Nashville's Short-Term Rentals: The Rules That Matter

Every city handles short-term rentals a little differently. In Nashville, Tennessee, there are 8 distinct rules that residents and property owners should be aware of. Some are stricter than what neighboring cities enforce, and others are more relaxed. Here is what you need to know.

Insurance Requirements

Nashville requires STRP permit applicants to submit proof of homeowner's fire, hazard, and liability insurance, with liability coverage of at least $1 million per occurrence.

Key details: Minimum liability coverage: $1 million per occurrence. Insurance types required: Homeowner's fire, hazard, and liability. Applies to: Owner-occupied and non-owner-occupied STRPs. Enforcing agency: Dept. of Codes Administration. No-permit penalty: $50 per day fine.

Operating an STRP without a valid permit, which requires this proof of insurance, draws a $50 fine per day of operation plus a one-year waiting period before the property is eligible for a new permit.

Repeat Violator Strikes

Metro Nashville can revoke a short-term rental permit once the zoning administrator finds three violations of the Metro Code tied to that unit's operation.

Key details: Trigger: 3 documented Metro Code violations. Notice required: 15 days written notice. Reapplication bar: 1 year after revocation. Appeal path: Short Term Rental Appeals Board. Enforcing agency: Dept. of Codes Administration.

Zoning administrator finds 3 violations tied to the STRP after 15 days' written notice; permit revoked once appeals are exhausted, with a 1-year reapplication bar for that property.

This is not one of those rules that cities tend to ignore. Nashville actively enforces its repeat violator strikes requirements.

Occupancy Limits

Metro Nashville caps short-term rental occupancy at twice the number of sleeping rooms plus four, posted inside the unit, with separate-party subletting banned and violations grounds for permit revocation.

Key details: Occupancy formula: 2x sleeping rooms + 4 guests. Simultaneous rentals: Only one party at a time. Posting requirement: Cap posted inside the STRP unit. Enforcement: Department of Codes Administration. Over-cap penalty: Grounds for permit revocation.

Advertising or renting to more occupants than the posted cap is grounds for STRP permit revocation; operating without a valid permit draws a fifty-dollar daily fine.

Primary-Residence-Only Rule

Metro Nashville's owner-occupied short-term rental permit requires the owner to occupy the property as their primary residence, verified by four documents, or the application can be denied.

Key details: Governing section: Metro Code § 6.28.030.A.2.c. Proof required: 2 documents from each of 2 groups. Permit issuer: Dept. of Codes Administration. Penalty for no permit: $50/day fine, court-imposed. Permit term: 365 days, renewable.

Denial or revocation grounds include written statements or documentation showing the property isn't the owner's primary residence, or neighbor affidavits disputing residency; operating without a permit draws a $50-per-day fine.

This is one of the stricter rules in Nashville's municipal code. If you are unsure whether your situation complies, it is worth checking with the city before proceeding.

Taxes & Fees

Nashville requires every short-term rental permit holder to collect and remit all room, occupancy, and sales taxes owed under state law or the Metropolitan Code, plus pay a renewal fee set by the zoning administrator.

Key details: Governing section: Metro Code § 6.28.030.A.5.j / B.5.j. Tax duty: Collect and remit room, occupancy, sales taxes. Renewal proof: Affidavit of paid property and occupancy taxes. No-permit penalty: $50 fine per day of operation. Renewal fee: Set administratively by the zoning administrator.

Operating an STRP without a permit costs $50 per day, with each day a separate offense; failing to prove taxes are paid can block permit renewal outright.

Noise Rules

Nashville doesn't write STR-specific decibel limits: permitted short-term rentals must follow the same citywide noise and public-peace ordinances as any resident, per Metro Code § 6.28.030(A)(5)(a), with permit revocation as the enforcement tool for repeat violations.

Key details: Governing section: § 6.28.030(A)(5)(a). STR-specific noise standard: None: general code applies. Enforcement trigger: 3 documented violations = permit revocation risk. Applies to: Owner- and non-owner-occupied STRPs.

STR occupants who violate noise ordinances face standard citywide enforcement; three documented complaints to Metro Codes, police, or public works tied to the rental can trigger permit revocation under § 6.28.030(A)(5)(l)(ii), after fifteen days' written notice.

Short-Term Rental Permits

Metro Nashville requires an STRP permit from the Department of Codes Administration before operating or advertising a short-term rental; applications stay valid for 90 days and must be completed before they lapse.

Key details: Permitting agency: Dept. of Codes Administration. Application window: Valid 90 days from filing. Liability insurance required: $1,000,000 minimum per occurrence. Permit term: 365 days, renewable annually. Unpermitted operation penalty: $50/day fine, 1-year wait.

Operating an STRP without a permit is unlawful: a $50 court fine for each day of operation, plus a one-year wait (three years after a court finding) before the property can requalify for a permit.

Compared to other cities, Nashville takes a harder line on short-term rental permits. The enforcement and penalty structure reflects that.

Short-Term Rental Parking Rules

Short-term rental properties in Metro Nashville must provide parking as required by the zoning code's off-street parking standards, and no RVs, buses, or trailers may be visible on the street or property in connection with the rental.

Key details: Parking standard: Metro Code § 17.20.030 required. STR-specific ban: No visible RVs, buses, trailers. Governing section: § 6.28.030.A.5.c and .B.5.c. Enforcement: Dept. of Codes Administration.

Operating an STRP with a visible RV, bus, or trailer, or without the required off-street parking, is a Metropolitan Code violation; three documented violations can trigger permit revocation by the zoning administrator.

The Bottom Line

Nashville is tougher than many cities when it comes to short-term rentals. Out of the 8 rules covered here, 3 are rated strict. If you are a homeowner, renter, or business owner in Nashville, take the time to understand these requirements before they become a problem. Most violations come with fines, and some repeat violations can escalate.

This guide is based on Nashville's current municipal code. Local rules can and do change, so check the individual ordinance pages for the latest details, penalties, and FAQs.