› Vacation Home Hub

Home › Markets › Vacation Home & Second Home › Short-Term Rental Zoning: How STR Rules Vary by State and Municipality

Short-Term Rental Zoning: How STR Rules Vary by State and Municipality

Short-term rental zoning is the single most variable and most rapidly changing regulatory landscape in real estate. There is no federal STR framework. Each state sets its own baseline — and most states delegate STR regulation entirely to municipalities. The result: the same rental strategy that is fully legal...

The Regulatory Landscape: No Federal Standard

STR regulation in the United States operates on three levels: (1) State level: some states have passed preemption laws that limit municipalities’ ability to restrict STR. Arizona (2016) and Idaho passed state-level STR preemption laws, preventing municipalities from banning STR outright. Florida passed a preemption law in 2011 but it was modified in 2014, giving municipalities more latitude. Most states have no statewide STR framework and delegate entirely to local governments. (2) City and county level: the primary regulatory level. Municipal STR ordinances typically address: licensing requirements, minimum rental periods (7-day, 30-day, or 90-day minimums), owner-occupancy requirements (owner must live on-site or nearby), caps on the number of STR permits in a given area, and zoning restrictions on which districts allow STR. (3) HOA level: even in a STR-permissive municipality, the HOA CC&Rs may prohibit short-term rentals. HOA rules are private contractual restrictions, not zoning regulations — they apply in addition to (not instead of) municipal STR rules. A property can be in a STR-legal municipality and still be prohibited from STR by HOA rules.

STR-Permissive Markets

Markets with generally permissive STR frameworks: (1) Smoky Mountains / Gatlinburg, TN: one of the most STR-permissive markets in the US. Sevier County and the surrounding municipalities have historically allowed STR with minimal restriction. The market has the highest STR saturation in the eastern US — which affects yields but confirms the regulatory environment. (2) Osceola County, FL (Kissimmee / Davenport): specifically zoned for STR in resort community districts. The STR-permissive zoning is part of the county’s economic model serving the Disney-area tourism market. (3) Scottsdale, AZ / Phoenix metro: Arizona’s state preemption law prevents municipalities from banning STR. Scottsdale and the Phoenix metro are STR-legal, though Scottsdale has imposed licensing and noise complaint rules. (4) Gulf Coast of Florida (30A corridor, Panama City Beach, Destin): STR-permissive in most beach communities. Local ordinances focus on occupancy limits and noise rather than outright prohibition. (5) Las Vegas, NV: Clark County allows STR; the City of Las Vegas has its own licensing requirements.

STR-Restrictive Markets

Markets that have significantly restricted or effectively banned residential STR: (1) New York City: Local Law 18 (effective September 2023) requires STR operators to register with the city and be present during guest stays. The law effectively ended full-home short-term rental in NYC. Non-primary residence STR is prohibited. (2) Miami Beach, FL: single-family home STR is prohibited in most residential zones. Condo STR is allowed in some zones with a license, but the minimum rental period in many zones is 30 days — eliminating the Airbnb-style 1–7 night rental market. (3) Los Angeles, CA: STR is restricted to primary residences only (no second home STR). Maximum 120 rental days per year for hosted rentals; 90 days for unhosted. (4) San Francisco, CA: similar to LA — primary residence only, 90-day maximum unhosted. (5) New Orleans, LA: Tier 1 (owner-occupied) permits allowed citywide; Tier 2 (non-owner-occupied, full home) restricted to commercial zones in most neighborhoods. (6) Nashville, TN: owner-occupied STR permits citywide; non-owner-occupied STR prohibited in most residential zones except for existing permits grandfathered before the 2021 ordinance.

How to Research STR Zoning for a Specific Property

The property-address-level research process before any vacation property offer: (1) Identify the jurisdiction: confirm whether the property is in the unincorporated county or within a municipality’s limits. The applicable STR rules are the municipality’s, not the county’s, for incorporated areas. (2) Search the municipal code: most city and county codes are available on Municode.com or the municipality’s official website. Search for “short-term rental,” “vacation rental,” or “STR.” (3) Check the permit portal: confirm whether existing STR permits are attached to the property (in many markets, STR permits are property-specific and transfer with the sale — or do not, depending on the municipality). (4) Contact the zoning department: for any ambiguity, a direct call to the municipality’s planning or zoning department provides a written confirmation of the property’s STR status. Request the confirmation by email. (5) Review the HOA CC&Rs: even in a STR-legal zone, the HOA rental restriction must be confirmed separately. The CC&Rs are typically available from the county recorder or the HOA management company. (6) Check Airbnb and VRBO listings: if comparable properties in the same neighborhood are actively listed on STR platforms, the area is likely STR-permissive — though this is not a substitute for direct zoning confirmation.

Own Luxury Homes® Related Hubs: 1031 Exchange — Privacy & Asset Protection — International Buyer — Multigenerational Living

Frequently Asked Questions

Is short-term rental legal everywhere in the US?

No. STR legality varies by state, city, county, and HOA. Some cities (NYC, LA, Miami Beach) have effectively banned non-owner-occupied STR. Others (Smoky Mountains, Phoenix metro, Osceola County FL) are highly permissive. Research must be done at the property-address level, not at the state or market level.

What is a short-term rental preemption law?

A state law that prevents municipalities from banning STR outright. Arizona (2016) passed the strongest STR preemption law, making STR legal statewide. Florida passed a preemption law in 2011 but modified it in 2014, giving municipalities more latitude to regulate (but not ban) STR. Most states have no preemption law.

Can HOA rules prevent short-term rentals even in a STR-legal zone?

Yes. HOA CC&Rs are private contractual restrictions that apply in addition to zoning rules. A property in a STR-permissive municipality can still be prohibited from short-term rental by HOA rules requiring minimum rental periods of 30, 60, or 90 days. Always review the HOA CC&Rs before assuming STR is permitted.

How do I find out if a specific property can be used as an STR?

Research at the property-address level: (1) identify whether the property is in the county or a municipality; (2) search the applicable municipal code for STR rules; (3) contact the zoning department for written confirmation; (4) review the HOA CC&Rs for rental restrictions. The specialist confirms this before any offer is made.