Is Airbnb Legal in Nashville? 2026 Rules, Permits & Taxes

Permit required

Yes

Taxes on a stay

16.75% + $2.50

Fine for hosting without a permit

$50

Listings showing a permit number

19%

Latest rule change

Mar 11, 2026

Listing figures: AirROI, 12 months to September 2026. A number on a listing doesn't prove the permit or license is valid, and a missing one doesn't prove there is none.

The rules in brief

Who needs it

Anyone who lists a property on short-term rental websites (Airbnb, Vrbo and similar) in Nashville and Davidson County, before the listing goes live.^{13,16,17,18,19}

Issued by

Metro Nashville Department of Codes and Building Safety (Short Term Rental Department)

Valid for

365 days from issue; a renewal extends the existing permit one year from the original issue day and month

On listings

The number must appear on every listing

Platform checks

Both Metro and Airbnb's Nashville help page require a Metro Codes permit before listing; neither page describes Airbnb verifying permit numbers.

Fees

Who qualifies

• Owner-occupied: a natural-person owner who lives at the property as their primary residence (listings cannot advertise the entire home, with limited exceptions), with four current proof-of-residence documents matching the deed (two from Group A such as a Tennessee driver license, voter registration, IRS form or vehicle registration, and two from Group B such as insurance, pay stub, bank statement or employer letter).
• Not owner-occupied: available for new permits only in the listed mixed-use, office, commercial and downtown districts (not AR2A, R, RS or RM), at least 100 feet from churches, schools, parks and licensed day cares unless the Metro Council exempts the unit; entity owners must document the chain of ownership.
• No more than four sleeping rooms.
• Proof that all property taxes are paid (and for renewals, room, occupancy and sales taxes).
• Proof of homeowner's fire, hazard and liability insurance with at least $1,000,000 liability per occurrence.
• Floor plan with UL 217 smoke detectors; certification from a state-licensed architect, engineer or home inspector (single- and two-family homes) or Fire Marshal inspection (multifamily, 3+ dwellings).
• Notarized affidavit that the application is true and accurate, plus a notarized owner authorization form if someone else applies.
• Written notice to owners of adjacent properties.
• Statement that the rental does not violate any HOA, condominium, covenant or lease restriction, and a responsible party living within 25 miles.

How to apply

1. 1 Check whether your address can get a permit in the Metro Short Term Rental Permit Eligibility Viewer (Property Search page).
2. 2 Email proof of residency (owner-occupied) or documents linking the applicant to the owning entity (not owner-occupied) to the Short Term Rental applications mailbox, using the property address as the subject.
3. 3 Prepare PDFs: notarized True and Accurate affidavit, property tax receipt, floor plan, architect/engineer/home-inspector certification (or arrange Fire Marshal inspection for multifamily), insurance proof, neighbor notification letters and receipts, and the HOA/responsible-party statement.
4. 4 Complete the online application in Metro ePermits and upload the PDFs from the previous step; Short Term Rental Department staff then coordinate the rest of the permit application.
5. 5 Pay the $313 fee after approval, then post the permit number or a picture of the permit in every listing, and post the responsible-party contact and occupancy limit inside the unit.

Permit rules

Metro Codes STRP permit needed before you list

Anyone renting a property on short-term rental websites in Nashville and Davidson County must hold a Short Term Rental Property (STRP) permit from Metro Codes before listing. There are two types: owner-occupied and not owner-occupied.^13,14

Do not list until the permit is issued

Until the permit is issued you are not authorized to list the property for rent on any website. Operating or advertising first triggers the penalties below.¹⁷

Show the permit number (or a picture of the permit) in every listing

The permit number, or an image of the permit with a legible number, must appear in every short-term rental listing on all websites.^2,17

