Nashville vs Scottsdale

Tennessee Legal but Limited | Arizona Legal with Permit

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
Scottsdale, Arizona
Status Legal with Permit
Permit Fee $250/year
Tax Rate ~14.27% combined transient occupancy tax (state + county + city)
Day Limit No limit
Renewal Annual
Platform Tax Yes
Max Fine $500 first violation; $1,000 second; $3,500 third; license suspension after 3 in 12 months

Scottsdale has more favorable STR regulations overall.

Permits & Licensing

Nashville charges $313 permit fee for STR licensing, while Scottsdale charges $250/year. Nashville renewal is annual, and Scottsdale renewal is annual. Overall, Scottsdale has a more permissive regulatory environment (Legal with Permit) compared to Nashville (Legal but Limited).

Tax Obligations

In Nashville, hosts pay 6% Short-Term Rental Property Tax + state/local sales tax. In Scottsdale, hosts pay ~14.27% combined transient occupancy tax (state + county + city). 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 Scottsdale, violations can result in $500 first violation; $1,000 second; $3,500 third; license suspension after 3 in 12 months. 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 →

Scottsdale Overview

Ordinance 4566 caps occupancy at 6 adults plus dependent children, requires 1 off-street parking space per bedroom, $500K liability insurance, and neighbor notification within 30 days. Special events and commercial uses prohibited.

Contact: Scottsdale Code Enforcement — (480) 312-2546

Full Scottsdale guide →

Frequently Asked Questions

Is it easier to Airbnb in Nashville or Scottsdale?
Nashville is classified as "Legal but Limited" while Scottsdale is "Legal with Permit." Nashville's permit fee is $313 permit fee compared to $250/year in Scottsdale. Overall, Scottsdale has a more host-friendly regulatory environment.
Which city has higher STR taxes — Nashville or Scottsdale?
Nashville charges 6% Short-Term Rental Property Tax + state/local sales tax, while Scottsdale charges ~14.27% combined transient occupancy tax (state + county + city).
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. Scottsdale: $500 first violation; $1,000 second; $3,500 third; license suspension after 3 in 12 months. Both cities actively enforce STR regulations, so proper licensing is essential.
Do Nashville and Scottsdale have day limits for Airbnb?
Nashville has no annual day limit. Scottsdale has no annual day limit.
Which city is better for first-time Airbnb hosts — Nashville or Scottsdale?
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. Scottsdale charges $250/year with ~14.27% combined transient occupancy tax (state + county + city). Automatic tax collection in Nashville and Scottsdale makes compliance easier for beginners.