Urging The Counties To Utilize An Empty Homes Tax As A Means Of Addressing Affordable Housing In The State.
The resolution draws inspiration from Vancouver, British Columbia, which implemented a vacancy tax that reportedly reduced vacant properties and generated substantial revenue for affordable housing initiatives. By adopting a similar tax, the resolution posits that Hawaii could reintegrate these vacant assets into its long-term rental market, providing relief in terms of housing availability and affordability. This proposal aligns with the urgent need for local governments to find effective solutions to the state's housing shortage.
Senate Resolution 204 (SR204) is a legislative proposal urging the counties of Hawaii to implement an empty homes tax as a measure to address the state's growing affordable housing crisis. In Hawaii, property taxes are notably low, contributing to a situation where approximately one-fourth of all housing is owned by non-residents. This has led to a significant number of residential investment properties remaining vacant, thus exacerbating the scarcity of available housing and increasing homelessness across the state.
While the resolution promotes the idea of an empty homes tax as a beneficial strategy, it might encounter resistance from certain stakeholders, particularly real estate investors and property owners. Concerns could arise regarding the implications such a tax has on property rights and investments, as well as potential adverse effects on the real estate market. As resolutions serve to urge action rather than enforce mandatory changes, the actual implementation of the empty homes tax would depend on individual counties' willingness to adopt the proposed measures.