Permit lasts 365 days and must be renewed every year

A permit expires 365 days after issue unless renewed before expiry. Metro emails renewal notices 60 and 45 days ahead, but renewal is the owner's responsibility; the permit is not renewed until the affidavit is accepted and the fee is paid. Renewal needs proof of current property insurance, proof of paid property taxes and proof of Hotel Occupancy Tax payment.^15,18,19

Permits cannot be transferred; a change of owner cancels them

A permit cannot be transferred or assigned to another person, entity or address, and changes in ownership cancel it (including moving the property from a person to a trust or LLC, or the reverse). Since November 12, 2024 the new owner must apply under the rules in effect when the new application is received, so a buyer cannot inherit an existing permit, and in AR2A, R, RS and RM zones cannot get a new non-owner-occupied one.^3,15,18 In force since November 12, 2024

Owner-occupied permit: natural-person owners who live there

An owner-occupied permit is only for a natural person owner who lives at the property (four proof-of-residence documents matching the recorded deed are required). LLCs, corporations, trusts, partnerships and other entities cannot hold one. It covers up to four sleeping rooms rented to a single party, or at least one sleeping room and a bathroom if only part of the home is rented.^3,14,16 Applies to: owner-occupied

Owner-occupied listings cannot advertise the entire home

Advertisements for an owner-occupied STRP may not advertise availability of the entire/whole home. The only exceptions are a legally permitted detached accessory dwelling unit, a legally permitted accessory apartment, or a two-family (duplex) unit under common ownership with the other unit on the same lot. Renting out a whole home you live in while you are away therefore does not fit an owner-occupied permit, and new non-owner-occupied permits are not issued in AR2A, R, RS or RM zones.^1,9,10 Applies to: owner-occupied · In force since November 2020

Owner-occupied rentals allowed in nearly every residential district

An owner-occupied STRP is an accessory use in all zoning districts that allow residential use except NS districts, once a permit is issued. In the IWD, IR and IG industrial districts it is allowed only as an accessory to a multi-family use tied to manufacturing/artisan use.^2,41 Applies to: owner-occupied

One permit per lot in single- and two-family zones

In single-family and two-family zoning districts only one STRP permit is issued per lot. Two-family (duplex) properties must be owned by one person, with one unit as the owner's primary residence, and cannot have divided ownership.¹⁴ Applies to: single-family and two-family zoning districts

Duplex owner must live in one of the two units

For an owner-occupied permit on a two-family property the ownership of the two units cannot be divided; the same person must own both and one unit must be the owner's primary residence.¹⁴ Applies to: owner-occupied, two-family units

No new non-owner-occupied permits in AR2A, R, RS or RM zones

New not-owner-occupied (investor) permits are not issued for properties zoned AR2A, R, RS or RM. Existing permit holders in those districts may be eligible to renew, but their permits are not transferable if the property is sold or transferred.¹⁴ Applies to: non-owner-occupied, AR2A/R/RS/RM zoned properties

Non-owner-occupied permits only in listed mixed-use, office, commercial and downtown districts

New not-owner-occupied permits are issued only as a use permitted with conditions in MUN, MUL, MUG, MUI, OG, OR20 to OR40-A, ORI, CN, CL, CS, CA, CF, the DTC districts (North, South, West, Central), SCN, SCC and SCR zoning (including the -A variants). Specific Plan (SP) and Planned Unit Development (PUD) properties get a permit only if the SP or PUD allows it.¹⁴ Applies to: non-owner-occupied, new permits

SP and PUD properties follow their own plan

Permits for Specific Plan (SP) zoned properties or properties inside a Planned Unit Development (PUD) are issued only if the SP or PUD allows short-term rental. Metro Planning can confirm the conditions.¹⁴

New non-owner-occupied permits must be 100 ft from churches, schools, parks and day cares

