Charleston vs Gatlinburg

South Carolina Restricted | Tennessee Legal with Permit

Disclaimer: General information only — not legal advice. Verify with your local government.

Charleston, South Carolina
Status Restricted
Permit Fee $250 (24–72 nights/yr) or $1,500 (72+ nights/yr) + $200 zoning review fee
Tax Rate ~14% combined (5% state sales + 2% state accommodations + 2% county + 2% city + local option taxes)
Day Limit No limit
Renewal Annual
Platform Tax No
Max Fine Up to $1,087/day or 30 days jail; criminal prosecution possible
Gatlinburg, Tennessee
Status Legal with Permit
Permit Fee $200 (2-bedroom or fewer); $75 per additional bedroom
Tax Rate 12.75% combined (7% state sales + 2.75% local sales + 3% hotel/motel tax) + 3% Sevier County lodging tax
Day Limit No limit
Renewal Annual
Platform Tax Yes
Max Fine $50/day per violation; permit suspension/revocation possible

Gatlinburg has more favorable STR regulations overall.

Permits & Licensing

Charleston charges $250 (24–72 nights/yr) or $1,500 (72+ nights/yr) + $200 zoning review fee for STR licensing, while Gatlinburg charges $200 (2-bedroom or fewer); $75 per additional bedroom. Charleston renewal is annual, and Gatlinburg renewal is annual. Overall, Gatlinburg has a more permissive regulatory environment (Legal with Permit) compared to Charleston (Restricted).

Tax Obligations

In Charleston, hosts pay ~14% combined (5% state sales + 2% state accommodations + 2% county + 2% city + local option taxes). In Gatlinburg, hosts pay 12.75% combined (7% state sales + 2.75% local sales + 3% hotel/motel tax) + 3% Sevier County lodging tax. A key difference: platforms like Airbnb automatically collect taxes in Gatlinburg, but hosts in Charleston must collect and remit taxes themselves — a significant operational burden.

Day Limits & Restrictions

Neither city imposes an annual day limit on short-term rentals, giving hosts year-round flexibility.

Fines & Enforcement

Hosts operating without a permit in Charleston face penalties including Up to $1,087/day or 30 days jail; criminal prosecution possible. In Gatlinburg, violations can result in $50/day per violation; permit suspension/revocation possible. Both cities actively enforce their STR regulations, so securing proper licensing before listing is essential in either market.

Charleston Overview

Whole-house STRs are effectively banned; at least one full-time resident must sleep on-site each night. Max 4 adult guests. Charleston is one of the few U.S. cities that criminally prosecutes illegal STR operators. $1M liability insurance required.

Contact: Charleston Dept. of Planning, Preservation & Sustainability — (843) 724-7311

Full Charleston guide →

Gatlinburg Overview

Tourist Residency Permit required with annual inspection. STRs prohibited in R-1A and R-2A zones. Properties over 3 stories or 12+ occupants require sprinkler systems.

Contact: Building & Planning Department — (865) 436-7792

Full Gatlinburg guide →

Frequently Asked Questions

Is it easier to Airbnb in Charleston or Gatlinburg?
Charleston is classified as "Restricted" while Gatlinburg is "Legal with Permit." Charleston's permit fee is $250 (24–72 nights/yr) or $1,500 (72+ nights/yr) + $200 zoning review fee compared to $200 (2-bedroom or fewer); $75 per additional bedroom in Gatlinburg. Overall, Gatlinburg has a more host-friendly regulatory environment.
Which city has higher STR taxes — Charleston or Gatlinburg?
Charleston charges ~14% combined (5% state sales + 2% state accommodations + 2% county + 2% city + local option taxes), while Gatlinburg charges 12.75% combined (7% state sales + 2.75% local sales + 3% hotel/motel tax) + 3% Sevier County lodging tax. Notably, Gatlinburg benefits from automatic platform tax collection, while hosts in Charleston must handle taxes themselves.
Which city has stricter fines for illegal short-term rentals?
Charleston: Up to $1,087/day or 30 days jail; criminal prosecution possible. Gatlinburg: $50/day per violation; permit suspension/revocation possible. Both cities actively enforce STR regulations, so proper licensing is essential.
Do Charleston and Gatlinburg have day limits for Airbnb?
Charleston has no annual day limit. Gatlinburg has no annual day limit.
Which city is better for first-time Airbnb hosts — Charleston or Gatlinburg?
For new hosts, consider the total cost of entry: Charleston charges $250 (24–72 nights/yr) or $1,500 (72+ nights/yr) + $200 zoning review fee for permits with ~14% combined (5% state sales + 2% state accommodations + 2% county + 2% city + local option taxes) in taxes. Gatlinburg charges $200 (2-bedroom or fewer); $75 per additional bedroom with 12.75% combined (7% state sales + 2.75% local sales + 3% hotel/motel tax) + 3% Sevier County lodging tax. Automatic tax collection in Gatlinburg makes compliance easier for beginners.