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Wailea Point to potentially resume short term rentals after important court decision

wailea point court decision on vacation rentals

If you’ve been following the recent legal battle involving Wailea Point, you’ve probably asked yourself one question: What does this actually mean?

Here’s the short answer…

The Ninth Circuit Court of Appeals has restored Wailea Point’s previous 30 day minimum lease policy, reversing the 2022 amendment that increased the community’s minimum lease term to one year. Here’s what happened and what it means for both current owners and future buyers.

History of vacation rental policy change at Wailea Point

Wailea Point has hotel zoning and was a primer vacation destination for decades, until the sun set on short term rentals in 2022.

In 2022, approximately 70% of Wailea Point owners voted to amend the governing documents, increasing the community’s minimum lease term from 30 days to 365 days. That amendment took the community off the list of prized vacation rentable Wailea condos.

Fast forward to July 15, 2026, when the Unites States Court of Appeals for the Ninth Circuit ruled that the amendment was not validly adopted.

Why?

Because the amendment restricted how owners could use their property, the Wailea Point Declaration required unanimous owner approval, not the approximately 70% approval it received.

As a result, the original 30 day minimum lease policy has been reinstated.

At least for now…

The Wailea Point Association still has a limited opportunity to pursue additional legal action, so this should be viewed as the current legal status rather than necessarily the final outcome.

How does this impact current Wailea Point owners?

wailea point villa 2002 sold by the Sayles Team in 2021
For the first time since 2022, owners at Wailea Point have a view for short term rentals on the horizon.

For most owners, this decision isn’t about suddenly placing their property into a rental program.

Historically, very few Wailea Point owners have leased their residences. Based on our experience, we estimate fewer than 10% of owners have rented their units.

The bigger takeaway is flexibility. Life happens, plans change, and having the ability to lease your property if circumstances change can be valuable, even if you never intend to use that option.

For many owners, simply preserving that flexibility provides peace of mind.

What does this mean for Wailea Point buyers?

community pool at Wailea Point
The recent court decision on rental policy may prompt more buyers to dive into the Wailea Point market.

Over the past several years, the one year minimum lease restriction came up in many conversations with prospective buyers.

Some buyers weren’t concerned.

Others decided Wailea Point wasn’t the right fit.

Not because they planned to rent immediately, but because they preferred keeping that option available should their circumstances change in the future.

This ruling removes one of the objections that occasionally surfaced during the buying process and restores an ownership benefit that many buyers appreciated.

Updated list of Wailea Point units for sale

4000 WAILEA ALANUI DR #2904

4000 WAILEA ALANUI DR #2904
Price: $4,195,000
Beds: 2
Baths Total: 2
Sqft: 1558
Acres: 28.11
City: Kihei
State: HI
Zip: 96753

4000 WAILEA ALANUI DR #2502

4000 WAILEA ALANUI DR #2502
Price: $4,000,000
Beds: 3
Baths Total: 4
Sqft: 2419
Acres: 26.4
City: Kihei
State: HI
Zip: 96753

4000 WAILEA ALANUI DR #1104

4000 WAILEA ALANUI DR #1104
Price: $7,999,000
Beds: 3
Baths Total: 5
Sqft: 2807
Acres: 26.4
City: Kihei
State: HI
Zip: 96753

4000 WAILEA ALANUI DR #1202/1204

4000 WAILEA ALANUI DR #1202/1204
Price: $12,995,000
Beds: 4
Baths Total: 6
Sqft: 4273
Acres: 28.11
City: Kihei
State: HI
Zip: 96753

4000 WAILEA ALANUI DR #2802

4000 WAILEA ALANUI DR #2802
Price: $4,750,000
Beds: 2
Baths Total: 2
Sqft: 1808
Acres: 26.4
City: Kihei
State: HI
Zip: 96753

4000 WAILEA ALANUI DR #101

4000 WAILEA ALANUI DR #101
Price: $13,900,000
Beds: 4
Baths Total: 4
Sqft: 3820
Acres: 30
City: Kihei
State: HI
Zip: 96753

4000 WAILEA ALANUI DR #802 & 804

4000 WAILEA ALANUI DR #802 & 804
Price: $8,740,000
Beds: 5
Baths Total: 6
Sqft: 4913
Acres: 26.4
City: Kihei
State: HI
Zip: 96753

4000 WAILEA ALANUI DR #2101

4000 WAILEA ALANUI DR #2101
Price: $3,300,000
Beds: 2
Baths Total: 3
Sqft: 1584
Acres: 28.11
City: Kihei
State: HI
Zip: 96753

Will this increase Wailea Point property values?

wailea point 1501 sold by The Sayles Team in 2025

The short answer is: Probably not by itself.

Real estate values aren’t determined by a single event. They’re influenced by:

  • Location
  • Ocean views
  • Quality of construction
  • Floor plan
  • Condition
  • Inventory
  • Buyer demand
  • Pending assessments
  • Overall market conditions

Wailea Point has earned its reputation as one of the premier luxury Maui oceanfront condo communities because of its incredible setting in the Wailea master-planned resort, exceptional amenities, mature tropical landscaping, privacy, security, and timeless appeal.

Those fundamentals haven’t changed.

What has changed is that owners once again have additional flexibility, and for many buyers, that’s a meaningful benefit.

One important thing to keep in mind

This decision may not be the final chapter.

The Wailea Point Association still has a limited period of time to determine whether it will pursue additional legal action.

Until that process has run its course, owners should confirm the current leasing policy directly with the Association before making any leasing decisions.

Final thoughts

ocean view from front row Villa 304 at Wailea Point

As always…

Facts over emotion.

This ruling doesn’t fundamentally change what makes Wailea Point one of the most desirable luxury communities on Maui.

What it does do is restore a level of flexibility that many owners and prospective buyers value.

If you have questions about how this decision may affect your Wailea Point property, or you’re considering buying or selling within the community, we’d be happy to help you understand how it fits into today’s market.

Partner with a Wailea Point expert

Anthony Sayles in living room at Wailea Point

We’ve had the honor of representing 5 happy seller clients with the sale of their Wailea Point units as well as helping buyers acquire 3 units in the community. Please reach out if you’d like my personal guidance.

Aloha,

Anthony Sayles R(S)

808-280-6532

Anthony@DanoSayles.com

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