Regulation record · Memphis, TN

Is Airbnb arbitrage legal in Memphis?

STR with Permit

Yes, with a city permit for each property, held by the owner, not the tenant.

Every STR needs a city permit, one per property, and the property owner, not the tenant, must get it. The permit includes screening and an on-site inspection. Stays of more than 30 continuous days fall outside it.

Last reviewed by the ArbiBase Regulations desk. General information, not legal advice. Rules change; confirm with the city or a local attorney before signing a lease.

The rules

What applies in Memphis.

Short stays under 30 nights are where permits and taxes kick in. Mid-term stays of 30+ nights are usually a standard lease.

Statewide context: Is rental arbitrage legal in Tennessee?

For owners in Memphis: renting your property to an operator

STR statusSTR with Permit
MTR (30+ nights)Stays of more than 30 continuous days are not short-term rentals under the city ordinance, so they need no STR permit; a 30-night stay still counts as one. Confirm with your lease and any HOA.
TaxesCity STR occupancy tax plus a per-room-night assessment (Ord. 5856). Under Tennessee rules, stays of 30 to 89 nights avoid occupancy tax but still owe sales tax.
Market focusSTR + MTR
Verified regulations · Memphis, TN

The verified rules in Memphis.

STR with Permit

Verified by the ArbiBase Regulations team on . Next review .

The property owner, not the tenant, must get a separate STR permit for each property, which includes screening and an on-site inspection. Ord. 5980, on third reading Oct 6, 2026 and reported adopted, lets the city revoke a permit or bar STR use at a parcel after repeated incidents leading to criminal charges, and the Council is pushing for stricter enforcement.

21 STR-friendly ZIPs mapped — see them in ArbiBase →

STR ratingSTR with Permit
Permit or licenseRequired. The city permit or license must be in place before the first short stay.
Primary residenceNot required.
MTR (30+ nights)31
Owner consentY
Operator permitN
Before you sign

Four checks for every Memphis lease.

  • Confirm the exact address qualifies: zoning district, permit availability or registration.
  • Get written landlord consent that names short-term or mid-term use.
  • Read the HOA or condo bylaws. They can ban what the city allows.
  • Register for occupancy taxes before your first booking.
Already checked

Every Memphis listing on ArbiBase cleared this already.

Each one has documented landlord consent and a local rules check before it goes live, so you start at the numbers, not the city code.

Found an address yourself? See if its estimated revenue clears 1.5x the rent before you dig into the rules.

Memphis FAQ

Common questions.

Is Airbnb arbitrage legal in Memphis?

Yes, with a city permit for each property, held by the owner, not the tenant. Every STR needs a city permit, one per property, and the property owner, not the tenant, must get it. The permit includes screening and an on-site inspection. Stays of more than 30 continuous days fall outside it. You also need written landlord consent for short-term use.

Can I do mid-term rental arbitrage in Memphis?

Generally yes. Stays of more than 30 continuous days are not short-term rentals under the city ordinance, so they need no STR permit; a 30-night stay still counts as one. Confirm with your lease and any HOA.

Do I need landlord permission for rental arbitrage in Memphis?

Yes. Subletting without written consent breaks most leases. Every ArbiBase listing in Memphis has documented landlord consent before it goes live.

Last reviewed October 2026. General information, not legal advice. Rules change; confirm with the city or a local attorney before signing.

Sources

Where these rules come from.

Sources checked . Codes and fees change; confirm the exact address with the city before signing.

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