Nashville short-term rental license permit guide 2026

Nashville is one of the top short-term rental markets in the US, generating average revenues of $81,400/year. Before your first guest checks in, you need Metro Nashville’s two-tier permit system in place. This 2026 guide covers permit types, fees, the full application process, and what’s changed for investors recently.

πŸ“‹ Nashville STR Permit β€” 2026 At a Glance

Permit NameShort-Term Rental Property Permit (Type 1 or Type 2)
Application Fee$313
Annual Renewal$313/year
Processing Time2–4 weeks
Primary Residence Only?No
Licensing DifficultyModerate

Do You Need a License to Short-Term Rent in Nashville?

Yes β€” Metro Nashville requires a Short-Term Rental Property (STRP) permit for any rental under 30 days. Type 1 permits are for owner-occupied or same-lot properties; Type 2 (non-owner-occupied) are now restricted to commercially-zoned areas only as of 2023. Both require a separate Metro Nashville Business License from the County Clerk.

How to Get a Nashville Short-Term Rental Permit: Step by Step

  1. Confirm zoning β€” new Type 2 permits are restricted to commercial zones
  2. Apply for a Metro Nashville STRP Permit through the Codes Administration online portal
  3. Obtain a Metro Nashville Business License for STRs from the County Clerk’s office
  4. Register for Hotel Occupancy Tax (HOT)
  5. Pay the $313 permit fee upon approval
  6. Renew annually: $313 fee + proof of insurance + HOT payment record

Nashville Short-Term Rental Fees (2026)

FeeAmountNotes
STRP Permit (Type 1 or 2)$313Annual; due at approval
Business License~$15–$22Separate County Clerk application
HOT RegistrationNo feeRequired to remit tax

Nashville’s $313/year permit is affordable, but the Business License is a separate application with its own fee. Total annual compliance typically runs $325–$350.

Key Rules & Restrictions for Nashville Hosts

  • New Type 2 permits only issued in commercially-zoned areas
  • Type 2 permits are capped per census block β€” verify availability before purchasing
  • Annual renewal requires proof of active insurance and HOT payment record
  • Permit number must be on all listings
  • Comply with Nashville’s noise ordinance and occupancy limits
Short-term rental property interior

Taxes Short-Term Rental Hosts Owe in Nashville

Tennessee state sales tax (7%) plus Metro Nashville Hotel Occupancy Tax (6%) = approximately 13% on gross revenue.

Penalties for Operating Without a Permit in Nashville

Civil penalties and permit denial for future applications. Nashville Codes actively monitors STR listings and issues notices of violation.

How HostStarter Handles Nashville STR Compliance

Keeping pace with Nashville’s permit requirements β€” renewals, inspections, tax remittance, and ordinance updates β€” is a significant ongoing commitment. HostStarter’s full-service property management includes complete compliance handling: we track deadlines, coordinate inspections, ensure your listing always displays a valid permit number, and alert you to regulatory changes before they impact your revenue.

Get a free Nashville revenue estimate from HostStarter β†’

Frequently Asked Questions

Do I need a permit to run an Airbnb in Nashville?

Yes. Metro Nashville requires an STRP Permit plus a separate Business License. Type 2 (investment) permits are now limited to commercially-zoned areas.

How much does a short-term rental permit cost in Nashville?

STRP Permit: $313/year. Business License: $15–$22. Total: ~$330–$335 annually.

How long does it take to get an STR license in Nashville?

Most Nashville STRP applications process in 2–4 weeks. Having proof of insurance ready speeds up approval significantly.

What taxes do Airbnb hosts owe in Nashville?

Approximately 13%: 7% TN state sales tax + 6% Metro HOT.

What are the penalties for operating an unlicensed Airbnb in Nashville?

Civil penalties, forced listing removal, and denial of future permit applications for unlicensed operation.