Disclaimer: This blog post is meant for informational purposes only and does not constitute legal advice. Consult with a licensed attorney in Hawaii for specific legal guidance.Â
Are you a property manager or landlord in Hawaii? Get ahead of the game by downloading our free Hawaii Lease Agreement template and follow the steps below to easily create a legally sound lease for your rental properties. With the information in this guide, you can customize your lease agreements to avoid many of the common pitfalls of managing property in the state.
What Is a Hawaii Lease Agreement?
A Hawaii lease agreement is a written document that formalizes the terms of the rental relationship between a landlord and a tenant. This contract defines important details such as rent amount, lease term, and both parties’ responsibilities, helping to prevent misunderstandings and disputes down the line.
In Hawaii, lease agreements must comply with state laws, including those found in the Hawaii Residential Landlord-Tenant Code. While a lease can vary in style and length, its core purpose is to outline the relationship between the landlord and tenant in clear, concrete terms. This document is your go-to reference if any issues arise during the lease period.
Whether you are new to property management or have years of experience, a well-drafted lease agreement is the foundation of a successful rental operation.
Who Needs a Hawaii Lease Agreement?
If you’re renting residential property in Hawaii, you’ll need a lease agreement. Whether you’re a property manager, landlord, or leasing agent, a lease agreement clarifies what is expected of both parties and outlines each person’s rights.
Even for short-term rentals or those on a month-to-month basis, a written agreement is a good idea. Without a lease, the situation may become unclear, especially in the event of disputes related to property damage, unpaid rent, or eviction. Having a lease agreement eliminates confusion and makes it easier to address problems if they arise.
For landlords who don’t live in Hawaii, the law also mandates that you provide the name and contact information of a local property manager. This guarantees that tenants know who to contact for issues requiring immediate attention.
Pro Tip: Buildium’s purpose-built leasing software can help you get even more efficient with your leasing process.
Types of Hawaii Lease Agreements
There are different types of lease agreements in Hawaii. Each one serves a different purpose and is suited for different rental situations. As a property manager, it’s important to understand the distinctions between them so you can choose the one that best meets your needs.
Fixed-Term Lease Agreements
A fixed-term lease is the most common type of rental agreement. It runs for a set period—typically one year—and specifies the exact start and end dates of the rental term. Fixed-term leases offer stability for both the tenant and landlord. Tenants agree to stay in the property for the entire lease term, and landlords lock in a guaranteed rent rate.
These leases are ideal for landlords who prefer long-term tenants and want predictable income over a set period. If you’re planning to raise rent after the term ends, a fixed-term lease also gives you more control over the process.
Month-to-Month Lease Agreements
A month-to-month lease provides flexibility for both the landlord and tenant. Instead of committing to a set term, the lease automatically renews each month until either party decides to terminate it. Landlords and tenants can adjust terms, including rent, by giving proper notice—usually 45 days for tenants and 28 days for landlords.
Month-to-month leases are great for landlords who want more flexibility in managing their properties or for tenants who need short-term arrangements. However, because of the ease of termination, they may be less stable than a fixed-term lease.
Sublease Agreements
A sublease agreement occurs when a tenant rents all or part of the property to another individual, called a subtenant. The original tenant remains responsible for the lease terms with the landlord. A sublease should outline the subtenant’s responsibilities and make certain they meet the same obligations as the original tenant.
Subleases are common in situations where a tenant needs to leave temporarily but doesn’t want to break their lease. However, landlords should always approve subleases to avoid issues with unauthorized occupants.
What Should a Hawaii Lease Agreement Include?
A lease agreement isn’t just a formality—it’s a legal document that protects both the landlord and tenant. Here are the key elements that should be included to make sure everyone knows their rights and responsibilities.
Parties Involved
First and foremost, the agreement should clearly identify both the landlord and the tenant(s). Include full names and contact information for each party. If the landlord has a property manager or agent, their contact information should also be included in the agreement.
Lease Duration
Clearly state the length of the lease, whether it’s a fixed-term lease with specific dates or a month-to-month arrangement. For fixed-term leases, be sure to include the start and end dates, as well as any automatic renewal clauses if applicable.
Rent and Payment Terms
The lease should specify the rent amount, payment due dates, and the acceptable methods of payment. Be sure to include details about any late fees. Hawaii law allows landlords to charge a late fee if the rent isn’t paid within five days of the due date.
Security Deposit
Hawaii limits security deposits to one month’s rent for unfurnished units and two months’ rent for furnished units. The lease should clarify the amount and conditions under which the deposit may be withheld. Under HRS § 521-44, the security deposit must be returned within 14 days after the tenant vacates, minus any deductions for damages beyond normal wear and tear.
Maintenance and Repairs
Specify who is responsible for maintenance and repairs. The landlord is generally responsible for maintaining the structure of the building and making major repairs, while tenants should maintain cleanliness and report minor issues. Make sure the lease precisely outlines the procedures for handling maintenance requests.
Hawaii Lease Agreement Addenda and Disclosures
Certain disclosures and addenda are required by law to confirm the safety and fairness of the rental relationship. These documents can be added to the lease to confirm both parties comply with specific state and federal regulations.
Let’s delve into some of the most important addenda and disclosures for Hawaii lease agreements. This list is not exhaustive, so consult a legal professional if you’re unsure about what to include in your own agreements.
Lead-Based Paint Disclosure
If your property was built before 1978, you are legally required to provide tenants with a lead-based paint disclosure. This disclosure informs tenants of the potential hazards of lead-based paint, which is a concern in older buildings. You must provide this notice and give tenants a pamphlet on lead poisoning prevention.
Absentee Landlord Disclosure
If the landlord lives outside of Hawaii, they must provide the tenant with contact information for a local property manager or agent. This guarantees that the tenant can easily reach someone in case of urgent issues, such as plumbing or electrical problems.
Hawaii Lease Agreement Laws and Regulations
Hawaii’s landlord-tenant laws mirror those in many other states. Here’s an overview of the key regulations that you should keep in mind when creating your lease agreement. Again, it’s always recommended to speak with a local legal professional for the most complete and detailed list of regulations.
Security Deposits
Under HRS § 521-44, security deposits cannot exceed one month’s rent for unfurnished properties and two months’ rent for furnished properties. When the lease ends, landlords must return the deposit within 14 days, minus any necessary deductions for damage or unpaid rent.
Grace Period for Rent Payments
Hawaii law does not mandate a specific grace period for rent payments, but it is common for landlords to allow a 5-day grace period before charging a late fee. This should be clearly outlined in your lease agreement.
Rent Increases
For month-to-month leases, landlords must provide tenants with at least 45 days’ notice before increasing the rent. For fixed-term leases, rent increases cannot occur until the lease expires unless the contract allows for periodic rent hikes.
Eviction Laws
If a tenant fails to meet the obligations in the lease, landlords must follow a formal eviction process. This includes issuing a Notice of Default and providing the tenant with the opportunity to correct the issue. The eviction process must adhere to all legal requirements, including proper notice periods.
Taking the Next Steps with Your Hawaii Lease Agreement
Navigating the details of a Hawaii lease agreement doesn’t have to be overwhelming. By following the guidelines in this post and using our free Hawaii Lease Agreement template, you can easily create a lease that protects your property, outlines both parties’ responsibilities, and stays compliant with Hawaii state laws.
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