Hawaiʻi Property Tax for Non‑Residents: A Complete Guide for 2026

Understanding how property taxes work on Hawaiʻi Island if you live out of state

Owning property on Hawaiʻi Island is a dream for many — from luxury oceanfront estates to resort‑area second homes. But if you’re a non‑resident, understanding how property taxes work is essential for budgeting, compliance, and long‑term planning.

This guide breaks down how Hawaiʻi County calculates property taxes, what non‑residents can expect to pay, and how exemptions and classifications affect your bill.

1. Property Taxes in Hawaiʻi Are Managed at the County Level

Unlike many states, Hawaiʻi does not have a statewide property tax system. Each county — including the County of Hawaiʻi (the Big Island) — sets its own tax rates, classifications, and exemptions.

The County of Hawaiʻi Real Property Tax Division is responsible for:

• Determining the market value of all real property each year

• Maintaining property records

• Processing exemptions and special tax programs

• Collecting all taxes imposed under Chapter 19 of the Hawaiʻi County Code

This means your tax bill depends on how Hawaiʻi County classifies your property, not your residency status.

2. Do Non‑Residents Pay Higher Property Tax Rates?

According to available information, non‑residents pay the same base property tax rates as residents. Hawaiʻi has one of the lowest average property tax rates in the U.S., around 0.26% of assessed value statewide, though actual rates vary by county and classification.

However — and this is important — non‑residents typically do not qualify for homeowner exemptions, which can significantly increase the taxable value of the property.

3. How Hawaiʻi County Assesses Your Property

Every property on Hawaiʻi Island is assessed based on its fair market value as of January 1 each year. The county determines this value using sales data, market conditions, and property characteristics.

Your tax bill is calculated as:

Then:

4. Property Classification Matters More Than Residency

Hawaiʻi County assigns each property to a tax class. For non‑residents, the most common classifications are:

1. Residential

For homes not used as the owner’s primary residence.

2. Residential Investor

Often applies to second homes, vacation homes, or properties not occupied by the owner for more than 270 days per year.

3. Residential Rental

If the property is rented long‑term (not short‑term vacation rentals).

4. Hotel/Resort

For properties legally operating as short‑term vacation rentals (STVRs).

Each classification has its own tax rate. Luxury properties — especially those in resort zones — often fall into higher‑rate categories.

5. Exemptions Non‑Residents Do Not Qualify For

The County of Hawaiʻi offers several exemptions, but most require owner occupancy, which non‑residents typically cannot claim.

Common exemptions unavailable to non‑residents include:

• Homeowner Exemption

• Additional Exemptions for seniors, disabled veterans, or low‑income homeowners

• Primary residence tax relief programs

Because non‑residents do not qualify for these exemptions, their taxable value is higher, even though the tax rate is the same.

6. What Non‑Residents Can Qualify For

While homeowner exemptions are off the table, non‑residents may still qualify for:

Agricultural Use or Dedication Programs

If the property is legitimately used for agriculture, the county may reduce the taxable value.

Conservation or Special Land Use Classifications

Large acreage or conservation‑designated land may receive favorable assessments.

Long‑Term Rental Classification

If you rent your property to a tenant for 12+ months, you may qualify for a lower tax rate.

7. How Much Will a Non‑Resident Pay?

Because Hawaiʻi County tax rates vary by classification and property value, the actual amount depends on:

• Assessed value

• Property class

• Whether the property is rented

• Whether it’s located in a resort zone

• Whether it qualifies for agricultural or special use programs

Luxury properties on the Big Island — especially in areas like Hualālai, Mauna Lani, Mauna Kea Resort, and Kohala Coast — often fall into higher‑value brackets, resulting in higher tax bills even with Hawaiʻi’s low rates.

8. Important Dates for Non‑Residents

Hawaiʻi County follows a consistent tax calendar:

• January 1 — Assessment date

• March 15 — Deadline for exemption applications

• July 20 — First installment due

• February 20 — Second installment due

(Exact dates may vary slightly year to year.)

9. Where Non‑Residents Can Get Official Information

The County of Hawaiʻi Real Property Tax Office provides resources, forms, and contact information:

• Hilo Office: 101 Pauahi Street, Suite 4

• Kona Office: 74‑5044 Ane Keohokalole Highway

• Phone: 808‑961‑8201 (Hilo) / 808‑323‑4880 (Kona)

Finally...

For non‑residents, Hawaiʻi Island property taxes are straightforward once you understand:

• You pay the same tax rates as residents

• You don’t qualify for homeowner exemptions

• Your property classification determines your tax bill

• Luxury and resort‑area homes often fall into higher‑value categories

If you own a high‑end property or are considering selling, understanding your tax position is essential — especially in a market where values have risen significantly.

⚠️ Note

Always check with the Hawaiʻi County Real Property Tax Office for the most current information.