Hanalei, HI Airbnb Market Data, Statistics, and Occupancy Rates

Hanalei Short-Term Rental Market Overview

Hanalei sits on Kauai's famed North Shore, where dramatic cliffs, world-class beaches, and a small-town atmosphere drive premium short-term rental pricing. With an average daily rate of $909—well above the $709 Hawaii state average—and annual revenue averaging $220,037 per listing, the market commands some of the highest nightly rates in the islands. A compact supply of just 73 active Airbnb listings keeps competition limited, though elevated home values around $6.3 million mean investors need to weigh strong revenue against significant acquisition costs.

Key Market Statistics

According to Rabbu market data, the Hanalei short-term rental market shows:

Data sources: Rabbu proprietary analytics as of Apr, 27 2026 and Zillow Home Value Index (ZHVI) as of Mar, 17 2026.

Why Investors Consider Hanalei

Investors are drawn to Hanalei for its premium nightly rates, limited supply, and the enduring appeal of Kauai's North Shore as a luxury vacation destination.

Expert Market Assessment

"Hanalei represents an attractive opportunity for investors who can meet its high entry price, combining premium nightly rates with a tight supply environment. Revenue follows a clear seasonal pattern: winter and spring months—particularly March at $22,383—deliver the strongest returns, while September dips to $14,559, creating a roughly $7,800 spread between peak and trough. Occupancy stability scores above average, which is encouraging for cash-flow planning despite a below-average growth trend. Investors targeting larger properties in the 4- to 5-bedroom range will find the most compelling revenue potential, though even smaller units benefit from the market's overall pricing power."

— Rabbu Market Analysis Team

Key Airbnb Metrics & Trends in Hanalei

Average revenue by month in Hanalei

Revenue peaks in March at $22,383 and bottoms out in September at $14,559, reflecting a winter/spring high season driven by North Shore tourism and a quieter late-summer lull. The roughly 54% spread between peak and trough months signals meaningful seasonality that investors should plan for in their cash-flow models.

Active Airbnb listings by property size in Hanalei

Two-bedroom units dominate supply with 27 of 73 listings (37%), followed by 3-bedrooms at 21, while 1-bedroom and 5-bedroom properties are each limited to just 7 listings. The scarcity of larger homes could represent an opportunity for investors targeting the group and family travel segment, where competition is thinnest.

Average daily rate (ADR) by property size in Hanalei

ADR climbs steadily from $596 for 1-bedroom listings to $1,240 for 4-bedrooms, though 5-bedroom properties actually average slightly less at $1,223—suggesting a rate ceiling once you move beyond 4 bedrooms. The strongest jump occurs between 2-bedroom ($697) and 3-bedroom ($888) units, making the 3-bedroom tier an interesting sweet spot for rate versus acquisition cost.

Average RevPAN by property size in Hanalei

Five-bedroom properties lead RevPAN at $769, followed by 4-bedrooms at $648, indicating that larger homes convert their premium ADR into strong per-night revenue even with moderate occupancy. Smaller units cluster between $460 and $501, with 1-bedrooms edging out 2-bedrooms thanks to their significantly higher occupancy rates.

Average occupancy rates by property size in Hanalei

One-bedroom units stand out with an 83% occupancy rate, far ahead of every other size category and well above the 62% market average. Occupancy decreases as property size grows—2-bedrooms at 66%, 3-bedrooms at 56%, and 4-bedrooms at 52%—though 5-bedrooms recover to 63%, suggesting strong demand for the largest group-friendly homes.

Average monthly revenue by property size in Hanalei

Monthly revenue scales clearly with size: 5-bedroom properties average $27,394 per month compared to $13,479 for 2-bedrooms, roughly doubling the income. The gap between 1-bedroom ($13,815) and 2-bedroom ($13,479) units is negligible, reinforcing that smaller listings in Hanalei compete on occupancy rather than rate.

