Does a non HI resident property owner have to have a local contact? (Hilo: real estate, 2014)

[alohatomato71]

OK, this is a question from my friend who lives on the mainland and has a condo unit in Hawaii.
Her question is
" I don't rent it either for vacation rental or for long-term tenant while I'm not using it.
Do I need to have someone living on the island where my condo is to look after my unit like once in a while just in case or for an emergency? I don't really have a close friend there that I can ask to do that kind of stuff... I know it is a Stated law that you have to have someone on-island if you rent your HI property out.
What about owners who don't rent?"
Does anyone know?

[whtviper1]

You only have to do what the homeowners associations requires - which in most cases is nothing.

[pj737]

Originally Posted by alohatomato71

OK, this is a question from my friend who lives on the mainland and has a condo unit in Hawaii.
Her question is
" I don't rent it either for vacation rental or for long-term tenant while I'm not using it.
Do I need to have someone living on the island where my condo is to look after my unit like once in a while just in case or for an emergency? I don't really have a close friend there that I can ask to do that kind of stuff... I know it is a Stated law that you have to have someone on-island if you rent your HI property out.
What about owners who don't rent?"
Does anyone know?

Your friend just needs to make sure all the water shutoffs are turned off (particularly the washer/dryer if they have one) and all breakers turned off.

Nasty things can happen in long-term unattended properties.

[KonaKat]

I don't believe that it is a law that she has to have an on island agent unless she rents it out. But she should have someone that has a key, or could check the unit occasionally. Now if that person "caretakes" for more than one owner, they have to be a licensed realtor. The resident manager of the community would probably be excluded from that rule because he is an employee of the association but that could be a gray area.

Some property management companies do offer this service.

[alohatomato71]

Thank you everyone.
Now, I've been doing a lot of research myself.
She may rent it out in the future. When she decides to rent it for short term rental,
Options are , to have a local licensed agent, non-licensed person who only works for her.
When she chooses to have a non-licensed person as a caretaker, does she need to hire the person?
What if she asks me to be her "local contact"? I can check her unit once in a while for free.
But Does she still need to "hire" either a licensed agent or non-licensee to "work" for her?

[whtviper1]

Originally Posted by alohatomato71

She may rent it out in the future. When she decides to rent it for short term rental,
Options are , to have a local licensed agent, non-licensed person who only works for her.
When she chooses to have a non-licensed person as a caretaker, does she need to hire the person?
What if she asks me to be her "local contact"? I can check her unit once in a while for free.
But Does she still need to "hire" either a licensed agent or non-licensee to "work" for her?

The local contact can check out the unit, do repairs, and take inquiries from the tenants - and do so at no charge to the landlord.

The local contact cannot rent/show the unit to perspective tenants unless the contact is a licensed real estate professional/property management company.

[smarino]

So a private individual cannot show a rental property to someone unless they're a realtor or a property manager? They cannot simply open a door, let them in, answer questions, etc? That is a total misuse of the law and needs to be changed ASAP. If this is true I wouldn't do it, and point in fact I have done it when we lived there. People could fine me, lock me up, whatever. I would sue the pants off whatever regulatory agency tried to enforce that.

This is a free society. I understand the concerns over renting something from someone that doesn't live there. Of course, I wonder how many renters live in buildings that are owned by people who may not even live in the same country, both in Hawaii and elsewhere, and managed from afar too, but this is way too far. Forget that nonsense. If I own something it's mine, not the state's, and that is that. I have the right to show it to anyone I wish whenever I wish, and the right to allow anyone of my choosing to do the same. The law needs to be written so that if a non resident rents out a property, then a particular sort of resident needs to handle the MANAGEMENT of it only. If the "authorities" are not willing to do the right thing, then this provision needs to be ignored by so many people that it makes enforcement an impossibility.

At some point people have to stand up for their rights or they won't have any left. As much as I like Hawaii in some ways, and we do plan on moving back, there are things like this that happen w/ regularity that are just very, very wrong and bizarre. It brings to mind how shocked I was when I first moved to Hilo at all the interference in people's lives by state agencies, the way my culture was always disparaged while another culture was said to be "better", etc. So, I'm glad I read this. It reminds me that there are going to be things to deal w/ that are going to be extremely irritating on a daily basis, just like any place else.

[Buckeye77]

@ smarino - FYI - Moved to BI from Florida - Florida has similar laws. (We both had real estate licenses there.) Before Florida, had property in 3 other states. You can sue whoever you want, but the law is pretty clear, and is in place for the protection of the potential tenants.

[whtviper1]

Originally Posted by smarino

So a private individual cannot show a rental property to someone unless they're a realtor or a property manager? They cannot simply open a door, let them in, answer questions, etc? That is a total misuse of the law and needs to be changed ASAP. If this is true I wouldn't do it, and point in fact I have done it when we lived there. People could fine me, lock me up, whatever. I would sue the pants off whatever regulatory agency tried to enforce that.

This is a free society. I understand the concerns over renting something from someone that doesn't live there. Of course, I wonder how many renters live in buildings that are owned by people who may not even live in the same country, both in Hawaii and elsewhere, and managed from afar too, but this is way too far. Forget that nonsense. If I own something it's mine, not the state's, and that is that. I have the right to show it to anyone I wish whenever I wish, and the right to allow anyone of my choosing to do the same.

Well, I don't make the law, but the law is clear on this issue - if you are a landlord and not on the island, you need to hire a licensed real estate professional to rent the property on your behalf. I imagine the attempt is to stop scams as only 2 types ofindividuals may rent the property - the landlord if onsite or a licensed real estate professional. The requirement is only for out of state landlords.

http://cca.hawaii.gov/rico/files/201...Properties.pdf

Self-Manage theP roperty

In the Stateof Hawaii, a real estate license is required to sell, buy, lease, and managereal property. The law provides an exception for individuals, and an individual can sell, buy, lease, and manage his/her own property without a real estate license.

If you decide to self-manage your property, you will need tobe familiar with, and comply with, all applicable Hawaii laws. For example,under Hawaii’s Residential Landlord-Tenant Code, if you offer to rent yourproperty and live off-island, you’ll need to find an on-island agent toact on your behalf. The on-island agent doesn’t have to be a licensed realestate professional, unless he/she is involved in real estate activities, likerenting or offering to rent the property.

[TwoPearls]

I hold a broker's license in Oregon, and it's the same. The law everywhere is pretty strict about who can show property and negotiate terms. This is for the protection of all parties.

Here's what I find interesting: It looks like in Hawaii, a real estate agent can also engage in property management. Is this correct? Here, an agent cannot hold licenses in both real estate and property management. An agent cannot manage rental property unless he/she owns it.