of use, or a rental that is not allowed by the property’s zoning.

For Big Island buyers, this makes checking County permit records even more important before purchasing a property based on its vacation-rental income potential.

Property Taxes Must Be Current

A TVR registration will not receive full approval if County real property taxes are delinquent.

Owners should confirm their balance before applying and resolve any delinquent taxes to avoid delays. Property-tax balances can be checked through the Hawaiʻi County Real Property Tax website.

Owners must also acknowledge during registration that operating a vacation rental may affect the property’s real property tax classification and liability.

What Happens When a Property Is Sold?

A TVR registration expires 90 days after a change in ownership. The new owner must register the property in their own name within that period or the TVR will be considered unregistered.

This does not mean that an existing NUC automatically disappears when the property is sold.

Hawaiʻi County currently has a change-of-information process for properties with existing STVR registrations and NUCs. New owners must update the ownership information, provide the required documents, keep the existing approvals current, and complete the new TVR registration requirements.

The County’s STVR information page includes the current change-of-information and renewal forms.

For buyers, the practical lesson is clear: do not treat an NUC, STVR registration, or vacation-rental history as something that transfers automatically without paperwork. Make the existing approvals, renewal history, permit records, tax status, and 90-day registration deadline part of your due diligence.

Existing NUC Properties May Still Carry Additional Value

Properties with valid NUCs can still have value because the application window for obtaining a new NUC has closed.

The new registration law does not, by itself, eliminate an NUC when the property is sold. The new owner must complete the ownership and TVR registration requirements and continue renewing the NUC on time.

However, NUC owners should follow the pending Bill 147 carefully. As currently drafted, Bill 147 would provide that if the County cancels the TVR registration for a property operating under an NUC, the cancellation would also revoke the NUC.

That provision is only a proposal at this point. Bill 147 has not yet become law.

Enforcement Will Be Expensive

The County will have stronger tools to identify and enforce against unregistered rentals.

Advertising a property as a vacation rental may be used as evidence that it is operating as one. Evidence can also include online booking availability, tax information, and information collected through booking platforms.

Operating an unregistered TVR can result in fines ranging from $1,000 to $10,000 or more, depending partly on the property’s advertised nightly rates. Continued violations can lead to daily penalties, court action, and liens against the property.

Owners should not assume that removing a listing from one platform will make an illegal rental invisible. The County plans to compare registration records against active online advertisements and platform reports.

Airbnb, Vrbo, and Other Platforms Must Also Participate

Booking platforms will be required to:

  • Register with Hawaiʻi County
  • Pay a $1,000 registration fee
  • Report Hawaiʻi Island listings to the County
  • Include the property’s TMK, State TAT registration number, County registration number, and listing link
  • Display County registration numbers in advertisements
  • Remove unregistered listings when ordered by the County

The County plans to cross-reference these reports against active vacation-rental registrations.

Taxes Are Separate From TVR Registration

Registration with Hawaiʻi County does not replace State or County tax requirements.

Vacation-rental income is generally subject to:

  • Hawaiʻi General Excise Tax
  • State Transient Accommodations Tax
  • Hawaiʻi County Transient Accommodations Tax
  • Applicable County real property taxes

The County FAQ states that the State TAT rate is 11 percent as of January 1, 2026, and the Hawaiʻi County TAT rate is 3 percent. Owners must have active State GET and TAT registrations before applying for TVR registration.

Owners should consult a qualified tax professional regarding their specific tax obligations.

What Is Proposed but Not Yet Law?

There are three pending bills that owners, buyers, property managers, and real estate professionals should continue watching.

Bill 175: Possible Registration Enforcement Grace Period

Bill 175 would allow the Planning Director, if additional implementation time is considered necessary, to delay enforcement of the new registration requirement through December 31, 2026.

This is not an automatic four-month extension under the current draft. It would give the Planning Director authority to delay enforcement for affected owners.

Bill 175 would also clarify that a proposed TVR with a use permit or special permit application accepted before September 1, 2026, could be deemed registered after the permit is eventually issued.

As of this article’s August 4, 2026 update, Bill 175 has not yet been adopted.

Bill 147: Zoning and Operating Standards

Bill 147 is a separate proposal that would revise the County zoning code and establish updated operating standards for hosted and unhosted rentals.

