Hawaii is ridiculously unaffordable: who's travelling there?
#31
Join Date: Jun 2016
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They are taxed in some locations like Vegas, but it hasn't slowed the spread there. Some Vegas resort fees are now over $50/night after taxes.
#33
FlyerTalk Evangelist
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That day is coming. Very soon.
#34
Join Date: Jun 2016
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#36
Join Date: Jul 2014
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Our corrupt local politicians are hell bent on killing the golden goose... Hotel tax in general has gone over 10% starting in 2018 (and that's not including the 4.7% Oahu/4.2% neighbor islands sales tax)
#37
Join Date: Jul 2013
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See this post for more in depth explanation of current and proposed hospitality taxes....
Hawaii Resort Fees Tax Increase - Jeffsetter Travel
Hawaii Resort Fees Tax Increase - Jeffsetter Travel
#38
Join Date: Sep 2012
Posts: 195
Hotel occupancy rates are forecast to be flat in 2018 after record highs in 2017. Keep raising fees and taxes, taxes on those fees and at some point it becomes that proverbial back breaking straw. There is also legislation under discussion on the Big Island to limit the number of private homes available for short term rental. Things are starting to get interesting in paradise...
#39
Join Date: May 2013
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Hotel occupancy rates are forecast to be flat in 2018 after record highs in 2017. Keep raising fees and taxes, taxes on those fees and at some point it becomes that proverbial back breaking straw. There is also legislation under discussion on the Big Island to limit the number of private homes available for short term rental. Things are starting to get interesting in paradise...
#40
Join Date: Sep 2012
Posts: 195
Yes, occupancy rates for 2017 state wide were 80% and the average daily rate was $264 according to the Hawaii Tourism Authority. The average daily rate for luxury properties was $525 with a 75% occupancy as per the same source.Things are looking good but continued room rate increases, 2017 had a 4.1% increase over 2016 and properties like Hapuna Beach on the Big Island now charging a resort fee can put a damper on budget travelers. As long has the deeper pocket visitors keep coming all will remain well. Pick your demographic and advertise to them...
#41
Join Date: Jan 2009
Location: TUL
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Indeed, one of the reasons the crack cocaine of resort fees has spread so quickly is that the hotels figured out they aren't taxed. They are 100% profit for the hotels, vs. the room rate. Taxing resort fees would help slow the metastasis, though I'm afraid the damage has already been done.
#42
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The statement I highlighted above makes no sense at all. The tax on the room rate is a direct pass-through to the consumer. The hotel property is not making less profit because the room rate is taxed. The hotel property is simply acting as a tax collector for the state and in some states is offered a slight compensation for collecting and remitting said taxes.
#43
FlyerTalk Evangelist
Join Date: Mar 2000
Posts: 17,418
Is Maui now too expensive for what it is?
I think I've flown to Hawaii at least 20 times in my life. I'm fond of the islands, and try to visit at least every other year (often annually). Over time, my "favorite" Hawaiian destinations have changed. For the last decade or so, I've been a regular in Kapoho on the Big Island where I could rent an awesome old-Hawaiian style villa with a private thermal-heated lagoon for about $1000/week. That property, as well as much of the surrounding area, is now under lava, so I need to head elsewhere.
On a recent sale, I bought tickets for January to Maui, an island I've been to several times, but have mostly ignored for the past decade. In my lifetime, I've seen Ka'anapali get crowded. I've never been a huge fan of Wailea; I like the area around Hana, but lodging options are very limited.
As I begin planning my Maui trip, I've been shocked by the price tag of hotels on the island. Decent-but-not-exceptional resort hotels seem to be about $800/night all in. I think that's about 3x what I've ever paid a night for a hotel (and I've stayed in a lot of nice 5-star hotels over the years). Houses and other rental properties also seem expensive. Even airbnb looks pricey for what the listings are.
Personally, I'll be fine, as I'll scrape together the necessary hotel loyalty points and stay in decent hotels for a "real" cost of maybe $200/night. But it will be a lot of points, and it won't make me eager to return again. And I know most visitors don't have these frequent flyer resources. Are people really forking over $800/night to stay in Maui? It seems to be an extraordinarily expensive vacation, especially when you consider that everything else in Hawaii (food, entertainment, car rental, etc) is expensive, too. I'm surprised they can attract a mass-market clientele with these prices. Not everyone is a Silicon Valley multi-millionaire.
On a recent sale, I bought tickets for January to Maui, an island I've been to several times, but have mostly ignored for the past decade. In my lifetime, I've seen Ka'anapali get crowded. I've never been a huge fan of Wailea; I like the area around Hana, but lodging options are very limited.
As I begin planning my Maui trip, I've been shocked by the price tag of hotels on the island. Decent-but-not-exceptional resort hotels seem to be about $800/night all in. I think that's about 3x what I've ever paid a night for a hotel (and I've stayed in a lot of nice 5-star hotels over the years). Houses and other rental properties also seem expensive. Even airbnb looks pricey for what the listings are.
Personally, I'll be fine, as I'll scrape together the necessary hotel loyalty points and stay in decent hotels for a "real" cost of maybe $200/night. But it will be a lot of points, and it won't make me eager to return again. And I know most visitors don't have these frequent flyer resources. Are people really forking over $800/night to stay in Maui? It seems to be an extraordinarily expensive vacation, especially when you consider that everything else in Hawaii (food, entertainment, car rental, etc) is expensive, too. I'm surprised they can attract a mass-market clientele with these prices. Not everyone is a Silicon Valley multi-millionaire.
#44
Community Director Emerita
Join Date: Oct 2000
Location: Anywhere warm
Posts: 33,742
I'll be interested to see what responses you get. I was doing some initial research for a family member in order to develop a budget for a trip. They would be traveling with two small children. I was shocked when I saw similar prices to you.