New not-owner-occupied permits are not issued for units within 100 feet of a religious institution, a school or its playground, a park, or a licensed day care center or its playground. The Metro Council can exempt a unit or a whole multifamily development by resolution after a public hearing with 21 affirmative votes; it has granted such exemptions repeatedly, most recently for three units at 178 2nd Avenue North (resolutions passed September 1, 2026 and October 6, 2026).^3,6,8,11,12 Applies to: non-owner-occupied, new permits

No owner-occupied STRP in new backyard cottages (DADUs) on single-family lots

Since December 12, 2025 an owner-occupied STRP is not a permitted use in a detached accessory dwelling unit that is newly built, or newly converted from an existing accessory structure, on a single-family, Residential Neighborhood or Residential Limited zoned lot.⁴ Applies to: new DADUs on single-family, Residential Neighborhood or Residential Limited lots · In force since December 12, 2025

Multifamily buildings need a Fire Marshal inspection

Single- and two-family homes need a certification from a state-licensed architect, engineer or home inspector. Multifamily structures (3+ dwellings on the property, or a shared hallway or walkway to the entrance) still require an inspection by the Fire Marshal after the application is generated.^16,17 Applies to: multifamily structures (3+ dwellings)

HOA, condo and lease rules can be stricter than Metro

Homeowner associations can be more restrictive than Metro rules. Every application must include a statement that the applicant has confirmed the rental would not violate any HOA agreement, condominium agreement, covenants or other agreement limiting the use. Tennessee's Short-Term Rental Unit Act expressly preserves HOA, condo, co-op and lease restrictions.^5,17,18

Maximum four sleeping rooms

A permit covers no more than four sleeping rooms, so a property with more than four bedrooms cannot be permitted as a short-term rental.¹⁶

Guest cap: twice the sleeping rooms plus four, maximum 12

At any one time the number of occupants may not exceed twice the number of permitted sleeping rooms plus four, and never more than 12. Renting to more than one party at the same time under separate contracts is not allowed, and the occupancy maximum must be posted in the unit.^2,15

At least 24 hours per stay, at most 30 consecutive days

The owner may not accept compensation for occupancy of less than 24 hours, and no guest may stay more than 30 consecutive days.¹³

Principal renter must be 21 or older

The principal renter of the unit must be at least 21 years old.¹⁵

Local responsible party reachable 24/7, posted in the unit

The name and telephone number of the local responsible party must be conspicuously posted inside the unit, and that person must answer calls 24 hours a day for the whole rental period.¹⁵

Responsible party must live within 25 miles

The application must name a responsible party (the owner or a business) who lives or is located within 25 miles of the property and handles maintenance and safety concerns.^2,17

Permit holder answers for guest noise, trash, parking and food service

Guests must follow the Metropolitan Code noise and waste rules and the permit holder is responsible for their activity. No recreational vehicles, buses or trailers may be visible on the street or property, and no food may be prepared for or served to guests by the permit holder or manager.¹⁵

Homeowner's fire, hazard and liability insurance with $1 million liability limit

Applicants must show homeowner's fire, hazard and liability insurance with liability limits of at least $1,000,000 per occurrence. Metro says a platform such as Airbnb may offer qualifying insurance, in which case the host's profile page can be submitted as proof of coverage. Proof of current property insurance is also needed to renew.^16,18

UL 217 smoke detectors and a floor plan

The application needs a floor plan showing rooms, windows, doors and smoke detectors on each floor. UL 217 certified smoke detectors are required in all sleeping areas, in each room on the escape path, and on each story, including basements and garages. Single- and two-family homes must also submit a certification from a state-licensed architect, engineer or home inspector.^2,16

Notify adjacent property owners in writing

The applicant must prove written notification of the owner of each adjacent property (in front, behind, beside and, if applicable, above and below) before applying, by signature or certified mail.¹⁶

Keep a guest register

Every person operating a hotel, rooming house or Short Term Rental Property must keep a register listing each guest's name and address and the dates of arrival and departure.³ In force since November 12, 2024

