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Short-Term Rental Regulations
in Townsend, TN

Last verified: 2026-05-14 · Report an update

Zoning & Conditions

Blount County zoning allows 'vacation cabin rental' with density limits: R-1 density no greater than single-family, R-2 max 0.5 units/acre. Up to 10 cabins are permitted on gravel roads; up to two units on a single lot may be permitted by the Building Commissioner, while three or more require a site plan.

How to Obtain a Permit

1) Apply to Blount County Development Services/Building Commissioner at 1221 McArthur Road, Maryville. 2) For up to two units, obtain direct approval from the Building Commissioner; for three or more units, submit a formal site plan per Section 7.2 and comply with Section 7.11 design standards.

Regulatory Updates — Townsend

Proposed and recent legislation

PassedAugust 2024

Blount County Vacation Cabin Zoning Rules Reaffirmed

Blount County reaffirmed its vacation cabin rental zoning framework for the Townsend area, confirming that density limits (R-1: single-family equivalent, R-2: 0.5 units/acre) remain in effect with no planned changes.

PassedMarch 2024

Multi-Cabin Developments Require Site Plan Review

Blount County clarified that proposals for three or more STR cabins on a single lot require formal site plan submission and approval by the Building Commissioner, regardless of road type or zone.

PassedNovember 2023

Gravel Road Cabin Cap Enforced

Blount County began reviewing permit applications in Townsend for compliance with the 10-cabin cap on gravel roads, declining applications that would push existing routes over the threshold.

Official Resources

Official Townsend STR regulation source

Local Resources & Advocacy

Vacation Rental Management Association (VRMA)National

National trade association providing advocacy and compliance resources for vacation rental professionals in Tennessee mountain and Smoky Mountains markets.

Tennessee RealtorsStatewide

Statewide real estate association monitoring Blount County STR ordinance developments and advocating for reasonable density and permitting standards in Great Smoky Mountains gateway communities.

Townsend/Tuckaleechee Chamber of CommerceLocal

Local business organization representing the Townsend corridor's tourism economy, including the vacation cabin rental operators central to its Smoky Mountains visitor market.

Frequently Asked Questions

Are Airbnbs legal in Townsend, TN?
Airbnb listings are allowed in Townsend, TN, but with restrictions. Blount County zoning allows 'vacation cabin rental' with density limits: R-1 density no greater than single-family, R-2 max 0.5 units/acre. Up to 10 cabins are permitted on gravel roads; up to two units on a single lot may be permitted by the Building Commissioner, while three or more require a site plan. A permit is required before you can host. These rules apply to all short-term rental platforms (Airbnb, Vrbo, Booking.com, etc.) — not just Airbnb specifically. See the official source linked on this page for full requirements. Last verified 2026-05-14.
Are short-term rentals allowed in Townsend, TN?
Blount County zoning allows 'vacation cabin rental' with density limits: R-1 density no greater than single-family, R-2 max 0.5 units/acre. Up to 10 cabins are permitted on gravel roads; up to two units on a single lot may be permitted by the Building Commissioner, while three or more require a site plan.
Is a permit required to operate a short-term rental in Townsend?
Yes, a permit is required to operate a short-term rental in Townsend. 1) Apply to Blount County Development Services/Building Commissioner at 1221 McArthur Road, Maryville. 2) For up to two units, obtain direct approval from the Building Commissioner; for three or more units, submit a formal site plan per Section 7.2 and comply with Section 7.11 design standards.
How do I get a short-term rental permit in Townsend?
1) Apply to Blount County Development Services/Building Commissioner at 1221 McArthur Road, Maryville. 2) For up to two units, obtain direct approval from the Building Commissioner; for three or more units, submit a formal site plan per Section 7.2 and comply with Section 7.11 design standards.
Is Vrbo legal in Townsend, TN?
Vrbo is permitted in Townsend, TN under the same restrictions that apply to Airbnb — local rules govern the rental itself, not the specific platform. You must hold a valid permit before hosting on Vrbo. Last verified 2026-05-14.
What taxes do short-term rental hosts pay in Townsend?
Short-term rental hosts in Townsend are typically responsible for lodging, occupancy, and applicable sales taxes — these usually apply even where hosting is allowed without a permit. Rates and remittance rules vary by jurisdiction (state, county, and city can each levy a share); confirm the current rates with the official source linked on this page. Platforms such as Airbnb and Vrbo collect some taxes automatically, but the host remains liable for any not collected on their behalf.
What is the latest short-term rental ordinance change in Townsend?
The most recent tracked change in Townsend is "Blount County Vacation Cabin Zoning Rules Reaffirmed" (2024-08-01, status: passed). Blount County reaffirmed its vacation cabin rental zoning framework for the Townsend area, confirming that density limits (R-1: single-family equivalent, R-2: 0.5 units/acre) remain in effect with no planned changes. See the regulatory updates section on this page for the full history.
How many STR cabins can I have on one property in Townsend?
Up to two units on a single lot may be approved by the Building Commissioner without a site plan. Three or more units require formal site plan submission and review. On gravel roads, no more than 10 cabins total are permitted regardless of property ownership.
What zone is my Townsend property in and does it affect my STR rights?
Blount County zoning matters significantly. R-1 zones allow vacation cabin rentals at single-family density (one unit per lot). R-2 zones allow up to 0.5 units per acre. Check your Blount County zoning designation before adding STR cabins to confirm density compliance.
Does Tennessee have a statewide law protecting STR operators in Townsend?
Tennessee has no comprehensive state preemption law for STRs. Blount County retains full authority to adjust its vacation cabin rental zoning framework. However, the county's rural, tourism-friendly character makes major restrictions unlikely in the near term.
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Disclaimer

This information is for general reference only and may not reflect the most current regulations. STR regulations change frequently. Always verify requirements with official local government sources before operating a short-term rental.

Last verified: 2026-05-14 · Suggest a correction