Metro Nashville sent warning notices to 14 properties last week for operating short-term rentals without a valid permit, compared with 21 notices issued during the entire previous month. Most of the newly cited properties sit close to downtown, clustered in Metro Council Districts 5 and 21. Owners now have until mid-November to take action or face further enforcement measures.
The notices are the latest sign that the city is leaning harder into enforcement of its short-term rental rules, according to WKRN News 2. Nashville requires a permit to rent, advertise or operate a short-term rental property at all, a rule that applies before a listing ever goes live, according to the Metro Codes Department, which oversees the permitting process for Davidson County. That means simply posting a Nashville address on a booking site without the paperwork already puts an owner on the wrong side of the law.
A Widening Gap Between Listings and Permits
The numbers underscore just how much unlicensed activity may still be happening. According to AirDNA, more than 11,000 short-term rentals are currently advertised in Music City, while recent city data reveals fewer than 7,050 active short-term rental permits in Nashville, the station's report notes. That gap has persisted for more than a year: unpermitted properties were nearly double the number of licensed ones back in July 2025, per the same account.
Even so, WKRN reports that the number of unlicensed listings appears to be shrinking. The pace of warnings could soon surpass last month's 21 notices if the city continues issuing them at last week's rate of 14.
What the Broader Market Looks Like
Separate marketplace data paints a picture of a shrinking but increasingly lucrative short-term rental scene in Nashville. AirDNA's Nashville overview, last updated October 13 and reflecting completed data through September, counted 11,105 active listings citywide, with average occupancy at 58% and an average daily rate of $298, according to AirDNA. Active listings were down 23.2% from September 2025 to September 2026, even as average revenue per rental climbed 33.8% over the same period to reach $57,900 annually, the platform reported.
Owners seeking to get right with the city can use an online application process. A new online Short Term Rental permit application process became effective in March, according to Metro Nashville's codes department, giving property owners a digital route to apply before advertising a unit.
Enforcement Resources Under Consideration
City leaders have also weighed bringing in outside help to manage compliance. Metro Council previously considered a resolution approving a contract between the city and Host Compliance to provide compliance and enforcement services tied to Nashville's short-term rental regulations, according to the Nashville Post. That contract was valued at just more than $1 million over five years, the outlet reported.
For now, the city is sending warning notices to property owners. Owners who received notices last week have until mid-November to take action or face further enforcement measures. With thousands of listings still apparently operating without permits, that deadline is likely to be only the latest checkpoint in a much longer effort to bring Nashville's short-term rental market in line with city code.
