Rental Car Demand Pushes Hawaiian Tourists Toward U-Haul

Matt Posky
by Matt Posky
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rental car demand pushes hawaiian tourists toward u haul

With car rentals crippled through 2020 as society collectively stopped traveling in response to the pandemic, businesses entered 2021 with the perfect excuse to charge exorbitant fees to lend out some of the cheapest vehicles on the market. Cities have it particularly bad as rental firms find themselves with a surplus of locals wanting to escape and not enough vehicles to serve them. Daily rates now surpass three figures in metropolitan areas and can balloon by hundreds more if a customer wants to return the vehicle out of state (depending on the agency).

However, Hawaii is where things start to get really weird. The islands are reportedly in such short supply of rental cars that tourists are borrowing U-Hauls, where the biggest concerns of mileage and finding a parking space pale in comparison to the upfront cost of something more typical of vacationing families.

According to Hawaii News Now, via Carsoops, the cheapest rental car on Maui in March was a Toyota Camry which cost $722 per day. Convertibles were alleged to set you back hundreds more. But we couldn’t verify that for April since they’ve become impossible to find. While you can bring rates down by booking in advance, those hoping to find a vehicle for less than $200 a day will need to reserve a car roughly a full month in advance or just walk in and hope they get lucky.

By contrast, U-Hauls (cargo van or pickup truck) can be obtained for as little as $19.95 plus $0.89 per mile driven. But some vacationers reportedly spent more on box trucks when nothing else was available in March. It’s definitely one of the sadder life hacks we’ve come across. But it could save you a bundle if the alternative is spending almost a grand per day for a car you don’t even like driving.

From Hawaii News Now:

“The uptick from tourism, the uptick from companies opening back up, from the economy restarting — everybody seems to need a vehicle,” said U-Haul Marketing President Kaleo Alau.

Alau said Hawaii U-Haul facilities are the busiest they’ve been in years.

“Most of the time they’re saying that they can’t get a vehicle from any of the rental spots. They’re all sold out,” Alau said.

We’ve little sympathy for the rental firms here. Hertz was just one of a handful of companies that had to file for bankruptcy in 2020 and dumped their surplus vehicles in a desperate bid to remain solvent. But competitors weren’t interested in taking the risk of buying up a bunch of cheap vehicles just because they might someday see their customers return. Instead, agencies played a similarly conservative game and waited to see who among them could best endure the financial drought. While the lapse in supply might make it seem like they’ve missed an opportunity, they appear to be making up for it with the kind of pricing our older readers might reference as “highway robbery.”

We’re doubtful prices will come down anywhere close to what we saw a few months ago. Most rental agencies were fairly conservative in the number of fleet vehicles they thought they might need going into 2021 and the automotive industry is dealing with supply chain issues that are creating rolling work stoppages. Resupplying rental fleets is going to take some time and companies might not be all that interested when they can charge ludicrous prices in just about every region. We’ll be crossing our fingers for your summer vacation plans, whether you manage to snag the rental you wanted or have to stuff your family into the back of a Ford Transit wearing the U-Haul livery.

[Image: Ken Wolter/Shutterstock]

Matt Posky
Matt Posky

Consumer advocate tracking industry trends, regulation, and the bitter-sweet nature of modern automotive tech. Research focused and gut driven.

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3 of 8 comments
  • Azmtns Azmtns on Apr 28, 2021

    We visited family on the Big Island last month. The last time we were there was pre-covid. Rental cars rates were high, especially for 4x4's. That was the only type of vehicle that seemed in short supply. Scopkins, I agree with a lot of what you said. At least Hawaii (Big Island) has more space than Maui so we can get away from these people.

  • 3SpeedAutomatic 3SpeedAutomatic on Apr 28, 2021

    Just received my second vaccine. Attempting to use up some airline credits before they expire with a trip to Ft Lauderdale. It's amazing what the airlines are charging for seats that used to go for $175 to $250 roundtrip coach pre COVID. Also surprised at the quoted rental car rates on Expedia. Normally pay $30 to $45 per day, depending on type of car. Now quoting $75 to $85 per day for the weekend prior to the Memorial Day weekend. Even the offsite agencies are quoting big bucks. WOW!!! No fun!!

  • Clay Toyota Land Cruiser FJ60 had manual choke through 1987.Also, just started daily driving my 1992 Volvo 240 that I picked up in September and brought back to the road. Some fresh studded tires + RWD, bring on the snow!! Old Volvos make me smile
  • Lou_BC My son already has a Scout EV. Well, okay, RC....
  • The Oracle I was in WNY when this went down and it is likely a medical issue and/or some type of rolling domestic. That car was flat out with air bags deployed before it even left the ground. It was a spectacular wreck. The couple made a 7-minute stop at the Seneca Niagara Casino before the fiery launch, and something went terribly wrong in those 7 minutes.
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  • Ajla Why did pedestrian fatalities hit their nadir in 2009 and overall road fatalities hit their lowest since 1949 in 2011? Sedans were more popular back then but a lot of 300hp trucks and SUVs were on the road starting around 2000. And the sedans weren't getting smaller and slower either. The correlation between the the size and power of the fleet with more road deaths seems to be a more recent occurrence.