Hono Koa property taxes are now $518.70 per week, 2 bd, 2 ba Oceanfront

[rickandcindy23]

With property taxes, MF's for 2024 are $3,009.68. We own three weeks and stay every year. Last year's property taxes were $426.20. That is a huge increase. This is not sustainable.

 

[Luanne]

Oh my gosh. Our property taxes for a 3 bedroom at Maui Hill are $268.18.

 

[sun starved Gayle]

Wow, that’s crazy!

 

[T_R_Oglodyte]

Are the fees high because of defaulted/non-performing ownerships spreading the tax bill across the remaining current ownerships?

 

[pedro47]

Are the properties taxes higher because of the location of the resort, the exterior of the buildings materials, the acres of the resort and the resort onsite amenities?

 

[Luanne]

Are the properties taxes higher because of the location of the resort, the exterior of the buildings materials, the acres of the resort and the resort onsite amenities?

None of that changed from one year to the next. I think Cindy is questioning the increase.

 

[lynne]

The tax rates for timeshares in Maui have been steady at $14.60 for a few years. If the resort was assessed at a higher value for 2024, it would account for the increase.

From looking at the property records, the assessed value did increase by quite a bit.

 

[rickandcindy23]

@lynne Thank you for that link.

Unit 401 (PH1) is the nicest unit at Hono Koa, oceanfront, top floor, and this is the tax bill:

 

[rickandcindy23]

I believe this is about bad debt. Bad debt is something Soleil Management denies. They are the board. No one is ever asked to be on the board. Soleil decides everything.

 

[T_R_Oglodyte]

This increase in assessed valuations strikes me as a continuation of Maui's antipathy toward timeshares and desire to stick it to timeshare owners to make timeshares less tenable. The West Maui fire did not make timeshares in that area more valuable. Rather, in an inversion of prior conditions, West Maui is now one of the easiest places in Hawaii to make reservations (based on recent personal experience). To assert that West Maui valuations increased in 2024 over 2023 is not connected to reality.

IMHO - the ultimate goal of current Maui government is to do everything they can to reduce timeshare presence, and force marginal (i.e., "lower end" timeshares) to convert to either hotel-type operations or to whole unit ownership, to theoretically increase housing supply for island residents. West Maui resorts such as Hona Koa and similar properties in Kahana and Napili are probably squarely in their sights, while Maui will be content to live with "higher end" timeshares in Ka'anapali and Kapalua. Their goal being to discourage visitors whom they believe come to Maui and have a frugal vacation, without spending much money outside the resort.

 

[rickandcindy23]

Our maintenance fees for oceanfront Westin Ka'anapali are $3,180. Hono Koa is not comparable in any way to Westin.

We won't be paying 2026 fees. We paid 2025 fees in advance to book our weeks, and they have that money, but we won't be making reservations for 2026. We are walking away.

 

[Ken555]

@lynne Thank you for that link.

Unit 401 (PH1) is the nicest unit at Hono Koa, oceanfront, top floor, and this is the tax bill:

View attachment 98692

The penalty and interest shown on this bill are concerning, and you may want to inquire about that as well.

 

[pedro47]

Property tax assessment are based upon the property assessment and not bad debts. Someone needs to research other similar timeshare properties in the area and compare their tax assessment for the last three years and for the tax year 2025. IMHO.

Also, I would ask the local tax office about how they assess timeshare resorts ? Is the tax assessment for the whole resort or do they break it down by recorded deeds?

 

[rickandcindy23]

Property tax assessment are based upon the property assessment and not bad debts. Someone needs to research other similar timeshare properties in the area and compare their tax assessment for the last three years and for the tax year 2025. IMHO.

Also, I would ask the local tax office about how they assess timeshare resorts ? Is the tax assessment for the whole resort or do they break it down by recorded deeds?

Bad debt is the line item in a timeshare budget that accounts or budgets for people who do not pay their maintenance fees. Legacy resorts are dealing with a lot of that right now. If Hono Koa has a lot of owners not paying their fees, other owners have to pay. Property taxes is one of those expenses, and we are paying more than our 1/52nd of the billed amount.

 

[WaikikiFirst]

Thank you for that link

not sure i know what I am reading, but that "assessment" rose by almost 21% from 2023 to 2024.
Now, $518.70 x 52 = $27 K. $27K is 40% more than the $19.2 K assessment. I think about 30% of the weeks would have to be not paying for the remaining 70% of the weeks to be paying 40% more.
1 - 0.3 = 0.7 & 0.7 x 1.4 = .98, call it 1 for Maui work
But, it will be Sept in 2 days. Is the $518.70 for 2024 (which I guess I assume you would have seen long ago) or is it actually for 2025?

Why could assessment rise by 21%? Call me tinfoil, but my first reaction right from the top was same as T_R_O's
"goal of Maui government is to do everything they can to reduce timeshare (ALL frugal visitor) presence, and force marginal (i.e., "lower end" timeshares) to convert to either hotel-type operations or to whole unit ownership, to theoretically increase housing supply for island residents. West Maui resorts such as Hona Koa (WHICH IS IN A RESIDENTIAL NEIGHBORHOOD) and similar properties in Kahana and Napili are definitely probably squarely in their sights. Maui will be content to live with needs "higher end" timeshares (VISITORS) in Ka'anapali and Kapalua. Their goal being to discourage push ALL FRUGAL visitors to other islands, pref Oahu.

The short version of my reaction when I saw the OP: "cuz ... Maui and its govt! And, good luck having a TS in a residential Maui neighborhood."

From cycling on Maui, I know people who live in that exact neighborhood. I have stayed with people who live in that exact neighborhood for a week to 10 days. The things I heard.

There may be a less manipulated explanation?

 

[WaikikiFirst]

discourage visitors whom they believe come to Maui and have a frugal vacation, without spending much money outside the resort

Has been that way for years and they put in writing in easily available documents. The funny thing is what I call the "Paradise Paradox".
It is always "Welcome to paradise". Well, who actually needs to spend a ton of money in paradise? Did Paul Gauguin, or whomever, paint shopping malls and spas when he painted paradise? I'm sure there are some on Hawaii who understand the "Paradise Paradox", but they spend overtime trying to ignore it.

 

[pedro47]

Ok, I got it, timeshare owners that are current in paying their fees are now paying for owners not paying their maintenance fees and any timeshare weeks not sold by the developer. I got it . Bad Debt.

 

[Tamaradarann]

Ok, I got it, timeshare owners that are current in paying their fees are now paying for owners not paying their maintenance fees and any timeshare weeks not sold by the developer. I got it . Bad Debt.

Yes, see the tread on Vacation Village Forum concerning Maintenance Costs for more related comments and actual data.

 

[rickandcindy23]

The penalty and interest shown on this bill are concerning, and you may want to inquire about that as well.

I noticed it. Soleil is the worst management company.

 

[pedro47]

Many, many, many years ago the government would charge you daily for penalty and interest.
P&I can add up big time in a month. IMHO