Average annual revenue by property size in Hanalei

Five-bedroom listings top the market at $328,737 in annual revenue, while 4-bedrooms follow at $272,888—both configurations significantly outperforming smaller units. Even 1-bedroom listings generate roughly $165,786 per year, underscoring the premium pricing power across all property sizes in this North Shore market.

Most common amenities for Airbnb listings in Hanalei

Kitchens and washers are near-universal at 99%, with parking (97%) and dryers (96%) close behind, reflecting guest expectations for self-sufficient vacation homes. Outdoor living features like patios (81%), backyards (70%), and BBQ grills (63%) are prevalent, while differentiators such as beach access (27%), hot tubs (22%), and pools (11%) remain less common and could help a listing stand out.

Understanding Hanalei's ROI Score: 58/100

Rabbu's ROI Score is a proprietary metric that evaluates short-term rental investment potential based on multiple factors.

How the ROI Score is Calculated

What This Means for Investors

Hanalei's ROI Score of 58 out of 100 places it in the 'Attractive Opportunity' band, reflecting a market where strong nightly rates and above-average occupancy stability are partially offset by average revenue-to-price ratios and below-average market growth. The high home values—averaging $6.3 million—mean that even robust annual revenue of $220,037 translates to a more modest yield on invested capital. Investors should pair these data points with thorough research into Kauai County permit availability and local regulations to fully assess whether Hanalei fits their portfolio strategy.

Short-Term Rental Regulations in Hanalei

Understanding local STR regulations is essential before investing in Hanalei. Here's the current regulatory landscape:

Permit Requirements

Short-term rental operators in Hanalei and across Kauai County, Hawaii, are generally required to hold a valid nonconforming use certificate or transient vacation rental permit before listing a property. Investors should verify current permit availability and application requirements directly with the County of Kauai Planning Department, as regulations can be strict and permit caps may apply.

Key Restrictions

Common restrictions in Hawaiian resort communities include occupancy limits tied to bedroom count, minimum-stay requirements, noise and parking regulations, and limits on the total number of permitted vacation rentals in a given area. HOA rules can add another layer of restrictions, particularly in planned residential communities, so reviewing CC&Rs before purchasing is essential.

Tax Obligations

Short-term rental hosts in Hawaii are typically subject to the state's Transient Accommodations Tax (TAT) and the General Excise Tax (GET), along with any applicable Kauai County surcharges. Major booking platforms often collect and remit some of these taxes on behalf of hosts, but operators should confirm their full filing obligations with the Hawaii Department of Taxation.

Regulations subject to change. Always verify with local authorities before purchasing. A Rabbu partner agent specializing in Hanalei can provide current regulatory guidance.

Future Outlook & Long-Term Forecast

"Over the next 12–18 months, Hanalei's short-term rental market is expected to maintain solid occupancy in the 60–65% range, supported by above-average occupancy stability and consistent luxury-travel demand on the North Shore. Seasonal peaks in the winter and early spring months—when monthly revenues can exceed $22,000—should continue to anchor annual performance. Market growth trend is currently below average, suggesting supply and rate expansion may be modest; investors should anticipate ADR holding steady or edging up 1–3% rather than seeing outsized gains. Pairing a premium property with strong amenities and strategic pricing during shoulder months could help outperform market averages."

— Rabbu Market Analysis Team

Frequently asked questions about Airbnb in Hanalei, HI

What is the average Airbnb occupancy rate in Hanalei?

The average Airbnb occupancy rate in Hanalei is currently 62%, which trails the Hawaii state average of 67%. That said, occupancy varies significantly by property size—1-bedroom units lead at 83%, while 4-bedroom homes average around 52%. The market's occupancy stability is rated above average, suggesting hosts can expect relatively consistent booking patterns throughout the year.

How much do Airbnb hosts make in Hanalei?

