Franklin, Tennessee Short-Term Rental Market
Franklin limits new rentals to owner-occupants, while the Nashville area posted $320 ADR, 59.0% occupancy, $5,240 revenue in September 2026.
Quick Answer: Franklin, Tennessee is an active short-term rental market. average occupancy in the Nashville market area is 59%. average monthly revenue in the Nashville market area is $5,240. average daily rate in the Nashville market area is $320. the top operator in the Nashville market area is AvantStay with 530 listings. market score is 81/100 (grade B).
Market data reflects the Nashville regional market, which includes Franklin. Regulations, taxes, and permit details below are specific to Franklin.
Market Score Breakdown
Five dimensions StaySTRA evaluates per market.
Market Overview
Franklin is a Williamson County city of 89,142 residents about 17 miles south of Nashville. Short-term rental performance here is tracked at the Nashville area level, so every performance figure on this page describes the Nashville area STR market, which includes Franklin, rather than Franklin alone. The most important fact for investors comes first: Franklin requires new short-term rentals in residential zones to be owner-occupied, and non-owner-occupied investment rentals are effectively prohibited outside grandfathered permits and qualifying commercial or mixed-use zoning.
As of September 2026, the Nashville area STR market averaged an ADR of $320 with occupancy of 59.0% and average monthly revenue of $5,240 per listing. Compared with September 2025, occupancy is up 5.7%, ADR is down 0.6%, and revenue is up 12.8%, so the revenue gain came from more booked nights rather than higher rates. Through the first nine months of 2026, the area has averaged 58.5% occupancy, a $295 ADR, and $4,895 in monthly revenue. That compares with 56.3% occupancy, a $286 ADR, and $4,598 in monthly revenue for full-year 2025, and a $302 ADR with $4,821 in monthly revenue in 2024.
Demand drivers in Franklin are well documented. The area drew roughly 8.79 million visitors in 2024, attracted by Battle of Franklin sites, the historic downtown Main Street, concerts at FirstBank Amphitheater, and the Natchez Trace Parkway. Visitors also spill over from Nashville for day trips and overnight stays.
Bedroom, channel, and listing-type counts and the top operators are tracked at a shared regional level rather than uniquely for Franklin, so this profile omits them. The typical Franklin home value is $913,277, a high entry cost that matters because the permit rules favor owner-occupants over traditional investors.
Seasonal Patterns
| Month | Occupancy |
|---|---|
| Jan | 42% |
| Feb | 54% |
| Mar | 62% |
| Apr | 58% |
| May | 61% |
| Jun | 63% |
| Jul | 60% |
| Aug | 57% |
| Sep | 59% |
| Oct | 63% |
| Nov | 54% |
| Dec | 50% |
Month-by-month nightly rates and revenue figures for Franklin are available to StaySTRA Pro members. Unlock with StaySTRA Pro or analyze a specific address free.
Top Short-Term Rental Operators in Nashville market area
Ranked by total active listings. Useful for understanding the competitive landscape. Operator data is published for the Nashville market as a whole, which includes Franklin, so these counts are not Franklin-only figures.
| # | Operator | Listings | Reviews | Rating |
|---|---|---|---|---|
| 1 | AvantStay | 530 | 7,038 | ★ 4.70 |
| 2 | GoodNight Stay | 299 | 6,479 | ★ 4.46 |
| 3 | Coboda Rentals | 248 | 5,165 | ★ 4.48 |
| 4 | Host Extraordinaires | 236 | 23,407 | ★ 4.78 |
| 5 | StayLocal | 178 | 11,262 | ★ 4.74 |
What Kind of STR Should I Buy in Franklin?
Revenue and nightly-rate breakdowns by bedroom count, property tier, and dwelling type for Franklin are available to StaySTRA Pro members. Unlock with StaySTRA Pro or analyze a specific address free.
Booking Channel Mix
Distribution of bookings across major STR platforms.
| Channel | Share |
|---|---|
| airbnb | 42.7% |
| vrbo | 5.3% |
| both | 52% |
Home Value Trends (Franklin)
Typical home values, median sale prices, and the 10-year price trend for Franklin are available to StaySTRA Pro members. Unlock with StaySTRA Pro or analyze a specific address free.
Booking Insights
Booking-window and length-of-stay analysis for Franklin — how far ahead guests book and how to price around it — is available to StaySTRA Pro members. Unlock with StaySTRA Pro or analyze a specific address free.
Short-Term Rental Regulations
Franklin regulates short-term vacation rentals (STVRs) strictly. An STVR is a dwelling with no more than four sleeping rooms rented for fewer than 30 days. Short-term rentals are permitted, but no one may operate or advertise one without a permit from the city’s Building and Neighborhood Services department. The permit is valid for 12 months and must be renewed annually.
The key rule for investors is owner-occupancy. In residential zones, new STVRs must be owner-occupied and the operator’s primary residence, and non-owner-occupied STVRs are prohibited. Owner-occupied units can be rented no more than 113 nights per year. Only one STVR is allowed per lot. Rentals with permits that predate the ordinance are grandfathered, and non-owner-occupied operation is generally limited to certain commercial or mixed-use zoning.
Operators also need city business tax registration, which carries a $15 registration fee per property. Franklin’s hotel and occupancy tax is 5%, raised from 4% through Ordinance 2025-15 with the FY2025-2026 budget. The additional 1%, estimated at about $1.2 million a year, is earmarked for parks and tourism-supporting improvements. A 2% fine-arts tax applies on top of that, along with state sales and transient taxes that platforms typically collect.
Enforcement is rated strict, with fines and legal consequences for unpermitted or non-owner-occupied operation. Franklin works for owner-occupants and house-hackers but is hostile to traditional whole-home investment rentals. Confirm current requirements with the city before buying or listing.
Market Comparison
The Nashville area STR market posted a September 2026 ADR of $320 and occupancy of 59.0%, with average monthly revenue of $5,240 per listing. No national benchmark is included here, so this profile makes no comparison to US medians.
Higher-tier segments show the rate range. Luxury listings reach $591 and professionally managed listings reach $396, while entire-home listings average $330. The weakest month for rates, January at $203, also has the lowest occupancy at 41.8%.
Growth is also favorable. Revenue is up 12.8% year over year, driven by a 5.7% occupancy gain while ADR slipped 0.6%. The main caution for Franklin specifically is regulatory rather than demand-related. Franklin does not allow non-owner-occupied rentals in residential zones, and it caps owner-occupied rentals at 113 nights. Operator rankings are tracked at a shared regional level rather than uniquely for Franklin, so this profile omits them.
Frequently Asked Questions About Franklin, Tennessee
Can I buy an investment property in Franklin, TN and run it as an Airbnb?
How many nights per year can I rent a home in Franklin?
What are the average ADR and occupancy in the Franklin area?
What taxes and fees apply to Franklin short-term rentals?
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How much does a typical home cost in Franklin, TN?
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