Permit holder collects and remits room, occupancy and sales taxes

The permit holder is responsible for collecting and remitting all applicable room, occupancy and sales taxes required by state law or the Metropolitan Code. Bookings made through a registered marketplace such as Airbnb are collected and remitted by the marketplace (see taxes).¹⁵

Tennessee law protects units already operating lawfully before a new rule

Under the Short-Term Rental Unit Act (effective May 17, 2018), a unit already operating lawfully keeps the rules in force when it started until the property is sold or transferred, stops operating for 30 continuous months, or racks up three violations of generally applicable local laws. The Act does not stop local governments from requiring permits (13-7-604) or condos, HOAs and landlords from restricting short-term rentals (13-7-605).^5,21 Applies to: units already operating under a permit before a rule change · In force since May 17, 2018

Median nightly rate, booked nights

$275

Taxes on that night (16.75% + $2.50)

$49

Guest pays, before Airbnb and cleaning fees

$324

What the host still handles

• Metro STRP permit from Metro Codes before listing; renewals need proof of paid property taxes and proof of Hotel Occupancy Tax payment.
• Davidson County Clerk business tax license: none under $3,000 annual gross income; an annual minimal-activity license from $3,000 to $99,999 ($15/$30 depending on GSD/USD district, per the Clerk's chart); a business tax license (one-time $15/$30 fee) plus a return filed with the Tennessee Department of Revenue at $100,000 or more.
• Metro Finance Collections hotel occupancy tax account for any bookings not made through a marketplace registered with the state (monthly return due by the 20th; 7% plus $2.50 per night booked).^{22,24,25,26,27,28,29,30,32,34,35,36,40,41}

• Operating without a permit: a court fine of $50 per day of operation, with each day without a permit a separate offense (Metro Code § 6.28.030.A.5.l and B.5.l).^1,2
• Operating without a permit also triggers enforcement action including citations and a mandatory one-year wait before the property can apply for a permit.^1,18
• Operating without having renewed a permit: six-month wait before the property is eligible for a permit again. After a court finding of operating without a permit, the wait is three years instead of one.^1,2
• Revocation: the permit may be revoked by a court or by Codes upon determination of three violations of any ordinance or law of general application.¹⁵
• Revocation is also possible if the zoning administrator finds the permit application contained false or misleading information.¹⁵
• Before a permit is revoked Codes must give the permit holder 15 days written notice of the alleged violations, and a revoked property cannot receive a new permit for one year. Decisions can be appealed to the Short Term Rental Appeals Board (Metro Code § 6.28.030.A.5.l and B.5.l; appeals under § 6.28.035).^1,2,37
• Advertising for more occupants than the permit allows is grounds for revoking the permit (Metro Code § 6.28.030.A.5.f and B.5.f).²
• After a final denial of an owner-occupied application, no new application for the same property may be filed for six months (Metro Code § 6.28.030.A.5.l, added by BL2024-478).³

1. March 11, 2026
   Online STRP application process

   Metro Codes states that its new online Short Term Rental permit application process became effective March 11, 2026; applications go through Metro ePermits.^13,16

2. December 12, 2025
   BL2025-1007 bars owner-occupied STRPs in new DADUs on single-family lots

   The DADU ordinance, passed December 4, 2025 and approved by the mayor December 8, 2025, says owner-occupied short term rental is not a permitted use in new detached accessory dwelling units on single-family, Residential Neighborhood and Residential Limited lots.⁴

3. July 1, 2025
   First 30 days of any stay are subject to local occupancy tax

   Public Chapter 364 (2025) means marketplaces must collect and remit local occupancy tax for the first 30 days of occupancy regardless of stay length, and it can no longer be refunded or credited.³⁰

4. February 1, 2025
   Davidson County local sales tax rises to 2.75%

   A 0.5% local option transit surcharge approved by voters on November 5, 2024 took effect; it applies to taxable lodging.^27,28

