By Benjamin Finnerty (S), REALTOR® (RS-83812) with Keller Williams Realty Maui · Kīhei, Maui · 808-481-9748

Quick Answer: December 31, 2026 is the deadline to file for Maui County’s home exemption and long-term rental exemption. The home exemption cuts a primary residence’s taxable assessed value by $300,000, and the long-term rental exemption can take up to $200,000 off. Buyers closing before year-end can file in time for owner-occupied treatment next fiscal year.

I’m Benjamin Finnerty, a REALTOR® in Kīhei with Keller Williams Realty Maui, and property tax classification is one of the first things I look at when I run the numbers on a home or condo. If you’ve closed on a Maui home this year, or you plan to before New Year’s Eve, this date matters almost as much as your closing date. Missing it can mean a much bigger tax bill for a full year.

What is Maui’s December 31 property tax exemption deadline?

It’s the deadline to file for Maui County’s home exemption and long-term rental exemption, two tax breaks that can mean the difference between a manageable annual property tax bill and one that makes you wince every August.

The county has rebuilt its residential property tax classification system over the past two years, largely in response to Bill 9 and Bill 88, the ordinances that phased out much of the county’s short-term rental inventory and created new, more sharply tiered tax classes. Owner-occupied homes, non-owner-occupied properties, long-term rentals and short-term rentals are now taxed at very different rates. The exemptions available to you depend on which bucket your property falls into, and whether you’ve actually filed the paperwork to claim it.

Why does the deadline matter more for buyers this year?

Because the market has shifted in buyers’ favor, more people are closing this fall. According to the REALTORS® Association of Maui, the countywide median single-family price was $1.2 million in August 2026, down 7.9% year-over-year, and homes sold in a median of 128 days, about 6.6% faster than a year earlier. That suggests better-priced listings are moving while overpriced ones sit. For buyers who have been waiting, softer prices and a bit more selection are worth paying attention to, and so is the tax filing that comes with a purchase.

How much does the Maui home exemption save?

The home exemption reduces your property’s taxable assessed value by $300,000 if you own and live in the home as your primary residence. On a $1 million property in the owner-occupied bracket at $1.65 per $1,000 of assessed value, the annual bill with the exemption comes to around $1,155.

Eligibility is straightforward but has real teeth:

• You need to occupy the home more than 270 days a year.
• You need to file Hawaii resident income tax returns.
• You can’t rent out the entire home.

Homeowners with household income under $126,000 and homes valued at $1.3 million or less may qualify for additional relief on top of the standard exemption.

What happens if I miss the December 31 deadline?

Plan on losing the exemption for that tax year. If you’ve already missed it, call the Maui County Real Property Assessment Division to ask what options apply to your parcel. If your closing timeline runs tight this winter, build the filing into your closing checklist.

How does the long-term rental exemption work on Maui?

If you commit your property to long-term tenants, with leases of 12 months or more and the tenant already in place as of January 1, you may qualify for a long-term rental exemption of up to $200,000 off your taxable value. Owners who also hold a home exemption on a portion of a multi-unit property may be eligible for an additional $100,000 rental exemption.

This gives non-resident owners a path that doesn’t depend on the increasingly restricted short-term rental market. The gap between classifications is large:

Classification ($1 million property)	Estimated annual tax (industry estimates)
Long-term rental	roughly $2,360
Short-term rental	in the neighborhood of $12,500

That difference can shape the entire return profile of a condo purchase, especially in buildings that lost their short-term rental eligibility under the county’s rezoning process.

How do buyers closing before year-end benefit?

A buyer who closes in November and files for the home exemption before the deadline can lock in owner-occupied tax treatment for the coming fiscal year. A buyer who closes in January typically has to wait for the next filing window. That means an extra year at the higher non-owner-occupied rate, even if you live there full-time.

How do I file for a Maui property tax exemption?

Exemption claims are filed with Maui County’s Real Property Assessment Division. They typically require:

• Proof of occupancy, such as a Hawaii driver’s license or state ID showing the property address
• A copy of your Hawaii resident income tax return
• For the long-term rental exemption, a signed lease agreement showing a tenant in place

Forms and current instructions are available through the county’s Real Property Tax office. Given how much the classification rules have shifted, double-check your situation rather than assuming last year’s filing status still applies.

My Take: What I’m Telling Buyers and Owners

If you’re under contract now, or thinking about an offer, the December 31 deadline directly affects your first full year of ownership costs. If you have any flexibility on your closing date, I’d build the filing into your purchase timeline the same way you’d plan around inspections and financing. It’s easy to overlook in the rush of closing paperwork.

If you already own here, pull your current classification and confirm the exemptions on file. The rules have moved enough that last year’s status may not match how you use the property today.

And when you compare properties, put property tax right alongside financing, insurance and HOA fees. On Maui, the gap between an exempt and a non-exempt bill can run into thousands of dollars a year. For the full rate tables, see my breakdown of Maui’s new property tax rates and how they change condo math, and if you’re weighing a vacation rental, read my post on the 11% state TAT for Maui condo investors.

This is general information, not tax or legal advice. Please confirm your situation with a CPA or Hawaiʻi attorney.

Frequently Asked Questions

When is the deadline for Maui’s home exemption?

December 31, 2026, for the home exemption and the long-term rental exemption.

How much is the Maui County home exemption?

It reduces your property’s taxable assessed value by $300,000. You need to occupy the home more than 270 days a year, file Hawaii resident income tax returns and not rent out the entire home.

Who qualifies for the long-term rental exemption?

Owners with leases of 12 months or more and a tenant in place as of January 1 may qualify for up to $200,000 off taxable value. An additional $100,000 rental exemption may be available on a multi-unit property where the owner also holds a home exemption on a portion.

What documents do I need to file?

Typically proof of occupancy (such as a Hawaii driver’s license or state ID showing the property address), your Hawaii resident income tax return and, for the rental exemption, a signed lease showing a tenant in place.

Ask Benjamin

Whether you’re weighing a Maui purchase this fall, own a property and aren’t sure which exemptions you qualify for, or want to know what a specific condo would really cost to hold, I’m happy to walk through it with you before December 31. I’m Benjamin Finnerty; call or text me at 808-481-9748 or email benjamin@the808team.com.

This post is for general informational purposes and reflects publicly available information as of September 2026. Property tax rules, rates, and deadlines can change — always confirm current requirements directly with Maui County’s Real Property Assessment Division or a qualified tax professional before filing.