Nashville Short-Term Rentals: 2025 Market Update for Investors

Nashville short-term rentals continue to attract investors, drawn by the city’s magnetic music scene and iconic attractions like the Country Music Hall of Fame. As tourism remains strong, STR investing in Nashville reveals distinct trends, strong competition, and steady returns. Whether you’re eyeing vacation rentals in Nashville or analyzing neighborhoods like The Gulch or East Nashville, understanding the current market is key.

Quick Takeaways:

  • Over 7,800 active listings across Nashville
  • Average Daily Rate (ADR): $225
  • Occupancy Rate: 67% (steady YoY)
  • Revenue per available rental has increased by 5% from last year
  • Most cancellations are linked to event rescheduling rather than guest concerns
  • Tip: Focus on proximity to downtown or top attractions for higher occupancy

Nashville’s Rising STR Demand

Tourism in Nashville is booming, fueling demand for short-term rentals. The city’s dynamic music venues and events, including the CMA Fest, draw visitors year-round. Investors find steady occupancy rates thanks to consistent tourism and local events. Neighborhoods like 12 South and Midtown have also gained popularity among guests seeking authentic local experiences.

Regulatory Landscape and Zoning

Short-term rental investing in Nashville requires a close watch on evolving regulations. Recent updates focus on balancing housing needs with tourism demand. Permit caps and stricter enforcement impact new investors, making legal compliance a top priority. Investigate specific zones and consult city guidelines before acquiring or listing a property.

StaySTRa Analyzer

If you’re evaluating a specific property or narrowing your investment focus, the StaySTRa Analyzer lets you plug in an address and see actual STR performance data. It’s free to use and built for investors.

Hosting and Guest Preferences

Today’s travelers seek homey touches, modern amenities, and smart tech in their vacation rentals in Nashville. Providing speedy Wi-Fi, self-check-in, and curated local recommendations adds value and lifts reviews. Consider listing your property on Airbnb for maximum reach to potential guests.

Making the Most of Your STR

Location is central to STR success. Properties near downtown, Centennial Park, or the Frist Art Museum consistently outperform. Focus on detailed guest communication and cleaning protocols to drive repeat business. Smart pricing helps navigate seasonal swings, maximizing occupancy while staying competitive. Explore city highlights like the Country Music Hall of Fame and Cheekwood Estate & Gardens to enrich guest experiences.

Nashville short-term rentals continue to thrive—armed with solid data, investor-minded strategies, and compliance, you can tap into one of the South’s most resilient vacation-rental markets.

StaySTRa Insider
Please enable JavaScript in your browser to complete this form.
Name

Catagories

Other Posts