Understanding property management laws is crucial for both landlords and tenants. In Hawaii, these laws can be complex and vary greatly. This guide provides an authoritative reference to Hawaii's real estate and property management statutes, assisting you in navigating your housing issues effectively.
Key property management laws in Hawaii include:
- Rental Application Laws: Landlords can charge a fee for processing rental applications and consent is required for background checks. Discrimination based on religion, nationality, color, gender, family status, or sexuality is prohibited.
- Security Deposit Laws: Security deposit cannot exceed one month's rent and landlords have 14 days to return the deposit or provide a written notice of intent to retain any portion of it.
- Lease Termination Laws: Lease terms are defined by the agreement between the tenant and landlord. For termination of a month-to-month lease, landlords must give a 45-day notice, while tenants must provide a 28-day notice.
- Rent and Late Fee Laws: Landlords can increase rent at any time with advance notice. There is no state-imposed limit on rent charges or late fees.
- Disclosure Laws: Landlords must provide certain disclosures regarding property ownership and their general excise tax number for income tax purposes.
- Landlord Responsibility Laws: Landlords must provide two days' notice before entering a tenant's residence and are required to maintain the property to ensure it remains fit and habitable.
- Property Maintenance and Repair Laws: Landlords are responsible for all property maintenance and repairs must commence within five days of receiving notice from the public health or housing authority.
Hawaii Rental Application Laws
In Hawaii, landlords are permitted to charge a fee for processing rental applications, however, there are no specific regulations regarding the information that can be screened or the cost of the fee. Consent is mandatory prior to conducting background checks which typically include rental history, criminal background, credit score, and employment information. Federal laws under the Fair Housing Act prohibit discrimination based on religion, nationality, color, gender, family status, or sexuality when renting property.
Hawaii Security Deposit Laws
In accordance with Hawaii law, landlords can require tenants to pay a security deposit prior to moving in, and an additional pet deposit if applicable, excluding service animals (521.44.1, 521.44.5.b). The security deposit must not surpass one month's rent (521.44.2). There are no specific regulations on how landlords should hold these deposits, but a separate bank account is recommended.
Upon termination of tenancy, landlords have 14 days to either return the full deposit or provide a written notice if they intend to retain any portion of it (521.44.2.c). The deposit can be used to cover tenant-caused damages, unpaid rent or utility charges, or unreturned keys (521.44).
Failure to return the deposit within the stipulated time frame can result in tenants taking legal action within a year. If the court finds the landlord intentionally withheld the deposit, the tenant may receive up to three times the original deposit amount (521.44.h.1).
Hawaii Laws About Leases and Lease Termination
Lease terms are defined by the agreement between the tenant and landlord. In the absence of a specific term, all leases are treated as month-to-month, or weekly for boarders. Violations of lease terms may result in warnings, opportunities for rectification, and ultimately eviction. Material violations can prompt a 10-day notice for rectification, except in severe cases which warrant immediate eviction.
If an evicted tenant refuses to leave, they are liable for twice the monthly rent for each month they stay as a holdover tenant. However, after 60 days of holdover, the lease resumes at the previous rate.
For termination of a month-to-month lease, landlords must give a 45-day notice, while tenants must provide a 28-day notice. Tenants are allowed to terminate leases without penalty under certain circumstances such as property evacuation due to fire or casualty damages.
Active-duty service members are protected from penalties for lease termination due to changes in base or deployment, provided the lease was signed before active duty. Victims of domestic violence can break their lease without penalty, provided they give a 14-day notice with valid documentation of abuse.
Landlords can evict tenants for non-payment of rent, violation of health and safety codes, damage to the property, or use of the property for non-residential purposes. If a landlord plans to make changes to the property that necessitate tenant relocation, they must provide a 120-day notice. Tenants can move out at any point during this period, paying prorated rent, but must provide written notice of their intent to move.
Hawaii Laws About Rent and Late Fees
In Hawaii, landlords can increase rent at any time, provided they give advance notice. For month-to-month leases, a minimum of 45 days notice is required, while less than 30-day leases require 15 days notice. There is no state-imposed limit on rent charges, and the amount is agreed upon during the lease signing. If no lease is signed, the tenant must pay the landlord the fair market rate. Landlords are required to provide receipts for all financial transactions and a copy of the lease document, if one is prepared. Although rent control has been proposed in some areas, it has not been implemented. Rent is due as per the lease agreement, usually on the first of the month. If a tenant receives rental assistance, landlords must wait three days for payment. There is no state-imposed limit on late fees.
Legally Required Disclosures in Hawaii
Landlords are legally obligated to provide certain disclosures regarding property ownership. This includes the names and addresses of all authorized property managers, any representatives for the owner, and the property owner themselves. They must also provide their general excise tax number for income tax purposes. These disclosures should be individually delivered to each address or posted in a conspicuous area in the case of multi-family buildings. Failure to provide these disclosures may result in a $100 fine payable to the tenant, plus reasonable attorney fees.
Landlords can designate an agent to serve and receive disclosures, but this representative must reside on the same island as the property and their details must be disclosed to the tenant. Although there are no specific mold disclosure laws in Hawaii, landlords are expected to maintain a safe and habitable environment, which includes preventing conditions that could lead to mold growth.
Finally, federal regulations mandate that landlords of buildings constructed before 1978 must provide a completed lead disclosure, indicating the presence or absence of lead-based paint.
Hawaii Laws About Landlord Responsibilities
Landlords are required by law to provide two days' notice before entering a tenant's residence, except in cases of emergency, court order, or suspected abandonment (521.53.b). Tenants have the right to refuse entry outside of reasonable business hours or without proper notice.
Landlords have a legal obligation to ensure the property remains fit and habitable in compliance with state and local building codes (521.42.2 and 521.42.1). This includes maintaining working plumbing and electrical facilities, as well as any originally supplied appliances (521.42.4). Except for single-family residences, landlords are required to provide running water and waste removal services (521.42.6).
While there is no law requiring landlords to provide inspection certificates, they are obligated to maintain a safe residency, implying the provision of locks. Tenants are expected to return keys at the end of tenancy or cover the cost of replacement (521.44).
Retaliatory actions, such as rent hikes or eviction threats following complaints or repair requests, are prohibited by law. This protection extends to tenants without written leases who continue to pay rent on time (521.74).
Hawaii Property Maintenance and Repair Laws
Under Hawaiian Property Maintenance and Repair Laws, landlords bear the responsibility for all property maintenance (521.42). Repairs must commence within five days of receiving notice from the public health or housing authority (521.64). Tenants, on the other hand, are obligated to maintain cleanliness and reasonable use of all utilities to prevent excessive wear (521.51). Damage caused by tenants can be deducted from their security deposit (521.44). While the Landlord-Tenant act does not mandate landlords to provide official inspections, tenants can report substandard conditions to housing authorities. Tenants may undertake minor repairs costing less than $500 and bill the landlord if the latter is unresponsive (521.64). There are no statutes mandating landlords to provide relocation assistance.
Bottom Line
Understanding Hawaii's property management laws is crucial for both landlords and tenants. These laws cover a wide range of areas including rental applications, security deposits, leases, rent, disclosures, landlord responsibilities, and property maintenance. By being knowledgeable about these laws, both parties can ensure their rights are protected and they can navigate any housing issues effectively.