Nashville vs Santa Fe

Tennessee Legal but Limited | New Mexico Legal but Limited

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

Nashville, Tennessee
Status Legal but Limited
Permit Fee $313 permit fee
Tax Rate 6% Short-Term Rental Property Tax + state/local sales tax
Day Limit No limit
Renewal Annual
Platform Tax Yes
Max Fine $50/day for operating without permit; civil penalties up to $500,000 for repeated violations
Santa Fe, New Mexico
Status Legal but Limited
Permit Fee $100 one-time application + $325/year permit and business license
Tax Rate ~8.44% gross receipts tax + 7.1% lodgers' tax
Day Limit No limit
Renewal Annual
Platform Tax Yes
Max Fine Up to $500/day for operating without permit

Both cities have comparable STR regulatory environments.

Permits & Licensing

Nashville charges $313 permit fee for STR licensing, while Santa Fe charges $100 one-time application + $325/year permit and business license. Nashville renewal is annual, and Santa Fe renewal is annual. Both cities share a similar regulatory stance, classified as "Legal but Limited."

Tax Obligations

In Nashville, hosts pay 6% Short-Term Rental Property Tax + state/local sales tax. In Santa Fe, hosts pay ~8.44% gross receipts tax + 7.1% lodgers' tax. Both cities benefit from automatic platform tax collection through Airbnb and similar services, simplifying compliance for hosts.

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 Nashville face penalties including $50/day for operating without permit; civil penalties up to $500,000 for repeated violations. In Santa Fe, violations can result in Up to $500/day for operating without permit. Both cities actively enforce their STR regulations, so securing proper licensing before listing is essential in either market.

Nashville Overview

Owner-occupied permits allowed in all zones. Non-owner-occupied permits frozen — no new applications accepted in most residential zones since 2015. Existing non-owner permits are non-transferable.

Contact: Nashville Codes Department — (615) 862-6590

Full Nashville guide →

Santa Fe Overview

Residential zone STRs capped at 1,000 citywide permits; one per person; must be 50+ feet from another STR. Rentals limited to once per 7-day period (except Nov 15–Jan 15). Local operator must respond within 1 hour.

Contact: Santa Fe Land Use Dept. — (505) 955-6639

Full Santa Fe guide →

Frequently Asked Questions

Is it easier to Airbnb in Nashville or Santa Fe?
Nashville is classified as "Legal but Limited" while Santa Fe is "Legal but Limited." Nashville's permit fee is $313 permit fee compared to $100 one-time application + $325/year permit and business license in Santa Fe. Both cities have comparable regulatory frameworks.
Which city has higher STR taxes — Nashville or Santa Fe?
Nashville charges 6% Short-Term Rental Property Tax + state/local sales tax, while Santa Fe charges ~8.44% gross receipts tax + 7.1% lodgers' tax.
Which city has stricter fines for illegal short-term rentals?
Nashville: $50/day for operating without permit; civil penalties up to $500,000 for repeated violations. Santa Fe: Up to $500/day for operating without permit. Both cities actively enforce STR regulations, so proper licensing is essential.
Do Nashville and Santa Fe have day limits for Airbnb?
Nashville has no annual day limit. Santa Fe has no annual day limit.
Which city is better for first-time Airbnb hosts — Nashville or Santa Fe?
For new hosts, consider the total cost of entry: Nashville charges $313 permit fee for permits with 6% Short-Term Rental Property Tax + state/local sales tax in taxes. Santa Fe charges $100 one-time application + $325/year permit and business license with ~8.44% gross receipts tax + 7.1% lodgers' tax. Automatic tax collection in Nashville and Santa Fe makes compliance easier for beginners.