On average, Airbnb hosts in Hanalei earn approximately $18,336 per month and $220,037 per year based on trailing 12-month booking data. Revenue scales meaningfully with property size: 1-bedroom listings average about $165,786 annually, while 5-bedroom properties bring in roughly $328,737 per year. Peak months like March can push monthly earnings above $22,000, whereas slower months like September may see averages closer to $14,559.

Is Hanalei a good market for Airbnb investment?

Hanalei earns a Rabbu ROI Score of 58 out of 100, classified as an 'Attractive Opportunity.' The market's strengths include above-average occupancy stability and premium nightly rates ($909 ADR), but the revenue-to-price ratio is average given home values averaging around $6.3 million. It's best suited for investors who can comfortably handle the high acquisition cost and are seeking a luxury vacation-rental asset with strong seasonal revenue potential on Kauai's North Shore.

What is the average daily rate (ADR) for Airbnb in Hanalei?

The average daily rate for Airbnb listings in Hanalei is $909, which is 28% higher than the Hawaii state average of $709. ADR increases with property size, ranging from $596 for 1-bedroom units up to $1,240 for 4-bedroom homes. Interestingly, 5-bedroom properties average $1,223—slightly below the 4-bedroom rate—suggesting a pricing plateau for the largest configurations.

Are short-term rentals legal in Hanalei?

Short-term rentals in Hanalei are subject to Kauai County regulations, which generally require hosts to hold a valid vacation rental permit or nonconforming use certificate. The county has historically maintained strict caps on the number of permitted rentals, so not every property is eligible. Prospective investors should contact the Kauai County Planning Department to confirm current permit availability and requirements before purchasing a property.

When is peak season for Airbnb in Hanalei?

Peak season in Hanalei runs from roughly January through March, with March delivering the highest average monthly revenue at $22,383. February and January follow closely at $19,771 and $21,377 respectively. The slower months tend to be September ($14,559) and October ($15,971), creating a seasonal spread of about $7,800 between the best and softest months.

How many Airbnbs are there in Hanalei?

As of April 2026, there are 73 active Airbnb listings in Hanalei. The supply is concentrated in 2-bedroom (27 listings) and 3-bedroom (21 listings) properties, while 1-bedroom and 5-bedroom units each account for just 7 listings. This compact inventory reflects Kauai County's regulatory environment, which limits the total number of permitted vacation rentals.

How is Airbnb revenue calculated in Hanalei?

The annual and monthly revenue figures shown for Hanalei are derived from the trailing 12 months of historical booking performance for active comparable Airbnb listings in the market—they are not forward-looking projections. Rabbu averages each comparable listing's actual revenue per available night (RevPAN) by month over the past year, removes regional outliers, and rolls the remaining data up to a market-level historical average. Because each month uses its own historical performance, the figures naturally reflect seasonal peaks and slower periods. Individual results can vary based on property quality, pricing strategy, and how effectively the listing is managed.

About Rabbu Market Data

Rabbu provides Airbnb and short-term rental market data and statistics across the United States. Our mission is to empower investors with accurate insights and easy-to-use tools, so they can confidently identify and act on the best opportunities in the Airbnb market.

What this data includes

• Regularly updated active Airbnb and STR listing counts, occupancy, and rate data for the Hanalei market
• Average daily rate and occupancy rate benchmarks compared against state-level averages
• Revenue and yield metrics including RevPAN, monthly revenue, and annual revenue by property size
• Amenity prevalence data across active listings to identify guest expectation baselines
• Home value estimates sourced from the Zillow Home Value Index (ZHVI) for investment analysis

Sources and disclaimers

Rabbu proprietary analytics as of Apr, 27 2026 and Zillow Home Value Index (ZHVI) as of Mar, 17 2026. Revenue projections are estimates based on comparable properties and do not guarantee future performance. Local regulations in Kauai County may restrict or limit short-term rental permits; always verify current rules before purchasing. Individual property results will vary based on location, condition, amenities, pricing strategy, and management quality.