5. November 12, 2024
   BL2024-478 tightens owner-occupied proof and ownership-change rules

   Owner-occupied applicants must supply four proof documents; the zoning administrator may deny on residency evidence or neighbor affidavits; a change in ownership invalidates a permit and the new owner must apply under current rules; six-month wait after a final denial; guest registers required. Passed November 7, 2024, approved by the mayor November 12, 2024.^3,20

6. February 6, 2024
   BL2023-136 changes review of appeals to the STR Appeals Board

   Council passed an amendment to section 6.28.035 on how the Short Term Rental Appeals Board reviews appeals.⁷

7. August 1, 2023
   BL2023-1884 codifies minimum distances for non-owner-occupied permits

   Council passed BL2023-1884 on August 1, 2023, codifying an updated version of BL2019-78: new non-owner-occupied STRPs must be located a minimum distance from churches, schools, day cares and parks.^6,20

8. July 1, 2023
   Metro hotel occupancy tax rises from 6% to 7%

   BL2022-1529, adopted December 20, 2022, added a 1% levy for the new enclosed stadium; the $2.50 nightly fee stayed the same.^22,26

9. November 17, 2020
   BL2019-79 bars whole-home advertising on owner-occupied permits

   Council adopted BL2019-79 on November 17, 2020 (approved by the mayor November 18, 2020): advertisements for an owner-occupied STRP may not advertise availability of the entire/whole home, except for a permitted detached accessory dwelling unit, accessory apartment or common-ownership duplex unit. The proposed rule requiring the owner to be onsite at all times was struck from the adopted version.^1,9,10,20

10. July 10, 2020
    BL2020-187 moves the STRP rules into Title 6

    The Metro STRP permit rules became section 6.28.030 of the Metropolitan Code and the Short Term Rental Appeals Board was created (section 6.28.035).^2,20

11. May 17, 2018
    Tennessee Short-Term Rental Unit Act

    Public Chapter 972 (2018) lets local governments require STR permits but protects units already operating lawfully under earlier rules (legacy status) until sale or transfer, 30 continuous months of non-use, or three violations of generally applicable local laws.^5,20,21

