Bill 9 Maui: What Buyers and Sellers Must Know

Bill 9 (Ordinance No. 5909) represents the most significant shift in the Maui condo market in decades. Signed into law on December 15, 2025, the ordinance directly impacts apartment-zoned condominiums that have historically operated as short-term vacation rentals, commonly known as those on the Minatoya List.

As we move through 2026, the market is no longer in a “wait and see” phase. Buyers, sellers, and investors must now shift toward clear financial planning, exit strategies, and long-term positioning.

The reality is simple:

If a Maui condo depends on apartment zoning (A-1 or A-2) and historic transient use, its ability to operate as a short-term rental is being phased out.

Understanding the Core of Bill 9

At its core, Bill 9 is designed to transition certain condo units away from short-term rental use and back into the long-term housing market.

This primarily affects:

• Apartment-zoned (A-1 and A-2) condos
• Units that relied on historic transient rental rights
• Properties listed on the Minatoya List

For years, these units operated in a gray area, functioning as vacation rentals despite residential zoning. Bill 9 closes that gap.

The Official Phase-Out Timeline

One of the most important components of Bill 9 is the amortization period, which allows owners time to adjust their investment strategy before short-term rental rights expire.

West Maui Timeline

• Short-term rental use ends after December 31, 2028
• Effective January 1, 2029

South Maui and Other Areas

• Short-term rental use ends after December 31, 2030
• Effective January 1, 2031

This staggered timeline creates varying “runway” periods depending on location, which directly impacts property value, pricing strategy, and buyer demand.

2026 Update: H-3 and H-4 Zoning Outlook

Many owners initially viewed proposed H-3 and H-4 hotel zoning districts as a potential workaround that could preserve short-term rental rights.

Current Status (March 2026)

• The Maui Planning Commission has voted against recommending these new zoning categories
• Final authority still rests with the County Council
• However, the likelihood of a broad rezoning solution is now significantly reduced

What This Means

Buyers and sellers should not rely on rezoning as a strategy. Instead, decisions should be based on the law as it currently stands.

In practical terms:

Plan for the phase-out, not a reversal.

The Minatoya List: What It Really Means

The Minatoya List is the official record of apartment-zoned properties that historically operated as short-term rentals.

However, being on the list does not automatically determine a property’s value or future potential.

Important Considerations

The list is organized by Tax Map Key (TMK) and can be difficult to interpret

It does not account for:

• unit condition
• location desirability
• long-term rental potential
• owner-occupant appeal

This is where many buyers and sellers make mistakes. They treat the list as a binary “good or bad” signal, when in reality, each property must be evaluated individually.

Which Properties Are Protected?

Bill 9 does not eliminate all short-term rentals in Maui. Several categories remain unaffected and continue to be strong investment options.

“Bill 9-Proof” Property Types

• Hotel-zoned properties

These remain the most secure option for short-term rental investors

• Timeshare properties

Typically excluded from the phase-out

• Permitted B&Bs and STRHs

Properties with active county permits are not impacted

For investors, these categories now represent the new standard for stability in Maui real estate.

How the Maui Condo Market Is Shifting

Bill 9 has created a clear divide in the market.

A Bifurcated Market

Higher-risk properties (Minatoya List)

• Increasing inventory
• Greater price sensitivity
• More negotiation opportunities

Hotel-zoned and protected properties

• Holding value more firmly
• Continued investor demand
• Limited supply

This divergence is one of the most important trends shaping the Maui real estate market in 2026.

Guidance for Sellers in 2026

Selling a condo affected by Bill 9 requires a strategic shift.

Key Strategies

1. Be Fully Transparent

Disclose zoning, rental status, and remaining rental runway upfront. Today’s buyers are more informed and expect clarity.

2. Price for the Future Use

Properties should be priced based on their future as long-term rentals or residential units, not solely on current short-term income.

3. Target the Right Buyer Profile

The most likely buyers are:

• lifestyle buyers
• second-home owners
• future owner-occupants

Positioning the property correctly is critical to achieving a successful sale.

Guidance for Buyers and Investors

For buyers, the approach to Maui real estate must evolve.

The “Pivot Plan” Strategy

• Before purchasing any condo affected by Bill 9, ask:
• Does this property make sense as a long-term rental?
• Would it still be desirable as a primary residence or second home?
• Is the purchase price aligned with its future use?

Key Takeaway

You are not just buying a rental property. You are buying a property that may transition into a different use within a defined timeline.

Buyers who understand this shift are finding opportunities, especially in properties that are temporarily discounted due to perceived risk.

Legal Considerations and Ongoing Litigation

As of March 2026:

• Bill 9 is currently being challenged in court
• Several property owner groups have filed lawsuits
• No injunction has been issued

What This Means

The law remains fully in effect, and all deadlines still apply.

Buyers and sellers should proceed based on current regulations, not speculation about potential legal outcomes.

Frequently Asked Questions

Is Bill 9 already in effect?

Yes. Ordinance 5909 is active, and the phase-out timelines are already established.

Can I still buy a Minatoya List condo?

Yes. These properties can still offer value, especially as long-term rentals or residential homes, but pricing and strategy must reflect the phase-out.

When do short-term rentals officially end?

West Maui: December 31, 2028

South Maui: December 31, 2030

Are all Maui condos affected by Bill 9?

No. Hotel-zoned, resort-zoned, and permitted rental properties are generally not impacted.

Should I sell now or hold?

This depends on your financial runway, property type, and long-term goals. A property-specific analysis is essential.

Navigate Bill 9 with Strategy, Not Uncertainty

Bill 9 has fundamentally changed how Maui condo investments must be evaluated. The difference between a smart move and a costly mistake now comes down to understanding zoning, timing, and long-term positioning at a very detailed level.

Whether you are selling an affected property, repositioning your portfolio, or searching for a stable, income-producing investment, having the right strategy is critical in today’s market.

Contact The Maui Property Team at Compass at 808-217-8832 to explore your options and secure your position in Maui real estate with confidence.