Loading...
Loading...
Category: Legal & Regulations
By: Tony Russo
Reply by Omar Hassan:
**Nashville, TN:** - Permit required: YES. "Type 1" for owner-occupied, "Type 3" for non-owner-occupied. Type 3 permits were CAPPED in 2015 — no new ones are issued in most residential zones. If you're buying, make sure the property already has a permit or is in a zone that allows new ones. - Occupancy tax: 5.5% collected by Airbnb/VRBO automatically - Day cap: None (if you have a valid permit) - Zoning: STRs restricted in certain residential zones. Check the zoning map on Nashville.gov. - Recent changes: 2023 crackdown on unlicensed STRs. Fines up to $50/day for operating without a permit. They actively enforce this. **Cost:** Type 1 permit is ~$313 to apply + annual renewal. Type 3 (if available) is ~$313 + additional inspection fees. For liability coverage in Nashville, I use Safely (https://safely.com) — they specifically cover STR hosts and integrate with Airbnb bookings. Standard homeowner's insurance does NOT cover short-term rental activity.
Reply by Rachel Patel:
**Austin, TX:** - License required: YES. "Short-Term Rental License" from the City of Austin. Categories: Type 1 (owner-occupied), Type 2 (not owner-occupied), Type 3 (multi-family). - Occupancy tax: 9% Hotel Occupancy Tax (collected by platforms in most cases) + 6% state tax - Day cap: Type 2 licenses are capped by zone. No new Type 2 licenses in most residential areas (grandfathered existing ones). Type 1 (owner-occupied) has no cap. - Zoning: Strict. STRs not allowed in some neighborhoods. Check Austin's STR License Map online. - Recent: Austin has been tightening rules steadily. Assembly Bill in 2022 further restricted non-owner-occupied STRs. **Pro tip:** Before buying investment property in Austin for STR, verify the address on the city's STR portal. Many buyers have purchased properties thinking they could STR them, only to discover the zone doesn't allow it.
Reply by Michael Thompson:
**Denver, CO:** - License required: YES. Denver requires a Short-Term Rental license AND you must be a primary resident of the property. This is a BIG deal — it essentially bans investor-owned STRs. - Occupancy tax: Lodger's tax (10.75%) collected by Airbnb automatically - Day cap: No day cap BUT you must live in the home (primary residence rule) - Zoning: STRs allowed in all residential zones as long as it's your primary residence - Recent: Denver's enforcement has gotten serious. They cross-reference STR licenses with property records and voter registration. If you're not actually living there, they'll catch you. **Implication for investors:** Denver is essentially off-limits for pure STR investment properties. Mid-term rentals (30+ days) don't fall under STR regulations, so some investors pivot to furnished monthly rentals. Worth reading this guide for Denver-specific hosting advice: https://strspecialist.com/minimalist-airbnb-in-denver
Reply by James Wu:
**Miami/Miami Beach, FL:** - License required: YES. Florida state business tax receipt + local Miami-Dade STR registration. - Miami Beach specifically: VERY restrictive. STRs under 6 months are BANNED in most of Miami Beach's residential zones. Violations can result in fines of $20,000-$100,000. They are not messing around. - Greater Miami: More lenient. Unincorporated Miami-Dade allows STRs with registration. City of Miami allows them in certain zones. - Occupancy tax: 6% state sales tax + 6% Miami-Dade Tourist Development Tax = 12% collected by platforms - Recent: 2024 Florida state legislation preempted some local bans, creating more uniformity. But Miami Beach's restrictions remain largely intact. **Warning:** If your property is in a HOA or condo association in Miami, check the CC&Rs. Most Miami condo buildings have their OWN STR bans regardless of what the city allows.