Nashville Metro Code Section 17.16.250 requires that either the principal dwelling or the DADU be occupied by the property owner as their primary residence. Both units cannot be rented to non-owners simultaneously. Owner-occupancy must be documented and is verified during STR registration and code complaint investigations. Tennessee state law has not preempted this requirement.
Metro Code Section 17.16.250(D) requires that the property owner reside in either the principal dwelling unit or the Detached Accessory Dwelling Unit as their primary residence. The DADU cannot be used as an investor rental with both units occupied by non-owner tenants. Owner-occupancy is enforced through property owner affidavits at the time of permit application and is verified during Short-Term Rental Permit (STRP) reviews. The owner must list the address as their primary residence on documents such as voter registration, vehicle registration, driver's license, and tax returns. Property owners changing residency must transfer to allowable occupancy patterns. Tennessee has not enacted statewide ADU-by-right legislation comparable to California, Oregon, or Massachusetts, so Nashville's owner-occupancy requirement remains enforceable. Family members may occupy the units, but the owner of record must reside on the property.
Renting both the main house and DADU to non-owners violates Metro Code 17.16.250 and can result in fines, loss of certificate of occupancy, and required cessation of rental activity. STR permits are revoked when owner-occupancy lapses. Code violations carry daily fines of up to $50 per day per violation under Metro Code.
Nashville, TN
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See how Nashville's adu owner occupancy rules stack up against other locations.
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