Vacation rentals across Hawaii reported substantial increases in demand, occupancy and average daily rate (ADR) in January 2022 compared to January 2021, however vacation rental supply declined. In comparison to January 2019, ADR was higher in January 2022, but vacation rental supply, demand and occupancy were down.
The State of Hawaii Department of Business, Economic Development & Tourism (DBEDT) issued today the Hawaii Vacation Rental Performance Report for the month of January utilizing data compiled by Transparent Intelligence, Inc.
In January 2022, the total monthly supply of statewide vacation rentals was 528,000 unit nights (-21.7% vs. 2021, -28.0% vs. 2019) and monthly demand was 355,800 unit nights (+34.5% vs. 2021, -37.9% vs. 2019) (Figures 1 and 2). That resulted in an average monthly unit occupancy of 67.4 percent (+28.2 percentage points vs. 2021, -10.8 percentage points vs. 2019) for January. Occupancy for Hawaii’s hotels was 65.4 percent in January 2022.
The ADR for vacation rental units statewide in January was $295 (+22.1% vs. 2021, +35.0% vs. 2019). By comparison the ADR for hotels was $357 in January 2022. It is important to note that unlike hotels, units in vacation rentals are not necessarily available year-round or each day of the month and often accommodate a larger number of guests than traditional hotel rooms.
In January, legal short-term rentals were allowed to operate in Maui County and on Oahu, Hawaii Island and Kauai as long as they were not being used as a quarantine location.
In January 2022, domestic passengers could bypass the State’s mandatory five-day self-quarantine if they were up-to-date on their vaccination or with a negative COVID-19 pre-travel test result from a Trusted Testing Partner through the Safe Travels program. Passengers arriving on direct international flights were subjected to federal U.S. entry requirements which included proof of an up-to-date vaccination document and negative COVID-19 test result taken within one day of travel, or documentation of having recovered from COVID-19 in the past 90 days, prior to their flight.
The data in DBEDT’s Hawaii Vacation Rental Performance Report specifically excludes units reported in Hawaii Tourism Authority’s Hawaii Hotel Performance Report and Hawaii Timeshare Quarterly Survey Report. A vacation rental is defined as the use of a rental house, condominium unit, private room in private home, or shared room/space in private home. This report does not determine or differentiate between units that are permitted or unpermitted. The legality of any given vacation rental unit is determined on a county basis.
Island Highlights
In January, Maui County had the largest vacation rental supply of all four counties with 174,200 available unit nights (-36.0% vs. 2021, -17.6% vs. 2019). Unit demand was 115,100 unit nights (+6.0% vs. 2021, -35.4% vs. 2019), resulting in 66.1 percent occupancy (+26.2 percentage points vs. 2021, -18.2 percentage points vs. 2019) with
ADR at $363 (+28.3% vs. 2021, +27.2% vs. 2019). In comparison, Maui County hotels reported ADR at $619 and occupancy of 61.2 percent.
Oahu vacation rental supply was 160,200 available unit nights (+4.7% vs. 2021, -38.3% vs. 2019) in January. Unit demand was 105,800 unit nights (+47.7% vs. 2021, -45.5% vs. 2019), resulting in 66.0 percent occupancy (+19.2 percentage points vs. 2021, -8.7 percentage points vs. 2019) and ADR at $223 (+15.1% vs. 2021, +38.9% vs. 2019). Oahu hotels reported ADR at $242 and occupancy of 65.5 percent.
The island of Hawaii vacation rental supply was 114,200 available unit nights (-19.2% vs. 2021, -31.1% vs. 2019) in January. Unit demand was 82,200 unit nights (+20.7% vs. 2021, -32.1% vs. 2019), resulting in 72.0 percent occupancy (+23.8 percentage points vs. 2021, -1.1 percentage points vs. 2019) with ADR at $237 (+11.9% vs. 2021, +38.0% vs. 2019). Hawaii Island hotels reported ADR at $394 and occupancy of 71.6 percent.
Kauai had the fewest number of available vacation rental unit nights in January at 79,400 (-26.1% vs. 2021, -18.1% vs. 2019). Unit demand was 52,800 unit nights (+225.7% vs. 2021, -34.2% vs. 2019), resulting in 66.5 percent occupancy (+51.4 percentage points vs. 2021, -16.3 percentage points vs. 2019) with ADR at $382 (+26.3% vs. 2021, +35.7% vs. 2019). Kauai hotels reported ADR at $368 and occupancy of 67.1 percent.
Tables of vacation rental performance statistics, including data presented in the report are available for viewing online at: http://dbedt.hawaii.gov/visitor/vacation-rental-performance/
