Is Airbnb legal in Nashville?

Short-term rentals in Nashville are legal only when the host complies with the city's rules. The current regime: Permitted with permit, non-owner-occupied STRs restricted to non-residential zones. Permit or registration requirement: Short-term rental property permit from Metro Codes (owner-occupied or non-owner-occupied type); annual fee and renewal. Operating without the required registration can lead to fines and platform delisting, Nashville is among the markets where Airbnb and Vrbo are required or pressured to remove non-compliant listings. Check the city's official short-term rental page before listing, because ordinances in this space are amended frequently.

Do I have to live in the property to rent it short-term in Nashville?

Primary-residence requirement in Nashville: No for non-owner-occupied permits, but those are barred from most residential zoning districts. Night caps: None. This is the single biggest factor separating investor-friendly STR markets from restricted ones, where a primary-residence rule applies, a pure investment property generally cannot operate as a short-term rental at all, and investors instead look at 30-plus-day furnished rentals, which most STR ordinances (including Nashville's) do not cover.

What taxes do short-term rental hosts pay in Nashville?

Lodging taxes for short-term stays in Nashville: Hotel occupancy tax (6% metro) plus nightly fee and state sales tax on short stays. On top of lodging taxes, STR income is ordinary taxable income at the federal and state level, and hosts averaging short stays with substantial services may owe self-employment tax. Airbnb and Vrbo collect and remit some lodging taxes automatically in many jurisdictions, but the host remains legally responsible for confirming full compliance, verify current rates with the city and state revenue departments, as they change often.

Nashville Short-Term Rental Laws (2026)

Tennessee · Last reviewed: July 2026

Nashville permits owner-occupied short-term rentals in residential neighborhoods but pushes non-owner-occupied (investor) STRs into commercial and mixed-use zones, a structure in place since 2017-2018 reforms. Permits are mandatory, and grandfathered residential investor permits still exist but cannot generally be issued anew. Downtown-zone STRs remain a significant investor market.

General information, not legal advice. Verify with the current statute or a local attorney before acting.

Nashville Airbnb rules at a glance

Status	Permitted with permit, non-owner-occupied STRs restricted to non-residential zones
Primary residence required	No for non-owner-occupied permits, but those are barred from most residential zoning districts
Permit / license	Short-term rental property permit from Metro Codes (owner-occupied or non-owner-occupied type); annual fee and renewal
Night caps	None
Lodging taxes	Hotel occupancy tax (6% metro) plus nightly fee and state sales tax on short stays

Key rules for hosts in Nashville

Two permit types: owner-occupied (allowed in residential zones) and non-owner-occupied (generally limited to non-residential and mixed-use zones)
New non-owner-occupied permits are unavailable in most single/two-family residential districts since 2017-2018 reforms; some older permits are grandfathered
Permit number must appear on all listings and advertising
Occupancy limits tied to bedroom count; proof of insurance required
Tennessee state law protects some pre-existing operators from retroactive bans

Enforcement

Metro Codes enforces through permits and platform data; the practical effect is that investor STRs cluster in downtown, the Gulch, and other commercially zoned areas while residential neighborhoods are mostly owner-occupied only.

Taxes on short stays

Hotel occupancy tax (6% metro) plus nightly fee and state sales tax on short stays. Platforms often collect and remit some or all lodging taxes automatically, but hosts remain responsible for registration and any amounts the platform does not handle. Stays of 30 days or longer are generally exempt from lodging taxes and from the short-term rental rules above. STR income is also ordinary taxable income at the federal and state level.

What this means for investors

Before underwriting a short-term rental in Nashville, confirm the parcel’s exact jurisdiction and zoning, whether a permit is available to a non-resident owner, and the all-in tax load — then stress-test the deal as a 30-plus-day furnished rental or a traditional lease in case the rules tighten. Model the numbers with the Airbnb calculator and compare against a long-term strategy using our rental income investing guide.

Official source

Verify current requirements on Nashville’s official short-term rental page: https://www.nashville.gov/departments/codes/short-term-rentals.

Nashville short-term rental FAQs

Is Airbnb legal in Nashville?: Short-term rentals in Nashville are legal only when the host complies with the city's rules. The current regime: Permitted with permit, non-owner-occupied STRs restricted to non-residential zones. Permit or registration requirement: Short-term rental property permit from Metro Codes (owner-occupied or non-owner-occupied type); annual fee and renewal. Operating without the required registration can lead to fines and platform delisting, Nashville is among the markets where Airbnb and Vrbo are required or pressured to remove non-compliant listings. Check the city's official short-term rental page before listing, because ordinances in this space are amended frequently.
Do I have to live in the property to rent it short-term in Nashville?: Primary-residence requirement in Nashville: No for non-owner-occupied permits, but those are barred from most residential zoning districts. Night caps: None. This is the single biggest factor separating investor-friendly STR markets from restricted ones, where a primary-residence rule applies, a pure investment property generally cannot operate as a short-term rental at all, and investors instead look at 30-plus-day furnished rentals, which most STR ordinances (including Nashville's) do not cover.
What taxes do short-term rental hosts pay in Nashville?: Lodging taxes for short-term stays in Nashville: Hotel occupancy tax (6% metro) plus nightly fee and state sales tax on short stays. On top of lodging taxes, STR income is ordinary taxable income at the federal and state level, and hosts averaging short stays with substantial services may owe self-employment tax. Airbnb and Vrbo collect and remit some lodging taxes automatically in many jurisdictions, but the host remains legally responsible for confirming full compliance, verify current rates with the city and state revenue departments, as they change often.

Compare other markets

This page is general information, not legal advice. Laws change — verify with the current statute or a local attorney before acting. Summary reflects widely documented rules as of July 2026; short-term rental ordinances are amended and litigated frequently.