As currently drafted, it addresses matters including:

  • Where hosted and unhosted rentals may operate
  • Maximum bedroom and guest limits
  • Parking
  • Quiet hours
  • Property-management responsibilities
  • Advertising and signage
  • Weddings, concerts, and special events
  • Rentals on agricultural land
  • Building-permit requirements
  • Enforcement and fines
  • The relationship between TVR registration and existing NUCs

There is a detailed explanation of Bill 147 here: Bill 147 Relating to TVRs Explained

These details could change before the bill is adopted. Owners should not treat the current Bill 147 requirements as final law.

Bill 173: Proposed B&B Property-Tax Classification

Bill 173 would create a separate “bed and breakfast home” property-tax classification for qualifying hosted rentals that are also the owner’s principal residence.

The proposal is intended to preserve a three-percent annual assessment increase cap for qualifying properties. It also includes a temporary amnesty provision for certain homeowners who either properly register their hosted rental or stop the rental activity by the required deadline.

Bill 173 is not yet law. Owners should not assume that the proposed tax classification or amnesty period will be available until the County Council completes the process and the bill is adopted.

What This Means for Property Owners

For owners already operating a legal and properly registered STVR or NUC property, the new law primarily adds another registration number and another layer of annual compliance. Keep every existing registration, NUC, tax account, permit, and renewal current.

For homeowners operating hosted rentals, this is a much bigger change. Hosted rentals are being brought into a countywide registration system for the first time. Owners should begin gathering property records, floor plans, site information, tax registrations, and building-permit numbers now.

For owners operating illegal unhosted rentals, registration is not an easy path to legalization. If the property is not in an allowed area and does not already have an NUC or qualifying permit, the owner may not be able to continue operating it as a vacation rental.

What This Means for Buyers

Buyers should not purchase a property based only on Airbnb income statements, online reviews, or a seller’s statement that the property has been used as a vacation rental for years.

Before relying on vacation-rental income, verify:

  • Whether the rental is hosted or unhosted
  • The property’s County zoning
  • The State Land Use District
  • Whether the property has a valid STVR registration
  • Whether it has a valid NUC
  • Whether all annual renewals were completed on time
  • Whether the bedrooms and rental structures are permitted
  • Whether property taxes are current
  • Whether GET and TAT accounts are active
  • Whether private subdivision or condominium rules prohibit vacation rentals
  • What must be completed within 90 days after closing

A history of vacation-rental use does not prove that the use was legal.

What Property Owners Should Do Now

Owners do not need to panic, but they should get organized before the registration system opens.

Start by:

  1. Confirming whether your rental is hosted or unhosted.
  2. Locating your TMK, GET license, TAT registration, STVR registration, NUC, and any use or special permits.
  3. Checking that County property taxes are current.
  4. Gathering building, electrical, and plumbing permit numbers.
  5. Preparing a basic site plan and floor plan.
  6. Confirming that the rental-bedroom count matches County records.
  7. Reviewing online listings for accurate permit and registration information.
  8. Keeping all existing STVR and NUC renewals current.
  9. Following the County’s official announcements regarding the September 1 registration launch.
  10. Watching Bills 147, 173, and 175 for additional changes.

The Bottom Line

Ordinance 25-50 creates a new countywide registration and enforcement system. It does not automatically change where vacation rentals are allowed, legalize unpermitted rentals, or replace existing STVR, NUC, zoning, permit, and tax requirements.

The biggest changes affect hosted rentals that were not previously part of the County registration system and owners who have been operating rentals without confirming that the use and structures are legal.

For buyers, the days of assuming that any property with an Airbnb listing can continue operating as a vacation rental are over. Vacation-rental due diligence should now include zoning, permits, existing approvals, tax status, building records, and the new registration requirements.

Official Resources and New Links

Disclaimer

This article is for general informational purposes only and does not constitute legal, financial, zoning, or tax advice. Vacation-rental laws and pending bills may change. Property owners, buyers, and investors should confirm current requirements directly with Hawaiʻi County and consult qualified legal and tax professionals regarding their specific properties and circumstances.

About Me

I’m Dan Tousignant, Principal Broker of Living on Big Island Realty, certified home inspector, property manager, landlord and Hawaiʻi registered agent. With extensive experience in construction, real estate investing, and business management, as well as experience living off-grid both abroad and here on the Big Island, I provide clients with practical, real-world guidance through the Big Island’s unique real estate and business landscape. I am also the author of Moving to Big Island: Life on the Eastside. Whether you’re buying or selling a home, need a thorough inspection, or are setting up a business, I’m here to help. Reach out anytime at dan@livingonbigisland.com.