In a move impacting Maui's real estate market and tourism industry, Mayor Richard Bissen signed Bill 9 into law on December 15, 2025, after it passed the Maui County Council. This legislation aims to address the island's chronic housing shortage by targeting transient vacation rentals (TVRs) in apartment-zoned districts. The Mayor hailed the bill as "a historic step toward restoring housing availability for residents" and "realigning zoning policy with its original residential purpose".
Bill 9's core objective is to phase out TVRs in apartment-zoned properties. Its supporters believe this will free up housing for local residents, especially critical after the devastating 2023 wildfires which worsened the existing housing crisis mauinow.com. The bill has sparked considerable debate, with proponents emphasizing the need to prioritize local families' housing needs over the profits of the visitor industry. The legislation directly affects approximately 7,000 units on the so-called Minatoya list, which identifies apartment-zoned condos previously allowed to operate as short-term rentals mauirealproperty.com.
The implementation of Bill 9 is anticipated to reshape the real estate landscape in Maui. As of September 2025, the market for apartment-zoned condos had already shown signs of shifting, with increased inventory, decreased sales volume, and declining prices mauirealproperty.com. The potential phase-out of TVRs has created uncertainty among investors, leading to a buyer's market in certain segments. The Maui County Council passed the bill with a 5-3 vote in the first reading mauinow.com and a 5-3 vote in the second and final reading, showing the division within the community.
While the long-term impacts remain unclear, the new law is expected to affect property values and investment strategies in Maui. According to a recent analysis by Maui Real Property, new hotel zoning districts are also being proposed to protect some short-term rentals, highlighting the delicate balance between housing needs and economic considerations. Property owners and investors are now faced with decisions regarding converting existing TVRs to long-term rentals or exploring potential zoning changes, such as the new hotel districts under consideration.
