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Bill 9 and Maui Short-Term Rentals: What Buyers and Sellers Should Know

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Understanding Bill 9: Maui’s STR Phase-Out Proposal

Bill 9, introduced by the Maui County Council, proposes eliminating short-term rentals (STRs) on apartment-zoned properties across Maui. This bill targets explicitly multi-unit condos in apartment zones (A-1 and A-2) that have historically allowed short-term renting under the now-famous “Minatoya List.”

If you’re buying or selling real estate in Maui, especially condos intended for rental income. This legislation may impact property use, revenue, and long-term value.

Read the full Bill 9 overview here

The Minatoya List: A Brief History

In 2001, Corporation Counsel Richard Minatoya issued a legal opinion allowing certain apartment-zoned properties to continue vacation renting if they had historically done so. These properties, built before 1992 and used as STRs, were effectively grandfathered into legality despite not being hotel-zoned.

For years, this workaround provided investors with a middle ground. Condos that weren’t hotel-zoned but still allowed nightly rentals. Now, Bill 9 proposes phasing that out.

The TIG Report & Proposed Zoning Changes

To assess the consequences of Bill 9, the County Council formed a Temporary Investigative Group (TIG) in 2024. In their report, they proposed creating two new hotel zoning categories, H-3 and H-4, to rezone select apartment-zoned properties and preserve their ability to operate as STRs.

Approx. 4,519 units were recommended for rezoning to these new categories, based on:

  • High market value (beyond local affordability)
  • Location in visitor-rich or sea level rise areas
  • Timeshare or STR-dominant use

Properties not included in the TIG’s Exhibit 2 list would still face STR phase-out unless they independently apply for rezoning through community plan amendments and zoning changes.

How This Impacts Buyers and Sellers

For Buyers:

If you’re considering a Maui condo for short-term rental income, always verify:

  • Whether the property is hotel-zoned
  • If it’s on the Minatoya List
  • Whether it’s included in the TIG’s rezoning recommendation

STR zoning status now directly affects a property’s long-term use and financial performance.

For Sellers:

Zoning risk has become a key valuation factor. Proactive disclosures, accurate MLS marketing, and clear communication around STR eligibility can help ensure a successful sale.

Related Resources on MauiProperty.com

Hotel-Zoned Condos in Maui

Minatoya List Overview

Maui STR Tax Guide (GET, TAT, MCTAT)

1031 Exchange Strategies

Buying a Vacation Rental in Maui

Tax Implications When Selling

Final Thoughts

Bill 9 marks a significant shift in Maui’s approach to short-term rentals. For investors, second-home buyers, and sellers, understanding your property’s zoning is no longer optional—it’s essential. Whether you’re exploring STR opportunities or looking to exit your investment strategically, our team can help you stay ahead of the curve.

Call us today at 808-217-8832 or use our contact form to evaluate your options and navigate Maui’s evolving regulatory landscape with confidence.

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Welcome to The Maui Property Team at Compass, where our passion for the stunning island of Maui drives everything we do. Our foundation is built on a commitment to putting our clients first, ensuring their needs and aspirations are at the forefront of our operations.  Having sold hundreds of homes, Robert and his Maui Property team have grown to be one of Maui's Top Selling real estate teams. 

Our team consists of experienced brokers and agents who combine their expertise to deliver unparalleled service. As part of Compass, we stand out as forward-thinkers, leveraging the latest technology and integrated systems to elevate our services.

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Maui Property is a real estate team affiliated with The Maui Property Team. The Maui Property Team is a licensed real estate broker with a principal office in Maui, Hawaii, and abides by all applicable equal housing opportunity laws. All material presented herein is intended for informational purposes only. Information is compiled from reliable sources but is subject to errors, omissions, and changes in price, condition, sale, or withdrawal without notice. No statement is made as to the accuracy of any description. All measurements and square footages are approximate. This is not intended to solicit property already listed. Nothing herein shall be construed as legal, accounting, or other professional advice outside real estate brokerage.

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