The new long-term rental exemption for real estate comes into force on January 1, 2022

March 12, 2021, 8:08 a.m. HST
* Updated March 15 at 7:18 a.m.

New Maui County Service Center at 110 ʻAlaʻihi St. in Kahului. Courtesy of Maui County

The Maui County Department of Finance’s Real Estate Assessment Division has established a new classification and long-term rental exemption under the Maui County Code.

Effective January 1, 2022, real estate occupied as a long-term rental with a signed rental agreement of 12 or more consecutive months to the same tenant, may qualify for an exemption of up to $200,000.

Properties rented long-term – 12 consecutive months or more – without a housing exemption, will qualify for the $200,000 long-term rental exemption and will be classified as a long-term rental. Properties with a home exemption that also qualify for the long-term rental exemption will qualify for an additional $100,000 exemption and will be classified as owner-occupied.

The long-term rental exemption may be granted on more than one unit if it is located on separate plots. If part of the property is used for commercial purposes, that part will not qualify for a long-term rental exemption.

If property taxes have been overdue for more than a year, no long-term rent relief will be allowed. Any change in the actual use of a property with a long-term rental exemption must be reported by the landlord within 30 days of the change.

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The long-term rent waiver application form is available online. The application form must be filed by December 31, 2021, along with a signed copy of a rental agreement to qualify for the 2022 tax year.

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Homeowners may contact the Real Property Assessment Division by calling (808) 270-7297 with any questions or by email at [email protected]