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Fayetteville, AR Short-Term Rentals: Short-Term Rental Permits (2026)

Heavy Restrictions
Compiled from the official code textEditor Martyn O'NeillLast verified July 2026

Short-term rental permit rules in Fayetteville, AR, also called Airbnb permits, vacation rental licenses, or STR registration, list the application steps, fees, and operating requirements for hosting.

Key Facts

Business License
Required per unit
Type 1
Owner-occupied 9+ months, uncapped
Type 2
Investor; CUP in residential
Type 2 Cap
475 units citywide (reached)
Inspection
Life-safety and egress required

Summary

Every Fayetteville STR needs its own business license, a life-safety and egress inspection, and proof of HMR tax registration. Rentals split into owner-occupied Type 1 (uncapped) and investor Type 2, which needs a conditional use permit in residential zones under a 475-unit citywide cap.

No dwelling unit in the city shall be used as a short-term rental unless... the owner of the dwelling unit or operator of the short-term rental possesses a valid and current business license for the dwelling unit... [and] provides proof of a valid and current homeowners insurance rider policy which fully covers each unit when operated as short-term rental unit.

Source: Fayetteville Unified Development CodeView official code

Full Breakdown

Fayetteville's STR ordinance (Sec. 118.01(E), with zoning standards in Sec. 163.18 and Sec. 164.26) requires a separate business license for each short-term rental before it can be advertised or operated, and the license number must appear in every listing. Type 1 rentals, where the owner or long-term tenant lives on-site at least nine months a year, are uncapped. Type 2 (non-owner-occupied) rentals need a Planning Commission conditional use permit in residential districts and count toward a citywide cap of 475 units, which the city has reached. Applications require a Building Safety life-safety and egress inspection and proof of HMR tax remittance.

Violations & Fines

Operating or advertising without a business license violates Chapter 118; listings must display the license number. Unlicensed STRs face citation and denial or revocation of authorization to operate.

Frequently Asked Questions

Do I need a permit to run an Airbnb in Fayetteville?
Yes. Every STR needs its own city business license, a life-safety inspection, and HMR tax registration before listing, and the license number must appear in the ad.
What is the difference between Type 1 and Type 2?
Type 1 is owner-occupied at least nine months a year and uncapped. Type 2 is non-owner-occupied, needs a conditional use permit in residential zones, and is capped at 475 citywide.
Can I still get a Type 2 license?
The city has reached its 475-unit Type 2 cap, so new Type 2 licenses in capped areas are unavailable until existing units drop off.

Sources & Official References

Other rules in Fayetteville

All Fayetteville rules

How Fayetteville compares: Most Airbnb-Friendly Cities in America·Compare Fayetteville to another location·View the Arkansas short-term rentals overview

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