Estimate what a Nashville home could earn

1. 1. Metropolitan Code of Laws, Chapter 6.28 (Hotels and Roominghouses), section 6.28.030 Short term rental property permit · Metro Government of Nashville and Davidson County (Municode)
2. 2. Substitute Ordinance BL2020-187 (short term rental property permits, Title 6) · Metropolitan Council of Nashville and Davidson County
3. 3. BL2024-478, an ordinance to amend Chapter 6.28 of the Metropolitan Code pertaining to Short Term Rental Properties · Metropolitan Council of Nashville and Davidson County (Legistar)
4. 4. BL2025-1007, an ordinance amending accessory buildings, detached accessory dwelling units and the DADU Overlay District · Metropolitan Council of Nashville and Davidson County (Legistar)
5. 5. Public Chapter No. 972 (2018), House Bill 1020, the Short-Term Rental Unit Act (Tenn. Code Ann. 13-7-601 to 13-7-606) · Tennessee General Assembly
6. 6. Legistar record for BL2023-1884 (non-owner-occupied STRP minimum distance) · Metropolitan Clerk, Nashville and Davidson County (Legistar Web API)
7. 7. Legistar record for BL2023-136 (Short Term Rental Appeals Board review of appeals) · Metropolitan Clerk, Nashville and Davidson County (Legistar Web API)
8. 8. Legistar record for RS2026-2222 (minimum-distance exemption for 178 2nd Avenue North, Unit 103) · Metropolitan Clerk, Nashville and Davidson County (Legistar Web API)
9. 9. Substitute Ordinance BL2019-79, advertisement and occupancy of a Short Term Rental Property - Owner-Occupied (adopted version) · Metropolitan Council of Nashville and Davidson County (Legistar attachment)
10. 10. BL2019-79, an ordinance to amend Section 6.28.030 regarding advertisement and occupancy of a Short Term Rental Property - Owner-Occupied (Legistar record: adopted 2020-11-17, approved by the mayor 2020-11-18) · Metropolitan Clerk, Nashville and Davidson County (Legistar Web API)
11. 11. Legistar record for RS2026-2223 (minimum-distance exemption for 178 2nd Avenue North, Unit 305) · Metropolitan Clerk, Nashville and Davidson County (Legistar Web API)
12. 12. Legistar record for RS2026-2293 (minimum-distance exemption for 178 Second Avenue North, Unit 205) · Metropolitan Clerk, Nashville and Davidson County (Legistar Web API)
13. 13. Short Term Rental Property · Metro Nashville Codes and Building Safety
14. 14. Short Term Rental Property Permit Types · Metro Nashville Codes and Building Safety
15. 15. Short Term Rental Property Operation Rules and Requirements · Metro Nashville Codes and Building Safety
16. 16. Apply for Short Term Rental Property Permit · Metro Nashville Codes and Building Safety
17. 17. Not-Owner Occupied Short Term Rental Permit Application Checklist · Metro Nashville Codes and Building Safety
18. 18. Short Term Rental Property Frequently Asked Questions · Metro Nashville Codes and Building Safety
19. 19. Renew Short Term Rental Property Permit · Metro Nashville Codes and Building Safety
20. 20. Legislative History of Short Term Rental Property Permits · Metro Nashville Codes and Building Safety
21. 21. Summary of the Short-Term Rental Unit Act · University of Tennessee Municipal Technical Advisory Service (MTAS)
22. 22. Increase of Hotel Occupancy Tax: Metropolitan Nashville-Davidson County · Metro Nashville Finance Department
23. 23. Pay Short Term Rental Property Occupancy Tax · Metro Nashville Finance Collections
24. 24. Short-Term Rental Tax return (Form 510), taxes payable after July 1, 2023 · Metro Nashville Finance Collections
25. 25. Finance Collections Office Frequently Asked Questions · Metro Nashville Finance Collections
26. 26. 2024 Hotel Occupancy Tax Revenue Report (Tenn. Code Ann. 67-4-1403(c)(1)) · Metro Nashville Finance Department
27. 27. Sales and Use Tax Notice 24-11: Change of Local Tax Rate, Davidson County · Tennessee Department of Revenue
28. 28. Local Sales Tax Rates Map · Tennessee Department of Revenue
29. 29. Taxation of Short-Term Rental Units (June 2025) · Tennessee Department of Revenue
30. 30. Occupancy Tax Notice 25-07: Short-Term Rental Unit, 30 Day Occupancy · Tennessee Department of Revenue
31. 31. Local Occupancy Tax · Tennessee Department of Revenue
32. 32. Short-Term Rental Property Business License · Davidson County Clerk (Nashville.gov)
33. 33. Residential Short Term Rental Permits (open data feature service, layer 0) · Metro Nashville Open Data
34. 34. Sales and Use Tax Notice 25-27: Central Business Improvement District Fee Increase · Tennessee Department of Revenue
35. 35. Local Sales Tax Notice 26-19: Local Sales Tax on Food and Food Ingredients, Davidson County · Tennessee Department of Revenue
36. 36. State and Local Sales and Use Tax Return Instructions (SLS 450), Schedule F: Local Occupancy Tax on Short-term Rentals · Tennessee Department of Revenue
37. 37. Short Term Rental Appeals Board · Metro Nashville Codes and Building Safety
38. 38. Short Term Rental Property Search (permit eligibility viewer) · Metro Nashville Codes and Building Safety
39. 39. Topic no. 415, Renting residential and vacation property · Internal Revenue Service
40. 40. Occupancy tax collection and remittance by Airbnb in Tennessee · Airbnb Help Center
41. 41. Nashville, TN (responsible hosting page) · Airbnb Help Center